Gav Yam (GVYM) AI Stock Analysis

• Market Cap: ₪8.03B
• Dividend Yield: 3.39%
• Average Volume (3M): 121.72K
• Price to Earnings (P/E): 12.7
• Beta (1Y): 1.34
• 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: 220,533,940
• 10 Day Avg. Volume: 195,795
• 30 Day Avg. Volume: 121,725
• PEG Ratio: 0.33
• Price to Book (P/B): 1.73
• Price to Sales (P/S): 9.37
• P/FCF Ratio: 21.42
• 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: 68 Neutral
• Price Target: 3,920.00 ▲(1.69% Upside)
• Action: Reiterated Date: 02/09/26
• Date: Action: Reiterated 02/09/26

The score is primarily driven by strong reported profitability and reasonable valuation with a solid dividend yield. It is held back by rising leverage and cash-flow timing volatility, while technicals are mixed with neutral momentum and only moderate trend support.

Positive Factors

High profitability and margins

Sustained high gross and net margins imply the core leasing and property management business generates robust operating cash returns. This margin strength supports reinvestment in developments, funds distributions, and provides a durable earnings buffer versus cyclical rental volatility.

Strong free cash flow conversion

Very high FCF-to-net-income conversion signals quality earnings and reliable internal funding. Over the medium term this improves the company's ability to finance capex, support dividends or deleveraging, and reduces reliance on external financing for routine development activity.

Re-accelerating revenue growth

A return to positive top-line growth indicates improving leasing momentum or rental rate recovery in core office/high-tech parks. Sustained revenue expansion supports long-term occupancy economics, the ability to absorb incremental operating costs, and value creation from development pipelines.

Negative Factors

Rising leverage

A materially higher debt-to-equity ratio reduces financial flexibility and raises interest and refinancing exposure. Over the medium term this constrains the company's ability to fund opportunistic development, increases volatility in returns under rate stress, and tightens covenant/leverage risk.

Operating cash flow weakness and timing

When operating cash lags reported earnings due to working-capital and project timing, liquidity and debt service can be strained despite positive accounting profits. This pattern increases reliance on short-term financing around project cycles and raises risk to dividend and capex plans.

Earnings volatility from project timing

Earnings that fluctuate with project completions and valuation effects reduce predictability of long-term cash flows. Persistent volatility complicates budgeting, makes credit metrics less stable, and can force conservative capital decisions or higher financing costs from lenders seeking steadier cash profiles.

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 primarily generates revenue from leasing and operating income-producing real estate. Key revenue streams typically include: (1) Rental income from long-term and medium-term leases to corporate tenants (often concentrated in office/high-tech park assets), usually composed of base rent and, where applicable, indexation and contractually defined rent escalations; (2) Recoveries/chargebacks (commonly referred to as maintenance, management, and operating expense reimbursements) where tenants pay their proportional share of building operating costs such as security, cleaning, common-area maintenance, and utilities, depending on lease terms; (3) Property management and related services revenue tied to operating its properties (often bundled into tenant service charges and/or management fees); (4) Development-related value creation and monetization, where the company invests capital in developing or upgrading assets and then captures returns through higher stabilized rents/occupancy and, in some cases, disposal of properties or interests—however, if and when asset sales are a material contributor varies by period and should be confirmed in the company’s reports; and (5) Financing-related effects (e.g., interest income) may exist but are generally ancillary compared with rental operations for a real estate landlord. The company’s earnings are therefore driven mainly by occupancy levels, achieved rents, lease duration and renewal dynamics, the operating cost structure recoverable from tenants, successful delivery and leasing of new developments, and broader demand for office/campus space in its markets. Specific significant partnerships or named counterparties are null.

Gav Yam Financial Statement Overview

Summary

Strong profitability and improving 2025 momentum support the score, with free cash flow broadly tracking net income. Offsetting this, leverage has trended higher (debt-to-equity rising to ~2.0x) and cash flow timing/working-capital effects have weakened operating cash flow relative to earnings, adding risk and volatility.

Income Statement

Revenue growth re-accelerated in 2025 (annual +3.8% vs. near-flat in 2024), while profitability remains very strong with high gross and net margins in 2024–2025. Net income also improved meaningfully in 2025 versus 2024. The main offset is volatility across the period—2021–2022 showed unusually high profit levels and margins that later normalized, suggesting earnings can swing with project timing and valuation effects.

Balance Sheet

The company is moderately leveraged for the sector, with debt-to-equity rising to ~2.0x in 2025 from ~1.5x in 2021, alongside a steady increase in total debt over time. Equity has grown and return on equity remains solid in 2024–2025, but it is well below the peak levels seen in 2021–2022. Overall, the balance sheet is supported by a growing asset base, yet the upward leverage trend increases financial risk and reduces flexibility.

Cash Flow

Cash generation is positive and free cash flow closely tracks net income (roughly ~96–99% in recent years), which is a quality signal for earnings conversion. Free cash flow returned to growth in 2025 after a slight decline in 2024. However, operating cash flow relative to reported earnings is low and has weakened over time (2025 well below earlier years), indicating that working-capital and project cash timing can create periods where profits outpace cash.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	906.56M	822.06M	758.75M	649.01M	669.41M
Gross Profit	756.56M	689.05M	654.10M	481.52M	599.01M
EBITDA	1.38B	1.09B	1.10B	1.74B	1.84B
Net Income	670.28M	478.40M	499.36M	935.56M	1.09B
Balance Sheet
Total Assets	18.77B	16.93B	15.43B	14.69B	11.81B
Cash, Cash Equivalents and Short-Term Investments	772.30M	732.01M	1.00B	1.61B	1.13B
Total Debt	9.92B	8.66B	7.90B	7.50B	5.48B
Total Liabilities	12.32B	10.98B	9.91B	9.55B	7.23B
Stockholders Equity	4.91B	4.51B	4.21B	3.97B	3.61B
Cash Flow
Free Cash Flow	396.58M	466.91M	575.34M	451.69M	641.61M
Operating Cash Flow	413.54M	476.87M	589.72M	461.86M	645.81M
Investing Cash Flow	-1.12B	-697.33M	-165.67M	-1.48B	-699.91M
Financing Cash Flow	736.61M	56.62M	-184.81M	1.08B	-1.20B

Gav Yam Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3855.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• 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 Negative. The current price of 3855 is above the 20-day moving average (MA) of 3754.90, below the 50-day MA of 3970.73, and above the 200-day MA of 3777.83, indicating a bearish trend. The MACD of -109.34 indicates Positive momentum. The RSI at 34.78 is Neutral, neither overbought nor oversold. The STOCH value of 27.79 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IL:GVYM.

Gav Yam Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GVYM	68 Neutral	₪8.03B	12.67	―	3.39%	7.67%	32.63%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
ISCN	59 Neutral	₪6.72B	17.82	―	0.45%	48.74%	-82.72%
ASHG	51 Neutral	₪7.50B	58.05	―	0.99%	8.03%	―
PRSK	48 Neutral	₪3.47B	15.88	―	1.21%	61.27%	35.14%