Max Stock (MAXO) AI Stock Analysis

• Market Cap: 3.29B
• Dividend Yield: 3.31%
• Average Volume (3M): 284.53K
• Price to Earnings (P/E): 29.8
• Beta (1Y): 0.46
• Revenue Growth: 9.97%
• EPS Growth: 15.86%
• Country: IL
• Employees: 2,146
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Department Stores
• EPS (TTM): 29.00
• Shares Outstanding: 139,651,170
• 10 Day Avg. Volume: 380,818
• 30 Day Avg. Volume: 284,534
• PEG Ratio: 0.46
• Price to Book (P/B): 6.06
• Price to Sales (P/S): 1.23
• P/FCF Ratio: 18.60
• 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: 2,300.00
• Price Target Upside: -3.48% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 75 Outperform
• Price Target: 2,811.00 ▲(17.96% Upside)

Max Stock's overall score is driven by strong technical indicators and solid financial performance. The bullish technical trend is a significant positive, supported by strong profitability and revenue growth. However, the high leverage and slowing revenue growth rate pose risks. The valuation suggests potential overvaluation, but the dividend yield offers some compensation.

Positive Factors

Profitability

Strong profitability and effective equity utilization indicate a robust business model, supporting sustainable earnings and potential for reinvestment.

Cash Flow Generation

Improved cash efficiency enhances the company's ability to reinvest in growth opportunities, pay down debt, or return capital to shareholders.

Gross Profit Margins

High gross profit margins reflect effective cost management and pricing power, supporting long-term profitability and competitive positioning.

Negative Factors

High Leverage

Significant leverage can increase financial risk, potentially limiting flexibility and increasing vulnerability to economic downturns.

Slowing Revenue Growth

Slowing revenue growth may signal market saturation or increased competition, potentially impacting future expansion and profitability.

Free Cash Flow Conversion

Limited conversion of earnings to free cash flow could restrict the company's ability to fund new projects or reduce debt, impacting growth potential.

Max Stock Business Overview & Revenue Model

Company Description

Max Stock Ltd. operates various discount stores in Israel. Its stores provide products in various categories, including school supplies, disposable dishes, clothing and textiles, arts and crafts, furniture, home accessories and gifts, toys, cleaning products, plasticware, kitchen and cooking utensils, bithdays, and tools and hardware. The company is based in Caesarea, Israel.

How the Company Makes Money

Max Stock generates revenue primarily through direct sales of its products in physical stores and online platforms. The company employs a discount retail model, which allows it to sell products at lower prices than traditional retailers, attracting price-sensitive customers. Key revenue streams include sales from various product categories, including household items, electronics, and apparel. Additionally, Max Stock may benefit from strategic partnerships with suppliers, allowing for better procurement prices and promotional deals, which enhance profit margins. Seasonal promotions and loyalty programs also contribute to increased customer retention and sales volume, further solidifying its revenue base.

Max Stock Financial Statement Overview

Summary

Max Stock demonstrates strong profitability and revenue growth, with solid margins and effective equity utilization. However, the high debt levels present a risk, and the slowing revenue growth rate may impact future performance. Cash flow generation is improving, but the conversion of earnings to free cash flow could be better. Overall, the company is financially healthy but should manage its leverage carefully.

Income Statement

Max Stock has shown consistent revenue growth with a TTM increase of 1.43% and strong gross profit margins around 41.8%. The net profit margin has improved slightly to 8.26% in the TTM, indicating enhanced profitability. EBIT and EBITDA margins are solid, reflecting efficient operations. However, the revenue growth rate has slowed compared to previous years, which could be a concern for future expansion.

Balance Sheet

The company exhibits a high debt-to-equity ratio of 3.39 in the TTM, suggesting significant leverage which could pose financial risks. Return on equity is robust at 46.83%, indicating effective use of equity to generate profits. The equity ratio is relatively low, highlighting a reliance on debt financing. Overall, while profitability is strong, the high leverage is a potential risk.

Cash Flow

Operating cash flow has increased, with a TTM operating cash flow to net income ratio of 0.38, indicating decent cash generation relative to profits. Free cash flow has grown by 17.23% in the TTM, showing improved cash efficiency. However, the free cash flow to net income ratio of 0.75 suggests that not all earnings are translating into free cash flow, which could limit reinvestment opportunities.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.38B	1.33B	1.12B	1.05B	976.27M	1.01B
Gross Profit	582.09M	556.10M	468.24M	418.31M	379.27M	358.93M
EBITDA	306.71M	279.94M	226.70M	188.56M	180.49M	194.52M
Net Income	110.33M	108.76M	81.01M	64.16M	68.20M	72.65M
Balance Sheet
Total Assets	1.28B	1.29B	1.11B	995.32M	972.15M	932.72M
Cash, Cash Equivalents and Short-Term Investments	92.61M	97.15M	128.86M	80.53M	50.34M	118.26M
Total Debt	827.09M	794.58M	688.22M	644.88M	643.43M	576.01M
Total Liabilities	1.02B	1.01B	880.30M	781.09M	771.54M	737.13M
Stockholders Equity	253.72M	270.94M	221.70M	202.07M	188.08M	177.27M
Cash Flow
Free Cash Flow	122.69M	88.30M	188.39M	174.26M	6.75M	142.50M
Operating Cash Flow	160.36M	132.27M	219.26M	201.01M	40.14M	160.00M
Investing Cash Flow	-37.19M	-44.15M	-31.85M	-26.65M	-11.60M	-41.36M
Financing Cash Flow	-125.10M	-119.80M	-139.11M	-144.17M	-96.47M	-46.44M

Max Stock Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2383.00
• 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:MAXO, the sentiment is Positive. The current price of 2383 is below the 20-day moving average (MA) of 2384.00, above the 50-day MA of 2257.00, and above the 200-day MA of 1707.52, indicating a bullish trend. The MACD of 37.93 indicates Positive momentum. The RSI at 58.00 is Neutral, neither overbought nor oversold. The STOCH value of 67.86 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IL:MAXO.

Max Stock Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NTML	79 Outperform	2.85B	12.65	―	4.66%	8.53%	39.35%
DLEA	75 Outperform	2.44B	11.64	―	7.63%	-2.81%	372.63%
MAXO	75 Outperform	3.29B	29.79	―	3.31%	9.97%	15.86%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%