Shufersal (SAE) AI Stock Analysis

• Market Cap: ₪11.89B
• Dividend Yield: 4.88%
• Average Volume (3M): 434.73K
• Price to Earnings (P/E): 17.8
• Beta (1Y): 0.79
• Revenue Growth: -6.86%
• EPS Growth: 6.82%
• Country: IL
• Employees: 15,300
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Grocery Stores
• EPS (TTM): 57.00
• Shares Outstanding: 266,782,300
• 10 Day Avg. Volume: 420,222
• 30 Day Avg. Volume: 434,726
• PEG Ratio: 0.14
• Price to Book (P/B): 2.56
• Price to Sales (P/S): 0.65
• P/FCF Ratio: 5.39
• 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): 1.76
• Revenue Forecast (FY): ₪17.86B

• Rating: 67 Neutral
• Price Target: 4,434.00 ▲(8.49% Upside)
• Action: Reiterated Date: 12/19/25
• Date: Action: Reiterated 12/19/25

Shufersal's overall stock score reflects a stable financial position with solid operational efficiency, despite some challenges in revenue growth and cash generation. The technical analysis indicates a neutral trend with potential bearish momentum, while the valuation is fair with an attractive dividend yield. The absence of earnings call and corporate events data limits the analysis to these factors.

Positive Factors

Operational Efficiency

Shufersal's improved EBIT and EBITDA margins indicate enhanced operational efficiency, which can lead to better profitability and competitive positioning in the long term.

Private Label Products

The focus on private label products allows Shufersal to achieve higher margins, enhancing profitability and providing a competitive edge over other retailers.

Customer Engagement

Investments in loyalty programs drive repeat business and increase transaction value, supporting long-term revenue stability and customer retention.

Negative Factors

Revenue Growth Decline

Negative revenue growth suggests challenges in maintaining sales momentum, which could impact market share and long-term financial performance.

High Debt Levels

Significant leverage poses financial risks, potentially limiting financial flexibility and increasing vulnerability to economic downturns.

Cash Generation Concerns

Declining free cash flow growth raises concerns about the company's ability to generate sufficient cash to fund operations and growth initiatives.

Shufersal Business Overview & Revenue Model

Company Description

Shufersal (SAE) is Israel's largest supermarket chain, operating a vast network of retail stores that offer a wide range of grocery products, fresh produce, household goods, and personal care items. The company operates in the retail sector and is known for its commitment to providing high-quality products and customer service. Shufersal also has a growing presence in e-commerce, enabling customers to shop online for home delivery or in-store pickup, expanding its reach and convenience for consumers.

How the Company Makes Money

Shufersal generates revenue primarily through the sale of food and non-food products in its physical retail locations and online platforms. Key revenue streams include sales from supermarkets, hypermarkets, and convenience stores, as well as online grocery sales. Additionally, Shufersal benefits from private label products, which typically offer higher margins than branded goods. The company also engages in partnerships with various suppliers and brands, allowing it to negotiate favorable purchasing terms and promotions that enhance profitability. Furthermore, Shufersal has invested in loyalty programs and customer engagement strategies that drive repeat business and increase the average transaction value, contributing to its overall earnings.

Shufersal Financial Statement Overview

Summary

Shufersal demonstrates solid operational efficiency with improved EBIT and EBITDA margins, despite a decline in revenue growth. The high debt-to-equity ratio remains a concern, although the company effectively generates returns on equity. Cash flow metrics show strong cash conversion but highlight a need for improved cash generation. Overall, Shufersal maintains a stable financial position with room for growth and risk management.

Income Statement

Shufersal's income statement shows a stable gross profit margin of around 29.7% TTM, indicating effective cost management. However, the net profit margin has slightly declined to 4.5% TTM, reflecting pressure on profitability. Revenue growth is negative at -2.5% TTM, suggesting challenges in maintaining sales momentum. EBIT and EBITDA margins have improved to 7.9% and 17.6% TTM, respectively, indicating better operational efficiency.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 1.62 TTM, indicating significant leverage, which could pose financial risks. However, the return on equity has improved to 17.2% TTM, showing effective use of equity to generate profits. The equity ratio stands at 25.1% TTM, suggesting a moderate level of equity financing relative to total assets.

Cash Flow

Cash flow analysis indicates a decline in free cash flow growth by -28.5% TTM, raising concerns about cash generation. However, the operating cash flow to net income ratio of 3.07 TTM suggests strong cash conversion efficiency. The free cash flow to net income ratio of 0.86 TTM indicates a healthy level of free cash flow relative to net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	14.71B	15.64B	15.18B	14.66B	14.77B	15.23B
Gross Profit	4.36B	4.43B	4.03B	3.88B	4.02B	4.04B
EBITDA	2.59B	2.16B	1.70B	1.21B	1.59B	1.52B
Net Income	666.00M	657.00M	312.00M	2.00M	393.00M	387.00M
Balance Sheet
Total Assets	15.50B	14.92B	14.91B	14.55B	14.28B	13.03B
Cash, Cash Equivalents and Short-Term Investments	2.65B	1.98B	1.14B	721.00M	1.30B	492.00M
Total Debt	6.30B	6.47B	7.03B	7.17B	7.12B	6.85B
Total Liabilities	11.48B	10.88B	11.35B	11.33B	11.09B	10.79B
Stockholders Equity	3.90B	3.94B	3.47B	3.13B	3.19B	2.24B
Cash Flow
Free Cash Flow	1.75B	1.87B	1.33B	639.00M	744.00M	1.22B
Operating Cash Flow	2.04B	2.24B	1.95B	1.32B	1.39B	1.76B
Investing Cash Flow	-97.00M	-819.00M	-980.00M	-76.00M	-1.14B	-652.00M
Financing Cash Flow	-1.34B	-1.16B	-917.00M	-1.05B	-288.00M	-688.00M

Shufersal Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4087.00
• 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:SAE, the sentiment is Positive. The current price of 4087 is below the 20-day moving average (MA) of 4403.45, below the 50-day MA of 4223.88, and above the 200-day MA of 4003.18, indicating a neutral trend. The MACD of 65.55 indicates Positive momentum. The RSI at 53.55 is Neutral, neither overbought nor oversold. The STOCH value of 44.94 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IL:SAE.

Shufersal Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RMLI	70 Outperform	₪5.51B	25.35	―	4.01%	6.10%	-9.48%
SAE	67 Neutral	₪11.89B	17.84	17.02%	4.88%	-6.86%	6.82%
TTAM	67 Neutral	₪1.17B	17.29	―	1.69%	9.07%	38.76%
YHNF	66 Neutral	₪5.33B	28.35	―	2.33%	7.38%	-7.10%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
VCTR	62 Neutral	₪767.16M	25.95	―	3.30%	-1.61%	-45.19%