Phoenix (PHOE) AI Stock Analysis

• Market Cap: 32.94B
• Dividend Yield: 3.53%
• Average Volume (3M): 1.33M
• Price to Earnings (P/E): 12.1
• Beta (1Y): 1.46
• Revenue Growth: 12.22%
• EPS Growth: 71.31%
• Country: IL
• Employees: 5,204
• Sector: Financial
• Sector Strength: 70
• Industry: Insurance - Diversified
• EPS (TTM): 320.00
• Shares Outstanding: 254,181,690
• 10 Day Avg. Volume: 1,003,045
• 30 Day Avg. Volume: 1,333,724
• PEG Ratio: 0.05
• Price to Book (P/B): 1.12
• Price to Sales (P/S): 0.44
• P/FCF Ratio: -8.38
• 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: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 81 Outperform
• Price Target: 14,975.00 ▲(14.49% Upside)

Phoenix's strong financial performance, particularly in revenue growth and profitability, combined with robust technical indicators, contribute significantly to its high score. The attractive valuation further supports the stock's potential, despite some liquidity concerns from recent cash flow issues.

Positive Factors

Revenue Growth

Phoenix's robust revenue growth indicates strong market demand and successful product adoption, enhancing long-term business sustainability.

Profitability Improvements

Improved profitability margins suggest effective cost management and operational efficiency, strengthening Phoenix's financial position.

Stable Balance Sheet

A stable balance sheet with moderate leverage provides Phoenix with financial flexibility to invest in growth opportunities and withstand economic fluctuations.

Negative Factors

Cash Flow Challenges

Negative cash flow from operations highlights potential liquidity issues, which could constrain Phoenix's ability to fund operations and growth initiatives.

Debt Increase

Rising debt levels may increase financial risk and interest obligations, potentially impacting Phoenix's long-term financial health if not controlled.

Volatility in EBIT

Historical EBIT volatility indicates potential operational instability, which could affect future profitability and investor confidence if not addressed.

Phoenix Business Overview & Revenue Model

Company Description

The Phoenix Holdings Ltd. provides various insurance and pension products in Israel. It offers life and disability insurance; flight cancellation; and property and casualty insurance, including motor vehicle, motor property, home and business, third-party liability, employers' liability, directors' and officers' liability, product liability, building, contract works, and marine insurance products, as well as health insurance products, such as long-term care and critical illness, travel, sick leave, illness and hospitalization, and dental insurance. The company also provides mechanical-engineering equipment, mechanical breakdown, refrigerated inventory, cargo in transit and shippers' liability, short-term personal accident, fidelity, agricultural, and electronic equipment insurance; investment insurance for home buyers; insurance covering production and cancellation of events; and clinical trials, money, goods in transit, works of art, aviation, terrorism acts, and cyber insurance. In addition, it offers financial asset management services comprising marketing and management of investments, underwriting and investment banking, mutual funds management, and stock exchange and trading services; and pension, education, and provident funds, as well as savings products. The company was formerly known as The Israel Phoenix Assurance Company Limited. The Phoenix Holdings Ltd. was incorporated in 1949 and is headquartered in Givatayim, Israel.

How the Company Makes Money

Phoenix generates revenue through multiple streams, primarily from the sale of solar energy products and systems. Key revenue sources include the direct sale of solar panels and energy storage solutions to consumers and businesses, installation services, and ongoing maintenance contracts. Additionally, the company engages in strategic partnerships with governmental and non-governmental organizations to facilitate large-scale renewable energy projects, which contribute significantly to its earnings. Phoenix also benefits from incentives and subsidies related to renewable energy initiatives, further enhancing its profitability.

Phoenix Financial Statement Overview

Summary

Phoenix exhibits strong revenue growth and profitability improvements, supported by efficient operations and a stable balance sheet. However, recent cash flow challenges highlight potential liquidity risks. The company should focus on stabilizing cash flows to maintain its financial health.

Income Statement

Phoenix has demonstrated strong revenue growth, with a significant increase from $24.1 billion in 2023 to $30.1 billion in 2024. The gross profit margin remains exceptionally high, indicating efficient cost management. The net profit margin improved substantially, reflecting enhanced profitability. EBIT and EBITDA margins also show positive trends, underscoring operational efficiency. However, the volatility in past EBIT figures suggests some historical instability.

Balance Sheet

The company maintains a healthy equity position, with a debt-to-equity ratio of 0.88, indicating moderate leverage. The return on equity has improved, reflecting better utilization of shareholder funds. The equity ratio is stable, suggesting a solid financial foundation. However, the increase in total debt over the years could pose a risk if not managed carefully.

Cash Flow

Phoenix's cash flow from operations turned negative in 2024, a concerning trend after positive figures in previous years. Free cash flow also declined, indicating potential liquidity challenges. The operating cash flow to net income ratio has deteriorated, suggesting inefficiencies in converting income into cash. Despite these issues, past performance shows the ability to generate positive cash flows.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	30.14B	30.15B	24.11B	8.49B	28.62B	17.10B
Gross Profit	28.90B	27.36B	22.01B	6.64B	27.01B	15.41B
EBITDA	5.42B	3.88B	2.04B	2.56B	3.26B	2.21B
Net Income	2.69B	1.82B	777.40M	1.26B	1.96B	1.17B
Balance Sheet
Total Assets	184.95B	172.57B	159.79B	147.52B	143.58B	119.16B
Cash, Cash Equivalents and Short-Term Investments	23.91B	32.01B	33.03B	29.51B	26.91B	19.96B
Total Debt	16.26B	10.46B	9.36B	8.11B	6.35B	4.90B
Total Liabilities	172.39B	160.32B	148.90B	136.98B	133.66B	111.08B
Stockholders Equity	12.18B	11.91B	10.58B	10.14B	9.65B	7.97B
Cash Flow
Free Cash Flow	117.23M	-1.60B	1.14B	2.20B	4.19B	4.40B
Operating Cash Flow	937.64M	-701.54M	2.18B	2.73B	4.55B	4.77B
Investing Cash Flow	-981.56M	-1.30B	-1.46B	-535.97M	-214.98M	-479.71M
Financing Cash Flow	2.61B	109.19M	1.84B	1.67B	-402.69M	374.22M

Phoenix Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 13080.00
• 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:PHOE, the sentiment is Neutral. The current price of 13080 is below the 20-day moving average (MA) of 13478.00, above the 50-day MA of 12431.40, and above the 200-day MA of 9363.35, indicating a neutral trend. The MACD of 258.66 indicates Positive momentum. The RSI at 49.02 is Neutral, neither overbought nor oversold. The STOCH value of 15.68 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IL:PHOE.

Phoenix Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PHOE	81 Outperform	32.94B	12.09	―	3.53%	12.22%	71.31%
MMHD	79 Outperform	20.56B	12.30	―	3.18%	28.29%	74.13%
CLIS	75 Outperform	14.81B	10.42	―	2.01%	―	―
HARL	75 Outperform	$23.84B	12.36	23.23%	2.61%	5.84%	138.80%
MGDL	74 Outperform	12.79B	14.56	―	0.39%	6.00%	36.33%
IDIN	69 Neutral	3.62B	10.52	―	6.13%	19.48%	53.61%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%