Lahav (LAHAV) AI Stock Analysis

• Market Cap: 2.20B
• Dividend Yield: 2.26%
• Average Volume (3M): 88.40K
• Price to Earnings (P/E): 14.8
• Beta (1Y): 1.23
• Revenue Growth: 19.43%
• EPS Growth: 21.77%
• Country: IL
• Employees: 2,328
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Services
• EPS (TTM): N/A
• Shares Outstanding: 269,806,700
• 10 Day Avg. Volume: 78,591
• 30 Day Avg. Volume: 88,398
• PEG Ratio: 0.14
• Price to Book (P/B): 1.06
• Price to Sales (P/S): 3.00
• P/FCF Ratio: -89.32
• 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: 75 Outperform
• Price Target: 878.00 ▲(12.54% Upside)

Lahav's stock score is primarily driven by strong technical indicators, reflecting bullish momentum. Financial performance is solid, with strong profitability but some concerns over cash flow management and increasing debt. The valuation is reasonable, with a fair P/E ratio and attractive dividend yield.

Positive Factors

Revenue Growth

Consistent revenue growth indicates effective market penetration and product adoption, supporting long-term business expansion and stability.

Business Model

A diversified revenue model with subscription-based software and hardware sales provides stability and recurring income, enhancing financial resilience.

Partnerships

Strategic partnerships expand market reach and create co-development opportunities, boosting visibility and potential sales in key sectors.

Negative Factors

Debt Levels

Rising debt levels could strain financial flexibility and increase risk, potentially impacting long-term financial health if not managed.

Cash Flow Management

Negative free cash flow growth indicates difficulties in converting profits to cash, which may hinder investment capacity and operational flexibility.

Gross Profit Margin Volatility

Volatility in gross profit margins suggests potential cost management issues, which could affect profitability and competitiveness over time.

Lahav Business Overview & Revenue Model

Company Description

Lahav (LAHAV) is a dynamic company specializing in advanced technology solutions, primarily focusing on the development of innovative software and hardware products for various industries, including telecommunications, healthcare, and transportation. With a commitment to enhancing operational efficiencies and delivering cutting-edge solutions, Lahav offers a diverse range of products, including data analytics platforms, IoT devices, and automation software, aimed at transforming business processes and improving customer experiences.

How the Company Makes Money

Lahav generates revenue through multiple streams, primarily by selling its proprietary software and hardware products to businesses in various sectors. The company employs a subscription-based model for its software solutions, allowing clients to access its platforms with recurring fees based on usage or tiered service levels. Additionally, Lahav earns revenue through direct sales of its IoT devices and hardware, which are often bundled with software packages. Significant partnerships with industry leaders in telecommunications and healthcare further enhance its market reach and revenue potential, as these collaborations often lead to joint ventures and co-developed products, increasing Lahav's visibility and sales opportunities in these lucrative sectors.

Lahav Financial Statement Overview

Summary

Lahav's financial performance is mixed, with strong profitability indicated by a high net profit margin of 30.55% and a reasonable return on equity of 11.97%. However, concerns arise from a low gross profit margin of 3.52% and negative free cash flow, suggesting cost management and liquidity issues.

Income Statement

Lahav's income statement shows a mixed performance. The TTM data indicates a modest revenue growth rate of 6.15%, which is a positive sign. However, the gross profit margin is low at 3.52%, indicating potential cost management issues. The net profit margin is strong at 30.55%, suggesting effective cost control and profitability. The EBIT margin is negative, which is concerning, but the EBITDA margin is high at 74.35%, reflecting strong operational cash flow generation.

Balance Sheet

The balance sheet presents a stable financial position with a debt-to-equity ratio of 0.89, indicating moderate leverage. The return on equity is 11.97%, which is decent, showing that the company is generating a reasonable return on shareholders' equity. The equity ratio is not explicitly calculated, but the company's equity position appears solid given the total assets and stockholders' equity figures.

Cash Flow

Cash flow analysis reveals some challenges. The free cash flow is negative, although it has shown improvement with a growth rate of 40.27%. The operating cash flow to net income ratio is low at 0.11, indicating that cash generation from operations is not fully supporting net income. The free cash flow to net income ratio is negative, highlighting potential liquidity issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	497.30M	423.60M	487.68M	15.51M	15.24M	11.34M
Gross Profit	41.99M	60.24M	487.68M	6.52M	6.53M	10.29M
EBITDA	450.70M	261.89M	-19.00M	191.80M	190.21M	145.55M
Net Income	233.76M	155.96M	96.42M	162.09M	172.09M	132.60M
Balance Sheet
Total Assets	2.45B	2.49B	2.13B	1.67B	1.07B	868.12M
Cash, Cash Equivalents and Short-Term Investments	213.94M	362.92M	180.85M	80.55M	104.09M	20.21M
Total Debt	901.81M	1.10B	668.35M	530.00M	298.39M	224.19M
Total Liabilities	1.06B	1.25B	1.02B	696.48M	312.44M	292.85M
Stockholders Equity	1.34B	1.20B	1.08B	972.04M	759.38M	574.55M
Cash Flow
Free Cash Flow	8.74M	-14.24M	-9.39M	-35.50M	38.16M	-11.68M
Operating Cash Flow	44.64M	25.33M	21.20M	7.08M	45.62M	-9.57M
Investing Cash Flow	-53.19M	-78.75M	-143.70M	-143.93M	-132.26M	-340.49M
Financing Cash Flow	16.41M	229.28M	224.45M	161.43M	121.99M	353.73M

Lahav Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 780.20
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:LAHAV, the sentiment is Positive. The current price of 780.2 is above the 20-day moving average (MA) of 758.56, above the 50-day MA of 685.14, and above the 200-day MA of 564.06, indicating a bullish trend. The MACD of 39.10 indicates Negative momentum. The RSI at 80.49 is Negative, neither overbought nor oversold. The STOCH value of 88.09 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IL:LAHAV.

Lahav Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LAHAV	75 Outperform	2.20B	14.85	―	2.26%	19.43%	21.77%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
ILDC	64 Neutral	1.55B	11.76	―	3.87%	-5.51%	35.48%