Next Vision (NXSN) AI Stock Analysis

• Market Cap: ₪29.99B
• Dividend Yield: 0.77%
• Average Volume (3M): 369.18K
• Price to Earnings (P/E): 33.2
• Beta (1Y): 1.07
• Revenue Growth: 39.62%
• EPS Growth: 40.53%
• Country: IL
• Employees: 88
• Sector: Technology
• Sector Strength: 88
• Industry: Security & Protection Services
• EPS (TTM): 102.61
• Shares Outstanding: 91,319,440
• 10 Day Avg. Volume: 315,690
• 30 Day Avg. Volume: 369,175
• PEG Ratio: 1.93
• Price to Book (P/B): 6.43
• Price to Sales (P/S): 79.09
• P/FCF Ratio: 204.96
• 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: ₪40,500.00
• Price Target Upside: 175.51% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): 2.17
• Revenue Forecast (FY): ₪275.00M

• Rating: 82 Outperform
• Price Target: 41,192.00 ▲(180.22% Upside)
• Action: Reiterated Date: 03/12/26
• Date: Action: Reiterated 03/12/26

The score is driven primarily by very strong financial performance (high profitability, fast scaling, and low leverage). Technicals add support via a clear uptrend with healthy momentum. Valuation moderates the result due to a relatively high P/E and a low dividend yield, and 2025 cash conversion versus earnings remains a key item to watch.

Positive Factors

Revenue growth and scale

Sustained multi-year revenue expansion reflects successful market penetration and product adoption in ISR payloads. Scale supports fixed-cost absorption and long-term R&D reinvestment, improving durability of top-line growth and enabling broader platform integrations across UAS, maritime and ground markets.

Exceptionally strong margins

Very high reported gross and net margins suggest differentiated, high-value products or commanding pricing power. Durable margin structure supports strong internal cash generation, funds ongoing product development and service capabilities, and creates a structural buffer versus competitive pricing pressure.

Very conservative balance sheet

Minimal leverage and ample equity provide financial flexibility for capex, M&A or R&D without liquidity stress. A conservative capital structure reduces bankruptcy risk and supports long-term investment in product roadmaps and service/support infrastructure essential in defense/security markets.

Negative Factors

Weaker 2025 cash conversion

A meaningful divergence between reported earnings and operating cash flow indicates increased non-cash items or working-capital timing. Over the medium term this can constrain the company’s ability to fund organic growth or sustain distributions without tapping markets, and raises earnings quality questions.

Potential one-off drivers of profit step-change

Rapid profit expansion may include non-recurring gains, contract timing, or accounting effects. If margins were boosted by one-offs rather than structural demand or cost advantages, future profitability could regress, making forward earnings and investment planning less predictable.

Major jump in equity/assets

A large equity and asset increase points to a capital raise or revaluation that can alter per-share economics. While it strengthens liquidity, such structural events may dilute returns, change ownership incentives, or shift capital allocation priorities over the medium term.

Next Vision Business Overview & Revenue Model

Company Description

NextVison Stabilized Systems, Ltd. develops, manufactures, and markets stabilized day and night cameras for ground and aerial vehicles. The company was incorporated in 2009 and is based in Kfar Saba, Israel.

How the Company Makes Money

NextVision generates revenue primarily from selling its stabilized EO/IR payloads and associated hardware to customers that integrate these systems into drones and other platforms for ISR missions. Revenue is typically recognized through (1) product sales of camera/payload units (the main driver), and may be complemented by (2) sales of accessories, spares, and replacement parts tied to the installed base, and (3) services such as maintenance, repairs, and technical support/training when contracted. Information on specific pricing, customer concentration, contract structure (e.g., long-term vs. purchase-order driven), and named partnerships is null.

Next Vision Financial Statement Overview

Summary

Financial statements indicate exceptional performance: rapid multi-year revenue growth and unusually strong profitability, supported by a very conservative balance sheet with minimal leverage. Free cash flow is consistently positive and rising, but 2025 shows weaker cash conversion versus the surge in net income and a large step-change in equity/assets that warrants monitoring for sustainability and per-share impact.

Income Statement

The company shows exceptional profitability and strong acceleration in scale. Annual revenue grew from 7.9M (2020) to 182.2M (2025), with 2025 revenue up ~20.7% year over year. Profitability is unusually strong for the industry: 2024 delivered roughly 72% gross margin and ~58% net margin, and earnings expanded sharply in 2025 (net income 112.2M vs. 66.4M in 2024). The main watch-out is that margins for 2025 are not provided, and the step-change in size and profits warrants monitoring for sustainability versus one-off factors.

Balance Sheet

The balance sheet is very conservative and strengthening. Leverage is minimal: debt-to-equity was ~0.004 in 2024 and total debt remains very small relative to equity even in 2025 (4.0M debt vs. 615.8M equity). Equity and assets expanded materially by 2025, improving financial flexibility and downside protection. The key risk is that the large jump in equity/assets from 2024 to 2025 (equity 137.7M to 615.8M; assets 159.2M to 646.7M) suggests a major balance-sheet event (e.g., capital raise or revaluation), which can change per-share economics even if the company remains financially strong.

Cash Flow

Cash generation is solid and improving, with free cash flow positive every year shown and rising to 68.5M in 2025 (up ~26.8% year over year). Cash conversion has generally been strong: in 2021–2024, free cash flow was a high share of net income (about ~82% to ~96%). The main weakness is that 2025 cash flow did not keep pace with the surge in reported earnings (operating cash flow 68.9M vs. net income 112.2M), implying weaker cash conversion in the latest year and potential working-capital or non-cash earnings effects.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	151.04M	182.24M	114.93M	51.94M	26.05M	15.03M
Gross Profit	108.19M	126.10M	82.89M	35.62M	17.26M	9.41M
EBITDA	103.14M	112.58M	78.09M	28.82M	13.44M	6.85M
Net Income	89.91M	112.21M	66.40M	27.57M	11.15M	5.74M
Balance Sheet
Total Assets	610.00M	646.70M	159.16M	96.49M	64.27M	51.37M
Cash, Cash Equivalents and Short-Term Investments	529.63M	562.41M	122.61M	68.63M	53.90M	42.84M
Total Debt	3.43M	4.01M	496.00K	671.00K	257.00K	403.00K
Total Liabilities	28.00M	30.88M	21.46M	16.56M	7.59M	3.56M
Stockholders Equity	582.00M	615.82M	137.69M	79.93M	56.68M	47.81M
Cash Flow
Free Cash Flow	54.04M	68.52M	66.01M	20.35M	14.32M	3.67M
Operating Cash Flow	56.92M	68.89M	68.41M	21.80M	15.60M	4.47M
Investing Cash Flow	-1.59B	-459.20M	-50.10M	7.27M	1.94M	-12.85M
Financing Cash Flow	1.37B	398.88M	-11.74M	-5.79M	-2.98M	36.69M

Next Vision Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 14700.00
• 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:NXSN, the sentiment is Positive. The current price of 14700 is below the 20-day moving average (MA) of 33481.00, below the 50-day MA of 29120.40, and below the 200-day MA of 17606.56, indicating a bullish trend. The MACD of 2207.54 indicates Positive momentum. The RSI at 57.45 is Neutral, neither overbought nor oversold. The STOCH value of 31.73 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IL:NXSN.

Next Vision Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NXSN	82 Outperform	₪29.99B	33.19	―	0.77%	39.62%	40.53%
HLAN	76 Outperform	₪5.00B	19.00	22.56%	1.88%	7.39%	10.64%
ONE	76 Outperform	₪4.95B	20.43	―	2.55%	14.11%	25.79%
FORTY	73 Outperform	₪5.95B	47.62	―	2.68%	1.94%	-8.81%
MTRX	66 Neutral	₪9.15B	23.68	―	2.41%	8.82%	14.25%
MLTM	62 Neutral	₪2.32B	19.95	―	―	11.90%	13.57%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%