Max Stock (MAXO) AI Stock Analysis

• Market Cap: ₪4.06B
• Dividend Yield: 3.06%
• Average Volume (3M): 284.53K
• Price to Earnings (P/E): 33.8
• Beta (1Y): 0.56
• 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: 139,776,520
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 1.12
• Revenue Forecast (FY): ₪1.55B

• Rating: 76 Outperform
• Price Target: 3,217.00 ▲(29.87% Upside)
• Action: Reiterated Date: 12/19/25
• Date: Action: Reiterated 12/19/25

Max Stock's overall score is driven by strong financial performance and favorable technical indicators, suggesting a positive outlook. The high P/E ratio raises valuation concerns, but the solid dividend yield provides some compensation. The absence of recent earnings call data and notable corporate events means these factors do not influence the score.

Positive Factors

Free Cash Flow Generation

Sustained FCF growth near 63% TTM shows strong cash conversion and operational cash generation. That level of free cash flow gives the company durable flexibility to fund store investments, e-commerce expansion, pay down debt, or support dividends without relying on external financing.

High Return on Equity

A ROE of 44% indicates the company is extracting significant profit from shareholder capital, reflecting operational efficiency and effective capital allocation. High ROE can signal durable competitive advantages or a highly efficient retail model that delivers attractive long-term returns.

Diversified Discount Retail Model and Channels

A broad product assortment across physical stores and online, combined with a discount positioning, targets price-sensitive consumers and spreads revenue across categories and channels. This diversification supports steady demand and resilience to single-category shocks over the medium term.

Negative Factors

High Leverage

A debt-to-equity ratio above 3x signals significant financial leverage that raises refinancing and interest-rate risk. High leverage constrains strategic flexibility, increases vulnerability in downturns, and may force prioritization of debt service over growth investments or margin-supporting initiatives.

Inconsistent Revenue Growth Indicators

Divergent growth metrics—single-period fundamentals showing ~10% while TTM revenue growth is ~1.9%—suggest uneven top-line momentum or lumpy recognition. That inconsistency complicates forecasting, may reflect transient boosts, and increases uncertainty about sustaining long-term revenue expansion.

Structural Margin Pressure from Discounting

Operating as a discount retailer exposes margins to structural pressure from intense competition and supplier cost swings. Maintaining low prices to retain customers can constrain pricing power; in an inflationary or cost-up environment, sustaining current gross and net margins may require ongoing supplier concessions or volume gains.

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 exhibits strong financial performance with notable revenue and profit growth, supported by efficient operations and cash flow management. Despite high leverage, the company maintains robust returns on equity, indicating effective use of capital. The overall financial health is positive, with potential risks associated with debt levels.

Income Statement

Max Stock has demonstrated strong revenue growth with a TTM (Trailing-Twelve-Months) increase of 1.89% and consistent improvement in gross profit margins, reaching 43.13%. The net profit margin has also improved to 8.55%, indicating enhanced profitability. EBIT and EBITDA margins have shown positive trends, reflecting operational efficiency.

Balance Sheet

The company maintains a high debt-to-equity ratio of 3.22, which poses a leverage risk. However, the return on equity is robust at 44.22%, showcasing effective utilization of equity. The equity ratio stands at 19.27%, indicating a moderate reliance on equity financing.

Cash Flow

Max Stock has achieved significant free cash flow growth of 62.93% in the TTM, reflecting strong cash generation capabilities. The operating cash flow to net income ratio is 0.73, indicating healthy cash flow relative to earnings. The free cash flow to net income ratio of 0.86 suggests efficient conversion of earnings into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.40B	1.33B	1.12B	1.05B	976.27M	1.01B
Gross Profit	604.93M	556.10M	468.24M	418.31M	379.27M	358.93M
EBITDA	324.32M	279.94M	226.70M	188.56M	180.49M	194.52M
Net Income	119.88M	108.76M	81.01M	64.16M	68.20M	72.65M
Balance Sheet
Total Assets	1.32B	1.29B	1.11B	995.32M	972.15M	932.72M
Cash, Cash Equivalents and Short-Term Investments	120.72M	97.15M	128.86M	80.53M	50.34M	118.26M
Total Debt	818.50M	794.58M	688.22M	644.88M	643.43M	576.01M
Total Liabilities	1.06B	1.01B	880.30M	781.09M	771.54M	737.13M
Stockholders Equity	253.97M	270.94M	221.70M	202.07M	188.08M	177.27M
Cash Flow
Free Cash Flow	199.89M	88.30M	188.39M	174.26M	6.75M	142.50M
Operating Cash Flow	231.90M	132.27M	219.26M	201.01M	40.14M	160.00M
Investing Cash Flow	-32.31M	-44.15M	-31.85M	-26.65M	-11.60M	-41.36M
Financing Cash Flow	-166.07M	-119.80M	-139.11M	-144.17M	-96.47M	-46.44M

Max Stock Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 2477.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:MAXO, the sentiment is Neutral. The current price of 2477 is below the 20-day moving average (MA) of 2942.20, below the 50-day MA of 2795.42, and above the 200-day MA of 2128.83, indicating a neutral trend. The MACD of 43.98 indicates Positive momentum. The RSI at 49.64 is Neutral, neither overbought nor oversold. The STOCH value of 17.41 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IL:MAXO.

Max Stock Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MAXO	76 Outperform	₪4.06B	33.78	―	3.06%	9.97%	15.86%
NTML	73 Outperform	₪3.72B	15.97	―	4.18%	8.53%	39.35%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
DLEA	60 Neutral	₪1.94B	9.16	―	8.19%	-2.81%	372.63%