Gav Yam (GVYM) AI Stock Analysis

• Market Cap: ₪8.92B
• Dividend Yield: 3.39%
• Average Volume (3M): 121.72K
• Price to Earnings (P/E): 14.7
• Beta (1Y): 1.21
• Revenue Growth: 7.67%
• EPS Growth: 32.63%
• Country: IL
• Employees: 133
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Development
• EPS (TTM): 40.80
• Shares Outstanding: 220,463,960
• 10 Day Avg. Volume: 195,795
• 30 Day Avg. Volume: 121,725
• PEG Ratio: -2.19
• Price to Book (P/B): 1.39
• Price to Sales (P/S): 7.66
• P/FCF Ratio: 13.48
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 60 Neutral
• Price Target: 4,392.00 ▲(13.93% Upside)

Gav Yam's overall stock score is influenced primarily by its strong financial performance and reasonable valuation. However, technical indicators suggest bearish momentum, which weighs down the overall score. The company's high leverage and declining cash flow growth are significant risks that need to be managed.

Positive Factors

High profit margins

Very strong TTM gross (84.39%) and net (69.49%) margins create durable cash generation capacity and pricing power in core leasing and development operations. Sustained margins support reinvestment, dividend potential and resilience across real estate cycles if backed by core revenues.

Diversified revenue streams

Multiple revenue streams — long-term leasing, development project profits and strategic co-investor partnerships — reduce dependence on any single income source. This diversification supports steadier cash flows, growth optionality and lower concentration risk over the medium term.

Efficient use of equity

ROE near 13% indicates management is extracting solid returns from equity capital, reflecting effective asset monetization and operational execution. Over time, consistent ROE supports shareholder value creation provided leverage and capital allocation remain controlled.

Negative Factors

High leverage

A debt-to-equity ratio above 2.0 leaves the company sensitive to interest rate rises, refinancing cycles and operational cash shocks. High leverage reduces financial flexibility for new investments and elevates default and covenant risk if cash flows weaken.

Weak operating cash conversion

Declining free cash flow growth and a very low operating-cash-to-net-income ratio suggest earnings are not reliably converting into cash. This impairs the firm’s ability to service debt, fund capex or sustain distributions without relying on external financing.

Margins may include non-operational items

Unusually elevated EBIT/EBITDA margins raise the risk that reported profitability includes one-time gains or accounting effects rather than recurring operations. If non-operational items reverse, sustainable margins and cash generation could materially decline.

Gav Yam Business Overview & Revenue Model

Company Description

Gav-Yam Lands Corp. Ltd operates as a real estate company in Israel. It initiates, plans, constructs, develops, leases, maintains, and manages high-tech, and industrial and commercial parks and centers, offices, logistic centers, and residential neighborhoods. The company was formerly known as Bayside Land Corporation Ltd and changed its name to Gav-Yam Lands Corp. Ltd in June 2021. Gav-Yam Lands Corp. Ltd was founded in 1928 and is based in Haifa, Israel.

How the Company Makes Money

Gav Yam generates revenue through multiple streams, primarily from leasing commercial properties to tenants across its portfolio. The company earns rental income from long-term leases, which provides a stable cash flow. Additionally, GVYM engages in property development projects, generating profits from the sale or lease of newly developed spaces. Strategic partnerships with local and international investors also contribute to its revenue, allowing for co-investment opportunities in larger projects. Furthermore, the company may benefit from property appreciation over time, enhancing its overall asset value and potential returns on investment.

Gav Yam Financial Statement Overview

Summary

Gav Yam shows strong profitability with high gross and net profit margins and consistent revenue growth. However, high leverage and declining cash flow growth pose risks. The company's ability to manage debt and maintain profit margins is crucial for future financial health.

Income Statement

Gav Yam's income statement shows strong profitability with a high gross profit margin of 84.39% and a net profit margin of 69.49% for TTM (Trailing-Twelve-Months). The company has demonstrated consistent revenue growth, with a notable increase of 15.18% in the latest period. However, the EBIT and EBITDA margins are unusually high, indicating potential non-operational income or accounting adjustments that may not be sustainable.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 2.07, which suggests significant leverage and potential risk if interest rates rise or cash flows falter. Despite this, the company maintains a reasonable return on equity of 12.96%, indicating efficient use of equity capital. The equity ratio stands at 25.77%, reflecting a moderate reliance on equity financing.

Cash Flow

Cash flow analysis shows a decline in free cash flow growth by 7.73% in the TTM period, which could be a concern for future liquidity. The operating cash flow to net income ratio is low at 0.13, indicating potential issues in converting income into cash. However, the free cash flow to net income ratio remains strong at 95.38%, suggesting that the company is still generating significant cash relative to its net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	873.51M	822.06M	758.75M	649.01M	669.41M	578.40M
Gross Profit	737.12M	689.05M	654.10M	481.52M	599.01M	514.46M
EBITDA	1.20B	1.09B	1.10B	1.74B	1.84B	589.97M
Net Income	606.96M	478.40M	499.36M	935.56M	1.09B	260.14M
Balance Sheet
Total Assets	18.62B	16.93B	15.43B	14.69B	11.81B	11.30B
Cash, Cash Equivalents and Short-Term Investments	994.45M	732.01M	1.00B	1.61B	1.13B	2.53B
Total Debt	9.95B	8.66B	7.90B	7.50B	5.48B	6.22B
Total Liabilities	12.30B	10.98B	9.91B	9.55B	7.23B	7.68B
Stockholders Equity	4.80B	4.51B	4.21B	3.97B	3.61B	2.77B
Cash Flow
Free Cash Flow	367.96M	466.91M	575.34M	451.69M	641.61M	420.01M
Operating Cash Flow	385.80M	476.87M	589.72M	461.86M	645.81M	421.64M
Investing Cash Flow	-576.44M	-697.33M	-165.67M	-1.48B	-699.91M	-638.16M
Financing Cash Flow	365.82M	56.62M	-184.81M	1.08B	-1.20B	1.04B

Gav Yam Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3855.00
• 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:GVYM, the sentiment is Positive. The current price of 3855 is below the 20-day moving average (MA) of 4117.30, below the 50-day MA of 3923.84, and above the 200-day MA of 3663.28, indicating a bullish trend. The MACD of 24.69 indicates Positive momentum. The RSI at 56.53 is Neutral, neither overbought nor oversold. The STOCH value of 53.09 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IL:GVYM.

Gav Yam Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
GVYM	60 Neutral	₪8.92B	14.69	―	3.39%	7.67%	32.63%
ISCN	59 Neutral	₪6.03B	119.38	―	0.45%	48.74%	-82.72%
PRSK	54 Neutral	₪3.39B	26.12	―	1.21%	61.27%	35.14%
ASHG	51 Neutral	₪7.92B	26.85	―	0.99%	8.03%	―