Generation Cap (GNRS) AI Stock Analysis

• Market Cap: 1.35B
• Dividend Yield: 2.15%
• Average Volume (3M): 2.91M
• Price to Earnings (P/E): 9.5
• Beta (1Y): 1.90
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: IL
• Employees: 1
• Sector: Real Estate
• Sector Strength: 53
• Industry: Asset Management
• EPS (TTM): 6.10
• Shares Outstanding: 1,270,044,900
• 10 Day Avg. Volume: 4,009,748
• 30 Day Avg. Volume: 2,911,678
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: 117.00
• Price Target Upside: 6.46% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 64 Neutral
• Price Target: 117.00 ▲(6.46% Upside)

The overall stock score of 64 reflects strong financial performance with robust revenue growth and profitability. However, technical indicators suggest neutral to bearish momentum, which tempers the positive valuation outlook. The lack of earnings call data and corporate events limits additional insights.

Generation Cap Business Overview & Revenue Model

Company Description

Generation Capital Ltd was founded in 2018 and is headquartered in Herzliya, Israel.

How the Company Makes Money

Generation Cap generates revenue primarily through management fees and performance-based incentives from its investment funds. The company charges a management fee, typically a percentage of the assets under management (AUM), for overseeing the investment portfolios. Additionally, Generation Cap earns significant income through performance fees, which are calculated as a percentage of the profits generated by the funds, aligning the company's interests with those of its investors. The firm also engages in co-investment opportunities alongside its partners, enhancing potential returns. Strategic partnerships with established financial institutions and corporations further expand its investment reach and offer access to exclusive deals, contributing to its overall earnings.

Generation Cap Financial Statement Overview

Summary

Generation Cap demonstrates strong revenue growth and profitability, with robust EBIT and net profit margins. The balance sheet reflects a solid equity position, though increasing leverage could be a concern. Cash flow management has improved, but there is room for better alignment with net income.

Income Statement

Generation Cap has shown significant revenue growth over the years, with a notable increase in total revenue from $8.25M in 2020 to $106.97M in 2024. However, the gross profit margin has been inconsistent, with a negative margin in 2020, improving to 78.42% in 2024. Net profit margin has been strong, reaching 84.23% in 2024, indicating efficient cost management. EBIT and EBITDA margins have also been robust, reflecting strong operational performance. Despite these strengths, the volatility in revenue and profit margins poses some risk.

Balance Sheet

The company's balance sheet shows a healthy equity base, with stockholders' equity increasing from $933.50M in 2019 to $2.20B in 2024. The debt-to-equity ratio has increased, reaching 0.80 in 2024, indicating higher leverage, which could pose risks if not managed properly. The equity ratio remains strong at 51.85% in 2024, suggesting a solid financial structure. Return on equity has been impressive, although it has shown some decline, reflecting potential challenges in maintaining high profitability levels.

Cash Flow

Operating cash flow has been positive, with a notable increase to $50.18M in 2024. Free cash flow has also improved, indicating better cash management. However, the free cash flow to net income ratio suggests that cash generation relative to net income could be improved. The company has shown resilience in generating cash despite fluctuations in investing and financing activities.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	140.33M	106.97M	482.22M	103.89M	133.68M	8.25M
Gross Profit	115.43M	83.88M	80.08M	69.90M	106.30M	-9.10M
EBITDA	195.19M	132.50M	427.44M	0.00	0.00	0.00
Net Income	141.61M	90.11M	277.20M	175.45M	229.87M	256.07M
Balance Sheet
Total Assets	4.38B	4.24B	4.05B	3.48B	2.58B	1.61B
Cash, Cash Equivalents and Short-Term Investments	10.49M	50.30M	96.00M	253.24M	72.64M	174.09M
Total Debt	1.79B	1.76B	1.72B	1.48B	738.70M	174.94M
Total Liabilities	2.11B	2.04B	1.97B	1.68B	900.89M	276.45M
Stockholders Equity	2.28B	2.20B	2.08B	1.81B	1.68B	1.33B
Cash Flow
Free Cash Flow	84.32M	50.18M	24.28M	33.23M	85.93M	-9.39M
Operating Cash Flow	84.32M	50.18M	24.28M	33.23M	85.93M	-9.39M
Investing Cash Flow	-92.28M	-98.04M	-358.68M	-481.09M	-852.17M	-394.79M
Financing Cash Flow	-96.94M	2.16M	177.16M	628.47M	664.80M	258.82M

Generation Cap Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 109.90
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:GNRS, the sentiment is Positive. The current price of 109.9 is below the 20-day moving average (MA) of 110.66, above the 50-day MA of 109.84, and above the 200-day MA of 89.13, indicating a neutral trend. The MACD of -0.72 indicates Positive momentum. The RSI at 50.26 is Neutral, neither overbought nor oversold. The STOCH value of 50.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IL:GNRS.

Generation Cap Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ALTF	79 Outperform	1.54B	13.68	20.59%	5.45%	-2.08%	-9.74%
MRIN	74 Outperform	2.99B	25.26	35.16%	3.82%	29.08%	74.72%
MPP	73 Outperform	1.54B	24.12	27.19%	4.52%	―	―
GNRS	64 Neutral	1.35B	9.51	―	2.15%	―	―
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%