Meshek Energy (MSKE) AI Stock Analysis

• Market Cap: ₪8.13B
• Dividend Yield: N/A
• Average Volume (3M): 899.10K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.01
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: IL
• Employees: 57
• Sector: Energy
• Sector Strength: 52
• Industry: Renewable Utilities
• EPS (TTM): N/A
• Shares Outstanding: 728,821,040
• 10 Day Avg. Volume: 1,593,908
• 30 Day Avg. Volume: 899,098
• PEG Ratio: 0.01
• Price to Book (P/B): 0.78
• Price to Sales (P/S): 18.04
• P/FCF Ratio: -11.74
• 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: 52 Neutral
• Price Target: 1,174.00 ▲(41.57% Upside)
• Action: Downgraded Date: 01/27/26
• Date: Action: Downgraded 01/27/26

The score is primarily constrained by weak financial performance—deteriorating profitability and persistent negative free cash flow despite strong revenue growth and margins. Technicals are supportive due to a strong uptrend, but overextended momentum signals add near-term risk. Valuation impact is neutral due to missing P/E and dividend yield.

Positive Factors

Revenue scaling & improving gross margins

Sustained revenue scaling with improving gross margins indicates strong unit economics at the core business. Over 2–6 months this supports reinvestment in projects, enhances project-level profitability, and underpins longer-term contract negotiations and partner confidence.

Diversified recurring revenue mix (PPAs, consulting)

Stable PPA-backed power sales plus consulting and partnership revenue create diversified, recurring cash streams. This reduces revenue volatility, supports predictable project financing, and aligns with structural demand for renewables over the medium term.

Improving leverage position vs earlier years

A moderate leverage profile with debt below equity and asset growth signals balance-sheet repair and capacity to fund expansion. That structural improvement increases financial flexibility for project development and reduces refinancing strain over coming quarters.

Negative Factors

Deteriorating profitability and operating losses

A swing to larger losses and negative operating profit undermines the ability to self-fund growth and weakens investor returns. Persisting operating deficits over months raise execution risk and pressure margins unless operating efficiencies or revenue mix change materially.

Consistent negative free cash flow

Ongoing negative free cash flow indicates project investment or cash burn that isn’t yet cash-generative. This creates persistent funding needs, heightens reliance on external capital, and increases vulnerability if debt markets tighten or financing costs rise.

Rising debt and weak shareholder returns

Increasing leverage paired with negative ROE constrains strategic optionality and raises default or covenant risk if profits don’t recover. Over a multi-month horizon this can limit investment, increase financing costs, and pressure the firm's ability to deliver shareholder value.

Meshek Energy Business Overview & Revenue Model

Company Description

Meshek Energy - Renewable Energies Ltd. engages in the renewable energy business. The company is involved in the initiation, construction, and operation of photovoltaic electricity generation facilities. Meshek Energy - Renewable Energies Ltd. was founded in 2016 and is based in Tel Aviv-Yafo, Israel.

How the Company Makes Money

Meshek Energy generates revenue through several key streams: primarily, it earns money by developing and operating renewable energy projects, which include solar farms and wind turbines. The company sells the generated electricity to utility companies and large-scale consumers through power purchase agreements (PPAs), creating a stable income source. Additionally, Meshek Energy offers consulting services to businesses and municipalities looking to implement renewable energy solutions, which further contributes to its revenue. Strategic partnerships with technology providers and government agencies also enhance its earning potential, as these collaborations can lead to additional funding opportunities and grants aimed at promoting clean energy initiatives.

Meshek Energy Financial Statement Overview

Summary

Strong revenue scaling and generally improving gross margins, but profitability has deteriorated sharply (losses in 2024 and larger in TTM) and free cash flow is consistently negative and worsening in TTM, indicating ongoing funding needs and elevated execution risk.

Income Statement

Revenue has scaled meaningfully over the last several years (from 2020 through 2024, with further growth in TTM (Trailing-Twelve-Months)), and gross profit margins are strong and generally improving versus 2023. However, profitability has deteriorated: the company swung from modest profitability in 2023 to sizable losses in 2024 and an even larger loss in TTM (Trailing-Twelve-Months), with operating profit turning negative as well. The mix of high gross margin but negative net results points to heavy below-gross-profit costs (e.g., overhead, financing, or other non-operating items), creating earnings volatility and limiting the quality of the growth.

Balance Sheet

The balance sheet shows a moderate leverage profile in recent periods, with debt below equity in 2022–TTM (Trailing-Twelve-Months), which is healthier than 2020–2021 when leverage was notably higher. Asset growth has been significant over time, indicating investment and expansion. The key weakness is weak shareholder returns driven by losses (negative return on equity in 2024 and TTM (Trailing-Twelve-Months)), and rising debt from 2023 to TTM (Trailing-Twelve-Months) increases sensitivity if profitability does not recover.

Cash Flow

Operating cash flow is positive in 2022–TTM (Trailing-Twelve-Months) but relatively small compared with the scale of losses in TTM (Trailing-Twelve-Months), indicating earnings are not currently translating into cash strength. Free cash flow is consistently negative across all shown years and worsened in TTM (Trailing-Twelve-Months) versus 2024, suggesting ongoing heavy investment and/or cash burn. While some years show improving free cash flow trends, the overall pattern points to continued funding needs and higher financial risk if capital markets tighten.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	125.87M	100.46M	79.10M	66.75M	44.69M	9.31M
Gross Profit	100.47M	80.88M	34.11M	55.39M	36.75M	4.66M
EBITDA	51.10M	76.12M	66.47M	53.89M	1.46M	-6.85M
Net Income	-139.16M	-52.16M	1.80M	-10.88M	-40.28M	-10.94M
Balance Sheet
Total Assets	4.44B	3.96B	3.32B	2.43B	961.69M	540.20M
Cash, Cash Equivalents and Short-Term Investments	372.72M	52.77M	296.42M	43.59M	43.46M	69.85M
Total Debt	1.73B	1.18B	902.37M	711.03M	650.97M	310.91M
Total Liabilities	1.82B	1.26B	946.92M	728.07M	676.78M	318.84M
Stockholders Equity	2.25B	2.33B	2.37B	1.70B	285.89M	221.36M
Cash Flow
Free Cash Flow	-118.55M	-154.38M	-187.91M	-109.32M	-134.13M	-44.62M
Operating Cash Flow	22.18M	30.58M	8.11M	52.95M	-1.41M	-11.07M
Investing Cash Flow	-163.43M	-842.39M	-208.69M	-76.77M	-78.50M	-285.93M
Financing Cash Flow	458.83M	568.21M	453.28M	24.00M	53.52M	364.69M

Meshek Energy Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 829.30
• 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:MSKE, the sentiment is Positive. The current price of 829.3 is below the 20-day moving average (MA) of 1063.15, below the 50-day MA of 982.74, and above the 200-day MA of 606.07, indicating a bullish trend. The MACD of 17.84 indicates Positive momentum. The RSI at 63.38 is Neutral, neither overbought nor oversold. The STOCH value of 66.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IL:MSKE.

Meshek Energy Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
ENRG	59 Neutral	₪11.56B	40.36	―	2.25%	-1.14%	6.47%
ENLT	58 Neutral	$29.71B	55.61	8.71%	―	21.55%	139.11%
ECNR	54 Neutral	₪3.67B	-155.76	―	―	-9.53%	-125.66%
MSKE	52 Neutral	₪8.13B	―	―	―	―	―
DORL	47 Neutral	₪12.31B	-30.78	―	―	113.54%	-242.38%
NOFR	44 Neutral	₪6.35B	-79.52	―	―	5.79%	-13.05%