PROPDO LTD (PRPD) AI Stock Analysis

• Market Cap: ₪142.61M
• Dividend Yield: N/A
• Average Volume (3M): 5.72K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.06
• Revenue Growth: 1290.36%
• EPS Growth: -214.81%
• Country: IL
• Employees: 23
• Sector: Real Estate
• Sector Strength: 53
• Industry: Software - Application
• EPS (TTM): -211.20
• Shares Outstanding: 6,329,667
• 10 Day Avg. Volume: 3,773
• 30 Day Avg. Volume: 5,719
• PEG Ratio: 0.33
• Price to Book (P/B): 4.47
• Price to Sales (P/S): 51.51
• P/FCF Ratio: -6.31
• 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: 53 Neutral
• Price Target: 2,263.00 ▼(-8.19% Downside)

The overall stock score is primarily influenced by the company's strong technical indicators, which suggest bullish momentum. However, significant financial performance challenges, including profitability and cash flow issues, weigh heavily on the score. The lack of profitability and absence of a dividend yield further impact the valuation negatively.

Positive Factors

Revenue Growth

Sustained double‑digit revenue expansion demonstrates strong top‑line traction and product adoption. Over a 2–6 month horizon, growing revenue can improve unit economics, support scale benefits and enable prioritized reinvestment to address operational inefficiencies and move toward profitability.

High Gross Margin

A high gross profit margin implies favorable unit economics and pricing power typical of scalable software applications. This provides structural capacity to absorb operating expenses as revenue scales and supports sustainable margin improvement once operating leverage and cost discipline are enforced.

Improving Free Cash Flow

A positive shift in free cash flow metrics indicates progress converting accounting gains into cash. If the modest improvement continues, the company gains durable flexibility to fund operations, reduce reliance on external financing and strengthen the balance sheet over the medium term.

Negative Factors

High Leverage

A debt/equity ratio of 2.45 signals material leverage that constrains financial flexibility. Over months, high debt servicing needs increase vulnerability to revenue slowdowns, limit investment options, and may force prioritization of repayments over growth initiatives, raising long‑term execution risk.

Negative Profitability

Persistent negative net and EBIT margins and a negative ROE show the company is not yet converting growth into profits. Structurally, continued unprofitability drains equity and requires ongoing financing, making sustainable margin recovery and shareholder value creation uncertain absent clear operational fixes.

Negative Operating Cash Flow

Negative operating and free cash flow means core operations are not cash generative and the company relies on external funding. Over a multi‑month horizon this limits the ability to deleverage, invest in growth, or withstand shocks, raising solvency and execution risk until cash conversion improves.

PROPDO LTD Business Overview & Revenue Model

Company Description

Propdo Ltd engages in the development of technological tools that support application of the real estate market in the United States, Brazil, Germany, and Israel. The company was incorporated in 2020 and is based in Ramat Gan, Israel.

How the Company Makes Money

PROPDO LTD generates revenue primarily through subscription-based models for its software platform, where property management companies pay monthly or annual fees for access to its tools and services. Additionally, the company earns revenue from transaction fees on property listings and rental agreements processed through its platform. Strategic partnerships with real estate agencies and financial institutions also contribute to its earnings, as these collaborations enable PROPDO to offer bundled services and enhance its market reach. Furthermore, PROPDO may explore advertising opportunities within its platform, allowing third-party service providers to promote their offerings to users, thus creating an additional revenue stream.

PROPDO LTD Financial Statement Overview

Summary

PROPDO LTD is experiencing strong revenue growth but faces significant profitability and cash flow challenges. The high leverage and negative return on equity highlight financial risks. While there are some positive trends in revenue and free cash flow growth, the company needs to address its operational inefficiencies and improve its financial stability.

Income Statement

PROPDO LTD has shown significant revenue growth, particularly in the latest year with a 101.27% increase. However, the company is struggling with profitability, as indicated by negative net profit margins and EBIT margins. The gross profit margin is high, but this is overshadowed by substantial operating losses.

Balance Sheet

The balance sheet shows a high debt-to-equity ratio of 2.45, indicating significant leverage. The return on equity is negative, reflecting the company's inability to generate profits from shareholders' equity. The equity ratio is low, suggesting potential financial instability.

Cash Flow

Cash flow analysis reveals negative operating cash flow and free cash flow, although there is a slight improvement in free cash flow growth. The operating cash flow to net income ratio is negative, indicating cash flow challenges. The free cash flow to net income ratio is slightly above 1, showing some alignment between cash flow and accounting profits.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	13.13M	1.90M	1.87M	840.00K	119.00K	0.00
Gross Profit	13.07M	1.84M	1.87M	840.00K	119.00K	-2.00K
EBITDA	-15.24M	-15.32M	-13.35M	-10.08M	-4.74M	-3.36M
Net Income	-23.56M	-9.48M	-12.84M	-10.07M	-4.79M	-3.37M
Balance Sheet
Total Assets	223.33M	188.70M	15.21M	11.91M	2.54M	32.00K
Cash, Cash Equivalents and Short-Term Investments	32.44M	17.54M	8.10M	10.04M	2.02M	1.00K
Total Debt	100.52M	53.49M	198.00K	506.00K	5.59M	0.00
Total Liabilities	190.83M	145.18M	7.23M	1.54M	9.29M	1.99M
Stockholders Equity	10.84M	21.87M	8.33M	10.37M	-6.75M	-1.96M
Cash Flow
Free Cash Flow	-37.49M	-15.50M	-11.37M	-9.93M	-3.16M	-351.43K
Operating Cash Flow	-37.36M	-15.36M	-11.32M	-9.70M	-3.12M	-332.57K
Investing Cash Flow	3.31M	-13.47M	3.21M	-3.27M	-44.00K	-18.86K
Financing Cash Flow	64.90M	38.21M	9.19M	17.99M	5.19M	353.14K

PROPDO LTD Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2465.00
• 50DMA: Negative
• 100DMA: Negative
• 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:PRPD, the sentiment is Negative. The current price of 2465 is above the 20-day moving average (MA) of 2320.95, above the 50-day MA of 2362.54, and above the 200-day MA of 2209.68, indicating a neutral trend. The MACD of -39.68 indicates Positive momentum. The RSI at 37.28 is Neutral, neither overbought nor oversold. The STOCH value of 22.03 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IL:PRPD.

PROPDO LTD Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
PRPD	53 Neutral	₪142.61M	-5.41	―	―	1290.36%	-214.81%
PHTM	43 Neutral	₪50.34M	-2.64	―	―	14.39%	-1797.14%