Tadiran Group (TDRN) AI Stock Analysis

• Market Cap: ₪1.80B
• Dividend Yield: 0.76%
• Average Volume (3M): 39.45K
• Price to Earnings (P/E): 16.8
• Beta (1Y): 1.57
• Revenue Growth: 1.87%
• EPS Growth: -227.03%
• Country: IL
• Employees: 635
• Sector: Technology
• Sector Strength: 88
• Industry: Consumer Electronics
• EPS (TTM): N/A
• Shares Outstanding: 8,586,001
• 10 Day Avg. Volume: 26,411
• 30 Day Avg. Volume: 39,445
• PEG Ratio: 1.42
• Price to Book (P/B): 4.15
• Price to Sales (P/S): 0.94
• P/FCF Ratio: 28.47
• 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: 55 Neutral
• Price Target: 21,484.00 ▲(61.78% Upside)
• Action: Reiterated Date: 03/22/26
• Date: Action: Reiterated 03/22/26

The score is held back primarily by deteriorating financial performance—shrinking revenue, a shift to a net loss, higher leverage, and sharply weaker 2025 cash flow. Offsetting this, technical indicators show strong upward momentum, while valuation is broadly reasonable but not supported by a meaningful dividend yield.

Positive Factors

Sustained gross profit dollars

Meaningful gross profit dollars indicate core product economics still cover variable costs and contribute to fixed cost absorption. That structural margin buffer supports the potential for recovery, funds basic operations and targeted investments, and underpins longer-term viability if costs are controlled.

Stable asset base

A relatively stable asset base provides operational continuity and collateral that reduces the need for distressed asset sales. This stability supports funding flexibility, preserves operational capacity through cycles, and gives management time to execute strategic or operational fixes.

Prior ROE strength

Historically stronger returns on equity show the business and management have delivered profitable scale before. That track record implies existing structural capabilities—product fit, cost discipline or pricing power—that could be redeployed to restore margins and earnings with improved execution.

Negative Factors

Persistent revenue decline

Multi-year top-line contraction signals weakening demand or lost market share, which reduces scale advantages. Lower revenue undermines fixed-cost absorption, pressures gross and operating margins, and makes reinvestment and margin recovery materially harder over the medium term without a durable turnaround in sales.

Shift to net loss

Transitioning from a razor-thin profit to a net loss erodes retained earnings and strategic flexibility. Sustained losses force reliance on external funding, constrain R&D and capex, and increase the risk of cost cutting that can impair long-term competitiveness unless margins are materially restored.

Weaker cash generation

A sharp fall in operating and free cash flow reduces the company's ability to self-fund operations, service debt, and invest. This structural decline in cash generation raises financing risk, limits strategic options, and can prolong recovery if working capital or profitability issues persist.

Tadiran Group Business Overview & Revenue Model

Company Description

Tadiran Group Ltd, through its subsidiaries, engages in the development, manufacturing, import, marketing, and distribution of air conditioning systems in Israel. The company offers overhead air conditioners, mini central air conditioners, multi systems inverters, VRF boxes, and multi inverters for the residential, commercial, and industrial markets under the Tadiran, Amcor, and Toshiba brands. It also imports, markets, and distributes various home appliances under the Amcor and Crystal brands; and provides warranty and maintenance services, as well as energy efficiency services. The company was formerly known as Tadiran Holdings Ltd and changed its name to Tadiran Group Ltd in May 2021. Tadiran Group Ltd was founded in 1989 and is based in Petah Tikva, Israel.

Tadiran Group Financial Statement Overview

Summary

Financials are weakening: revenue has been contracting, profitability deteriorated from a small profit in 2024 to a net loss in 2025, leverage increased as debt rose while equity fell, and 2025 operating/free cash flow declined sharply—raising near-term execution and financing risk.

Income Statement

Revenue has been shrinking for several years (down slightly in 2024 and down again in 2025), and profitability has deteriorated materially. The company moved from a small profit in 2024 (about 0.9% net margin) to a net loss in 2025, alongside weaker operating profit versus prior years (2021–2023 were notably stronger). A positive is that gross profit dollars remain meaningful, but the trend in margins and earnings indicates pressure from costs/pricing and a less favorable operating backdrop.

Balance Sheet

The balance sheet is serviceable but weakening: total debt rose in 2025 while equity declined, implying higher leverage versus prior years (debt was already close to equity in 2024). Total assets have been relatively stable, which helps, but the direction of leverage is a risk if profitability does not recover. Earlier years showed stronger returns on equity, but that momentum has faded as earnings compressed and then turned negative.

Cash Flow

Cash generation has become more volatile and weaker most recently. Operating cash flow fell sharply in 2025 versus 2024, and free cash flow dropped to a low level with a steep decline year-over-year, reducing financial flexibility. While 2024 showed strong free cash flow, the 2025 slowdown suggests working-capital or profitability headwinds, and the business is currently less able to self-fund investment or debt reduction.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.86B	1.93B	1.95B	2.28B	1.45B
Gross Profit	307.28M	364.09M	320.58M	415.41M	354.65M
EBITDA	228.23M	204.97M	211.69M	201.17M	219.41M
Net Income	-49.93M	17.09M	96.17M	87.23M	141.47M
Balance Sheet
Total Assets	1.60B	1.65B	1.52B	1.64B	977.81M
Cash, Cash Equivalents and Short-Term Investments	102.10M	51.69M	39.13M	120.84M	129.47M
Total Debt	548.90M	446.74M	362.66M	409.04M	161.31M
Total Liabilities	1.17B	1.14B	1.01B	1.23B	516.02M
Stockholders Equity	410.64M	480.66M	510.17M	412.63M	449.07M
Cash Flow
Free Cash Flow	6.61M	94.07M	52.47M	60.85M	18.62M
Operating Cash Flow	33.12M	115.42M	109.16M	86.52M	27.66M
Investing Cash Flow	-51.06M	-86.91M	2.59M	-150.36M	-78.76M
Financing Cash Flow	21.34M	-14.13M	-198.54M	48.37M	-148.97M

Tadiran Group Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 13280.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:TDRN, the sentiment is Positive. The current price of 13280 is below the 20-day moving average (MA) of 19610.00, below the 50-day MA of 17789.60, and below the 200-day MA of 16651.05, indicating a bullish trend. The MACD of 721.00 indicates Positive momentum. The RSI at 63.91 is Neutral, neither overbought nor oversold. The STOCH value of 85.17 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IL:TDRN.

Tadiran Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PLSN	74 Outperform	₪1.57B	9.25	―	4.41%	9.02%	23.68%
ECP	66 Neutral	₪1.80B	22.56	―	3.01%	3.83%	―
PLRM	66 Neutral	₪1.30B	11.77	―	9.08%	-2.62%	-18.78%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
TDRN	55 Neutral	₪1.80B	16.75	―	0.76%	1.87%	-227.03%