Poalim (POLI) AI Stock Analysis

• Market Cap: $82.95B
• Dividend Yield: 3.46%
• Average Volume (3M): 3.53M
• Price to Earnings (P/E): 10.4
• Beta (1Y): 1.04
• Revenue Growth: 14.61%
• EPS Growth: 3.90%
• Country: IL
• Employees: 8,480
• Sector: Financial
• Sector Strength: 79
• Industry: Banks - Regional
• EPS (TTM): 183.00
• Shares Outstanding: 1,316,695,200
• 10 Day Avg. Volume: 3,776,960
• 30 Day Avg. Volume: 3,534,206
• PEG Ratio: 0.20
• Price to Book (P/B): 0.91
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -74.65
• 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: $6,878.27
• Price Target Upside: 6.56% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 80 Outperform
• Price Target: ―

Poalim's strong financial performance, particularly in income growth and balance sheet strength, is a key strength. The technical analysis supports a bullish outlook with strong upward momentum, while the valuation is attractive with a reasonable P/E ratio and solid dividend yield. However, volatility in cash flow management is a concern that should be monitored.

Poalim Business Overview & Revenue Model

Company Description

Bank Hapoalim B.M., together with its subsidiaries, provides various banking and financial products and services in Israel and internationally. It operates through Corporate Banking, Retail Banking, and Financial Markets and International Banking divisions. The company offers account-management services, credit for various purposes, deposits, and savings plans, and capital-market service; securities, and currencies and derivatives trading services; securities custody services; research, consulting, and advisory services; pension advisory and retirement planning services; and housing loans. It also provides credit for routine operations and investment financing, guarantees, letters of credit, foreign trade, and transactions in financial and derivative instruments, as well as investment services in various channels, such as foreign currency, shekels, securities, etc. In addition, the company offers financing for infrastructure projects, foreign trade and international trade financing, and project financing services; foreign trade transactions and transactions in financial derivatives; financing of working capital; syndication; credit-risk sales; financing of construction projects; dealing-room services; federal deposit insurance; and credit cards services. Further, it provides clearing of payment, asset management, investment portfolio management, investment banking, underwriting, and issuance management services. The company serves households, private-banking customers, foreign residents, small businesses, financial-asset managers, middle-market business clients, and large corporations through 175 branches, 601 external and 131 internal automatic teller machines, 126 external and 216 internal check-deposit machines, 30 information stations, 316 self-service stations, and 119 night safes. Bank Hapoalim B.M. was founded in 1921 and is based in Tel Aviv, Israel.

How the Company Makes Money

Poalim makes money through various revenue streams, primarily driven by interest income from loans and mortgages, as well as fees and commissions from banking services such as credit cards, asset management, and transaction processing. The company also generates revenue from investment banking activities, including underwriting and advisory services. Additionally, Poalim benefits from strategic partnerships with other financial institutions and businesses, which help expand its customer base and enhance its service offerings.

Poalim Financial Statement Overview

Summary

Poalim demonstrates strong financial health with significant income growth and an improved balance sheet, reflected in high net and EBIT margins. The balance sheet is solid with a strong equity position and no debt, minimizing financial risk. However, the volatility in cash flow management, especially operating cash flow, presents potential concerns.

Income Statement

Poalim has demonstrated strong revenue growth, with a notable increase of 28.4% from 2020 to 2024. The gross profit margin remains at 100%, consistent with its sector's characteristics. Net profit margins improved from 15.7% to 34.8% over five years, indicating enhanced profitability. EBIT margin also increased from 27.8% in 2020 to 58.9% in 2024, reflecting efficient cost management.

Balance Sheet

The bank's balance sheet indicates a strong equity position with a rising trend in stockholders' equity from $38.18 billion in 2019 to $58.15 billion in 2024. The equity ratio improved from 8.24% in 2020 to 8.07% in 2024, showing stability. The debt-to-equity ratio is low due to no reported debt in 2024, reducing financial risk. Return on Equity improved to 13.13% in 2024, showcasing effective use of equity.

Cash Flow

Poalim's cash flow analysis shows a mixed picture. The free cash flow has rebounded to $8.85 billion in 2024 from negative figures in prior years, indicating better cash management. However, the operating cash flow to net income ratio has fluctuated, with a significant negative operating cash flow in 2023. The free cash flow to net income ratio improved to 1.16 in 2024, signaling effective conversion of earnings to free cash.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	21.93B	21.31B	17.87B	14.30B	13.12B
Gross Profit	21.93B	21.31B	17.87B	14.30B	13.12B
EBITDA	0.00	0.00	0.00	0.00	0.00
Net Income	7.63B	7.36B	6.53B	4.91B	2.06B
Balance Sheet
Total Assets	720.84B	686.53B	665.35B	638.78B	539.60B
Cash, Cash Equivalents and Short-Term Investments	117.05B	107.11B	133.42B	189.28B	138.71B
Total Debt	0.00	22.36B	27.47B	26.27B	24.28B
Total Liabilities	662.69B	634.10B	618.85B	596.03B	499.70B
Stockholders Equity	58.15B	52.43B	46.50B	42.73B	39.87B
Cash Flow
Free Cash Flow	8.85B	-1.41B	-568.00M	4.29B	2.12B
Operating Cash Flow	9.83B	-437.00M	132.00M	5.18B	2.80B
Investing Cash Flow	-27.01B	-27.15B	-67.97B	-45.87B	-23.21B
Financing Cash Flow	26.47B	1.96B	10.55B	91.97B	73.86B

Poalim Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 6455.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:POLI, the sentiment is Positive. The current price of 6455 is above the 20-day moving average (MA) of 6030.90, above the 50-day MA of 5708.45, and above the 200-day MA of 4688.77, indicating a bullish trend. The MACD of 202.05 indicates Negative momentum. The RSI at 63.09 is Neutral, neither overbought nor oversold. The STOCH value of 87.90 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IL:POLI.

Poalim Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
POLI	80 Outperform	$82.95B	10.36	14.26%	3.46%	14.61%	3.90%
Sector *	60 Neutral	C$14.62B	6.20	20.17%	5.63%	26.93%	-38.21%
BLMIF		$26.75B	11.06	15.61%	2.86%	―	―
FBKIF		$7.04B	7.94	17.88%	1.30%	―	―
ISDAF		$11.99B	10.52	13.82%	0.83%	―	―
MZTFF		$16.58B	6.04	18.08%	6.51%	―	―
FIBIH		8.90B	7.91		4.59%	―	―

Poalim Corporate Events

Poalim Appoints New Chairman Amid Governance Restructuring

Poalim has appointed Noam Hanegbi as the new Chairman of the Board, effective February 18, 2025, following the approval from the supervisor of banks. Hanegbi, who previously served as an external and independent director, will now continue in his role as an external director under Directive 301, impacting the bank’s governance structure by removing his independent status upon his appointment as chairman.

Reuven Krupik Ends Tenure at Poalim

Reuven Krupik has concluded his role as Chairman of the Board and a director at Poalim after nine years. His resignation does not involve any circumstances needing communication to securities holders and will not affect the proportion of independent directors on the board.

Poalim Updates on Senior Officeholder Status

Poalim has released an immediate report detailing the status of its senior officeholders and alternate directors as of February 18, 2025. This announcement is significant as it provides insights into the current leadership structure of the company, potentially impacting its operational strategies and stakeholder relations.

Bank Hapoalim Appoints Noam Hangebi as New Chairman

Bank Hapoalim Ltd. has announced the appointment of Noam Hangebi as the new Chairman of the Board of Directors, following approval from the Supervisor of Banks. This leadership change is set to commence on February 18, 2025, potentially impacting the bank’s strategic direction and governance.

Poalim Schedules 2024 Financial Report Release and Conference Call

Poalim has announced the date for the release of its 2024 financial reports and an upcoming conference call. This announcement, signed by key figures in the company, indicates transparency and a structured communication approach with investors and the market, potentially impacting stakeholder engagement and market perceptions.

Bank Hapoalim to Release 2024 Financial Reports on March 3, 2025

Bank Hapoalim B.M. announced that it will release its 2024 financial reports on March 3, 2025. The reports will be available in both Hebrew and English on the bank’s website, and a conference call will be held on the same day to discuss the results. This release is significant for stakeholders as it provides insights into the bank’s financial performance and strategic positioning within the industry.

Bank Hapoalim to Release 2024 Financial Statements and Host Investor Call

Bank Hapoalim Ltd. announced that it will release its financial statements for 2024 on March 3, 2025. The bank will also host a conference call on the same day to discuss the results, allowing investors the chance to ask questions. The move is part of its efforts to maintain transparency with its stakeholders, although the financial statements provided will not offer a complete overview of the bank’s financial condition.

Bank Hapoalim to Release 2024 Financial Reports on March 3, 2025

Bank Hapoalim Ltd., a financial institution listed on the Tel Aviv Stock Exchange, announced it will release its 2024 annual financial reports on March 3, 2025. The reports will be accessible on the bank’s website and the Tel Aviv Stock Exchange site. The bank will also host a conference call to discuss the results, indicating transparency and engagement with investors.