Jacob Finance & Investments Ltd. (JCFN) AI Stock Analysis

• Market Cap: ₪800.22M
• Dividend Yield: N/A
• Average Volume (3M): 24.34K
• Price to Earnings (P/E): 10.0
• Beta (1Y): 0.88
• Revenue Growth: 29.67%
• EPS Growth: 15.36%
• Country: IL
• Employees: 11
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Credit Services
• EPS (TTM): 84.00
• Shares Outstanding: 24,584,196
• 10 Day Avg. Volume: 33,144
• 30 Day Avg. Volume: 24,337
• PEG Ratio: 0.54
• Price to Book (P/B): 1.82
• Price to Sales (P/S): 3.63
• P/FCF Ratio: 10.16
• 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: 55 Neutral
• Price Target: 3,409.00 ▲(1.37% Upside)
• Action: Reiterated Date: 03/18/26
• Date: Action: Reiterated 03/18/26

The score is driven primarily by solid profitability and revenue growth, offset by high and rising leverage and uneven cash-flow consistency. Technicals add further pressure due to weak momentum below major moving averages, while the relatively modest P/E provides some valuation support.

Positive Factors

Sustained Revenue Growth

Multi-year revenue expansion with a 31% increase in 2025 signals durable demand and successful scaling of the credit-services business. Re-acceleration after a slowdown indicates the company can regain growth momentum, supporting medium-term top-line stability and strategic investment capacity.

Consistent Profitability

Sustained net income across multiple years demonstrates resilient margins and operational discipline within the credit-services model. Consistent profitability enhances ability to absorb credit cycles, fund operations internally, and maintain service capability without sole reliance on external capital.

Improving Cash Generation

The recent shift to positive operating and free cash flow reflects improved cash conversion and earnings quality. Persistent positive cash flow over coming quarters would bolster liquidity, reduce dependence on external funding, and provide internal capital for growth or to strengthen the equity cushion.

Negative Factors

High & Rising Leverage

Rapid debt accumulation raises structural funding and interest-rate sensitivity for a credit-services firm. With equity still small relative to liabilities, the balance sheet is exposed to funding cost increases or credit stress, limiting strategic flexibility and elevating refinancing risk over the medium term.

Volatile Cash Conversion

Intermittent negative operating and free cash flows in prior years and sharp year-to-year swings undermine predictability of internal funding. Such volatility complicates debt servicing and capital planning, increasing reliance on external liquidity during downturns or growth funding needs.

Uneven Growth Trajectory

Large swings in growth rates reduce forecasting reliability and suggest sensitivity to cyclical or execution factors. This uneven trajectory raises execution risk for longer-term initiatives, complicates capacity planning, and can strain margins or capital allocation when growth reverses or underperforms expectations.

Jacob Finance & Investments Ltd. Business Overview & Revenue Model

Company Description

Jacob Finance and Investments Ltd provides non-banking credit services. The company was incorporated in 2009 and is based in Tel Aviv, Israel.

How the Company Makes Money

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Jacob Finance & Investments Ltd. Financial Statement Overview

Summary

Strong multi-year revenue growth and consistently solid profitability support the score, but it is weighed down by a heavily levered balance sheet with rapidly rising debt and a volatile cash-flow history despite improvement in 2024–2025.

Income Statement

Revenue has expanded strongly from 2021–2025 (2025 revenue up ~31% vs. 2024; growth slowed in 2024 but re-accelerated in 2025). Profitability is consistently strong since 2021 with solid net income each year (after a loss in 2020). The main weakness is some deceleration/volatility in the growth trajectory (very high growth in 2021–2022, much slower in 2024, then a jump in 2025), which makes the earnings path less predictable.

Balance Sheet

The balance sheet is heavily levered: total debt has risen materially (to ~2.57B in 2025 from ~1.83B in 2024 and ~1.14B in 2023) while equity remains comparatively small (~454M in 2025). In a credit-services model, leverage is common, but the pace of debt growth adds risk and reduces flexibility if funding costs rise or credit quality weakens. A positive is that equity has been building over time (from a very low base earlier in the period), improving the capital cushion versus prior years.

Cash Flow

Cash generation is mixed. Operating cash flow and free cash flow turned meaningfully positive in 2024–2025 (TTM (Trailing-Twelve-Months) not provided), which supports earnings quality and liquidity. However, cash flow was negative in multiple earlier years (2021–2023 and especially 2022), and 2025 free cash flow growth is sharply negative versus 2024, indicating volatility and less consistent cash conversion.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	227.52M	173.72M	152.06M	109.02M	48.62M
Gross Profit	224.71M	99.30M	85.28M	76.85M	37.00M
EBITDA	216.24M	90.23M	74.18M	61.81M	31.65M
Net Income	82.46M	69.53M	56.81M	47.49M	24.33M
Balance Sheet
Total Assets	3.03B	2.27B	1.48B	1.55B	1.40B
Cash, Cash Equivalents and Short-Term Investments	627.00K	10.64M	39.00K	16.17M	775.00K
Total Debt	2.57B	1.83B	1.14B	1.29B	1.34B
Total Liabilities	2.58B	1.89B	1.18B	1.30B	1.37B
Stockholders Equity	454.29M	371.76M	301.83M	244.80M	32.51M
Cash Flow
Free Cash Flow	81.28M	10.60M	-16.35M	-149.38M	-18.31M
Operating Cash Flow	81.34M	10.61M	-16.34M	-149.38M	-18.23M
Investing Cash Flow	-839.18M	-10.00K	-11.00K	8.00K	-80.00K
Financing Cash Flow	747.83M	0.00	216.00K	164.78M	6.50M

Jacob Finance & Investments Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3363.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:JCFN, the sentiment is Negative. The current price of 3363 is below the 20-day moving average (MA) of 3456.45, below the 50-day MA of 3489.28, and below the 200-day MA of 3390.56, indicating a bearish trend. The MACD of -56.35 indicates Positive momentum. The RSI at 33.26 is Neutral, neither overbought nor oversold. The STOCH value of 12.25 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IL:JCFN.

Jacob Finance & Investments Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MNIF	70 Outperform	₪1.62B	7.96	―	4.19%	25.72%	21.70%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
MLRN	61 Neutral	₪401.58M	5.87	―	7.37%	―	―
MCLL	58 Neutral	₪761.53M	11.79	―	1.53%	―	―
JCFN	55 Neutral	₪800.22M	10.01	―	―	29.67%	15.36%
PEN	54 Neutral	₪671.44M	10.63	―	5.35%	25.73%	45.19%