Opc Energy (OPCE) AI Stock Analysis

• Market Cap: ₪38.44B
• Dividend Yield: N/A
• Average Volume (3M): 410.42K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.82
• Revenue Growth: 2.67%
• EPS Growth: 132.35%
• Country: IL
• Employees: 149
• Sector: Energy
• Sector Strength: 52
• Industry: Independent Power Producers
• EPS (TTM): N/A
• Shares Outstanding: 309,760,130
• 10 Day Avg. Volume: 456,766
• 30 Day Avg. Volume: 410,418
• PEG Ratio: 0.00
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: 63 Neutral
• Price Target: 13,217.00 ▲(70.12% Upside)
• Action: Reiterated Date: 03/22/26
• Date: Action: Reiterated 03/22/26

The score is driven primarily by improving financial performance—stronger revenue/profitability and better cash generation—tempered by modest ROE and mixed cash conversion. Technicals are supportive but currently overbought, and valuation (P/E ~20.5 with no dividend yield provided) is not clearly cheap.

Positive Factors

Revenue and Profitability Recovery

Sustained top-line momentum and a meaningful margin rebound indicate the business is moving from recovery to consistent operating profitability. Over 2–6 months this supports reinvestment capacity, credit profiles and resilience versus past loss years.

Improved Cash Generation

The swing to positive free cash flow after multi-year outflows materially improves funding flexibility for capex, debt servicing and strategic spending. Durable cash generation reduces refinancing risk and supports long-term financial stability.

Moderating Leverage

Lower debt relative to equity points to an improving capital structure and greater financial headroom. Moderate, declining leverage enhances credit profile and capacity to finance growth or absorb shocks without forcing dilutive financing.

Negative Factors

Low Return on Equity

A ~5% ROE indicates limited efficiency converting shareholder capital into profits. Over months this constrains compounding of shareholder value, may require longer to justify reinvestment, and limits returns relative to peers in capital-intensive power generation.

Mixed Cash Conversion Quality

Free cash flow materially below reported net income signals earnings are not fully converting to cash. This variability, tied to capex and working capital swings, reduces predictability of funding for dividends, buybacks or debt reduction over the medium term.

Margin Compression & Earnings Volatility

Compressed gross margins and cyclical earnings reflect exposure to input costs, power pricing and regulatory factors. Structural volatility can erode long-term cashflow visibility and make capital planning and sustained margin expansion more challenging.

Opc Energy Business Overview & Revenue Model

Company Description

OPC Energy Ltd. owns, develops, and operates power generation facilities in Israeli. It operates a conventional combined cycle power plant with an installed capacity of 466 megawatts (MW); and a natural gas-fired open-cycle power station with a capacity of approximately 396 MW, as well as has a co-generation power plant with an installed capacity of 144 MW. The company was formerly known as IC Power Israel Ltd. and changed its name to OPC Energy Ltd. in July 2017. The company was incorporated in 2010 and is based in Tel Aviv-Yafo, Israel. OPC Energy Ltd. operates as a subsidiary of Kenon Holdings Ltd.

Opc Energy Financial Statement Overview

Summary

Improving fundamentals with strong TTM revenue growth and materially better profitability (net margin ~9.9% vs ~4.0% in 2024) and a return to sustained profitability since 2022. Offsetting factors include gross margin compression vs 2023, only modest ROE (~5.3%), and cash flow quality that remains mixed (FCF ~57% of net income) after a historically uneven FCF pattern.

Income Statement

TTM (Trailing-Twelve-Months) shows solid top-line momentum with revenue up strongly versus the prior year and profitability improving meaningfully (net margin ~9.9% vs ~4.0% in 2024). The company has also rebounded from losses in 2020–2021 to consistent profitability since 2022. Offsetting this, gross margin has compressed from 2023 levels and earnings have been somewhat volatile over the cycle, which is typical for power producers but still a key risk to monitor.

Balance Sheet

Leverage is moderate and improving: debt relative to equity declined from elevated levels in 2020–2023 to ~0.72 in TTM (Trailing-Twelve-Months), supported by higher equity. However, returns on shareholder capital remain modest (TTM return on equity ~5.3%), suggesting profitability is not yet strong relative to the capital base, and the business still carries a sizable debt load in absolute terms.

Cash Flow

Cash generation has improved sharply in TTM (Trailing-Twelve-Months), with operating cash flow rising and free cash flow turning solidly positive after multiple years of negative free cash flow (2021–2024). That said, cash conversion remains mixed: free cash flow is still well below net income (free cash flow is ~57% of net income), and the recent swing from large cash outflows to inflows highlights potential variability tied to capital spending and working-capital moves.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	3.00B	2.78B	2.55B	1.93B	1.57B
Gross Profit	507.00M	531.00M	725.00M	332.00M	317.00M
EBITDA	1.06B	1.01B	832.00M	688.00M	291.00M
Net Income	346.00M	111.00M	144.00M	167.00M	-304.00M
Balance Sheet
Total Assets	14.99B	12.07B	12.62B	9.53B	7.74B
Cash, Cash Equivalents and Short-Term Investments	2.91B	962.00M	1.02B	974.00M	757.00M
Total Debt	5.67B	4.67B	5.77B	4.22B	3.87B
Total Liabilities	6.98B	5.65B	7.38B	5.17B	4.89B
Stockholders Equity	6.47B	4.75B	3.85B	3.51B	2.27B
Cash Flow
Free Cash Flow	601.00M	-495.00M	-728.00M	-697.00M	-366.00M
Operating Cash Flow	1.00B	765.00M	495.00M	207.00M	385.00M
Investing Cash Flow	-1.80B	-1.71B	-2.17B	-1.10B	-872.00M
Financing Cash Flow	2.90B	891.00M	1.82B	986.00M	997.00M

Opc Energy Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 7769.00
• 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:OPCE, the sentiment is Positive. The current price of 7769 is below the 20-day moving average (MA) of 10768.75, below the 50-day MA of 9373.92, and above the 200-day MA of 6475.17, indicating a bullish trend. The MACD of 761.08 indicates Negative momentum. The RSI at 83.14 is Negative, neither overbought nor oversold. The STOCH value of 96.76 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IL:OPCE.

Opc Energy Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NWMD	67 Neutral	₪23.19B	19.61	24.33%	3.95%	-15.01%	-16.12%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
OPCE	63 Neutral	₪38.44B	―	―	―	2.67%	132.35%
DLEKG	58 Neutral	₪21.84B	6.25	4.49%	6.64%	17.71%	211.99%
ENRG	55 Neutral	₪12.13B	35.44	―	2.25%	-1.14%	6.47%
MSKE	52 Neutral	₪9.33B	71.54	―	―	―	―
DORL	47 Neutral	₪13.25B	-11.76	―	―	113.54%	-242.38%