Levinstein Eng (LEVI) AI Stock Analysis

• Market Cap: 2.74B
• Dividend Yield: 0.96%
• Average Volume (3M): 3.65K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.65
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: IL
• Employees: 116
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): 116.50
• Shares Outstanding: 4,577,635
• 10 Day Avg. Volume: 2,843
• 30 Day Avg. Volume: 3,651
• PEG Ratio: -1.04
• Price to Book (P/B): 1.23
• Price to Sales (P/S): 2.43
• P/FCF Ratio: -20.61
• 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: 54 Neutral
• Price Target: 61,057.00 ▲(7.49% Upside)

The score is held back primarily by weak financial performance, especially negative operating and free cash flow alongside a shift to a small net loss and declining revenue. Technicals are a supporting factor due to a strong uptrend and positive MACD, but overbought indicators temper the outlook. Valuation is also a drag given the negative P/E and low dividend yield.

Positive Factors

Improved leverage and sizable equity base

Lower debt and a sizable equity base materially improve financial resilience. The decline in debt and debt/equity (~0.49x from ~1.18x) reduces interest burden and strengthens borrowing capacity, enabling LEVI to pursue larger infrastructure projects and endure downturns.

Diversified engineering services and long-term contracts

A diversified service mix across infrastructure, energy and technology plus government and private partnerships creates multiple durable revenue channels. This breadth lowers dependence on any single sector, supports recurring contract pipelines, and smooths revenue through cycles.

Stable gross margin and healthy operating margins

Consistent gross margin (~27%) and healthy operating margins indicate persistent pricing power and execution capability on projects. Stable margins support quicker translation of revenue recovery into profits, improving the odds of restoring net profitability as top-line stabilizes.

Negative Factors

Negative operating and free cash flow

Ongoing negative OCF and FCF show weak cash conversion and recurring cash burn, impairing the firm's ability to fund working capital, capex, or bid competitively without external funding. This raises execution risk and constrains financial flexibility for growth investments.

Declining revenue and recent net loss

An ~8.9% TTM revenue decline coupled with a small net loss weakens scale and pressures fixed-cost absorption. If the top-line contraction continues, backlog replenishment and margin recovery will be harder, requiring sustained new contract wins or permanent cost restructuring to restore growth.

Negative return on equity and weakened earnings quality

Slightly negative ROE signals capital is not generating adequate returns, reducing internal funding for R&D or talent. Persistently weak ROE can erode investor confidence and may force reliance on external financing, limiting strategic investments and long-term competitiveness.

Levinstein Eng Business Overview & Revenue Model

Company Description

Meshulam Levinstein Contracting & Engineering Ltd. engages in engineering, construction, and real estate businesses in Israel and internationally. The company undertakes construction projects for residential, office, commercial, and industrial purposes. It also develops office buildings, public buildings, and structures designed for the hi-tech industry; housing units, apartment buildings, and residential neighborhoods; shopping centers and commercial buildings. In addition, the company is involved in the operation and rental of various real estate properties; contract work and managing real estate assets; and project development and implementation activities, including land investments, handling permits, construction, sales, and rental activities. Further, it undertakes infrastructure work, bridge construction, and building contracting activities. The company was incorporated in 1964 and is based in Tel Aviv, Israel.

How the Company Makes Money

Levinstein Eng generates revenue through multiple key streams, primarily by providing engineering consulting services, design and project management for large-scale infrastructure projects, and specialized solutions in the energy sector. The company earns fees for its consulting services based on project size and complexity, often structured as hourly rates or fixed-price contracts. Additionally, LEVI collaborates with government agencies and private sector clients, resulting in significant partnerships that secure long-term contracts and project financing. The firm may also generate income through research and development initiatives, creating proprietary technologies or methodologies that can be licensed to other firms or sold as part of comprehensive service packages.

Levinstein Eng Financial Statement Overview

Summary

Levinstein Eng shows a stable yet challenged financial performance. Strong gross margins are offset by declining net profitability. The balance sheet is stable with moderate leverage, but cash flow issues highlight potential liquidity risks. Improvement in operational efficiency and cash management is needed.

Income Statement

Levinstein Eng has shown a mixed performance in its income statement. The gross profit margin for 2024 was approximately 26.8%, indicating a solid ability to cover direct costs. However, the net profit margin decreased significantly to about 4.9%, reflecting challenges in managing operating expenses or other costs. Revenue growth was modest at 2.5% from 2023 to 2024, suggesting limited expansion. The EBIT margin was strong at 18.9%, but the decline from previous years suggests potential operational inefficiencies.

Balance Sheet

The balance sheet reveals a stable financial position with a debt-to-equity ratio of 1.18, indicating a moderate level of leverage. The return on equity (ROE) for 2024 was approximately 2.5%, showing a decline in profitability from equity investments. The equity ratio was 33.3%, suggesting a balanced capital structure, but there is room for improvement in reducing liabilities.

Cash Flow

Cash flow analysis indicates challenges, with negative free cash flow growth and a negative operating cash flow. The operating cash flow to net income ratio was -2.36, highlighting inefficiencies in converting income into cash. The free cash flow to net income ratio was also negative, reflecting cash management issues. These factors suggest potential liquidity concerns.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	549.29M	630.91M	615.34M	716.65M	709.11M	662.63M
Gross Profit	149.06M	169.32M	185.94M	215.27M	187.39M	154.28M
EBITDA	98.48M	132.14M	183.32M	191.42M	423.23M	119.28M
Net Income	-1.63M	30.98M	59.29M	277.67M	315.44M	62.63M
Balance Sheet
Total Assets	3.87B	3.76B	3.71B	3.57B	3.08B	2.47B
Cash, Cash Equivalents and Short-Term Investments	168.68M	185.44M	270.52M	280.66M	156.82M	139.47M
Total Debt	791.71M	1.48B	1.40B	1.26B	1.04B	973.63M
Total Liabilities	2.18B	2.07B	2.05B	1.96B	1.71B	1.38B
Stockholders Equity	1.62B	1.25B	1.22B	1.18B	1.01B	795.50M
Cash Flow
Free Cash Flow	-15.14M	-74.47M	6.65M	-130.33M	114.11M	136.74M
Operating Cash Flow	-9.54M	-73.11M	12.17M	-122.03M	126.41M	146.23M
Investing Cash Flow	-114.37M	-26.40M	-129.69M	18.68M	-145.39M	-13.62M
Financing Cash Flow	63.92M	31.17M	82.55M	167.79M	35.60M	-70.07M

Levinstein Eng Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 56800.00
• 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:LEVI, the sentiment is Positive. The current price of 56800 is above the 20-day moving average (MA) of 54225.50, above the 50-day MA of 51671.20, and above the 200-day MA of 45026.72, indicating a bullish trend. The MACD of 2553.74 indicates Negative momentum. The RSI at 83.35 is Negative, neither overbought nor oversold. The STOCH value of 87.50 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IL:LEVI.

Levinstein Eng Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
DNYA	63 Neutral	5.19B	29.95	―	3.41%	15.47%	-3.42%
RMON	63 Neutral	3.60B	58.29	―	0.97%	54.25%	-1.47%
LEVI	54 Neutral	2.74B	-745.81	―	0.96%	―	―