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Top Gum Industries Ltd. (IL:TPGM)
TASE:TPGM
Israel Market
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Top Gum (TPGM) AI Stock Analysis

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IL:TPGM

Top Gum

(TASE:TPGM)

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Neutral 42 (OpenAI - 5.2)
Rating:42Neutral
Price Target:
1,173.00
▼(-9.98% Downside)
Action:Reiterated
Date:08/01/26
The score is held down primarily by weak financial performance: the company is currently loss-making with margin compression and negative free cash flow despite strong revenue growth. Technicals also detract as the stock trades below major moving averages, signaling a bearish trend. Valuation provides little support because the negative P/E reflects ongoing losses and no dividend yield data is available.
Positive Factors
Sustained revenue growth
Consistent top-line growth (~9.7% TTM and multi-year momentum) indicates durable demand for products and expanding market penetration. Over 2–6 months this supports scale advantages, higher production utilization and the potential to leverage fixed costs as profitability initiatives are implemented.
Negative Factors
Loss-making with weak net margin
A persistent negative net margin (~-14.2%) reflects structural profitability shortfalls that impair retained earnings and reinvestment capacity. Over months this erodes financial flexibility, makes sustaining R&D/marketing investments harder, and can undermine the firm's ability to compete on price or innovation.
Read all positive and negative factors
Positive Factors
Negative Factors
Sustained revenue growth
Consistent top-line growth (~9.7% TTM and multi-year momentum) indicates durable demand for products and expanding market penetration. Over 2–6 months this supports scale advantages, higher production utilization and the potential to leverage fixed costs as profitability initiatives are implemented.
Read all positive factors

Top Gum (TPGM) vs. iShares MSCI Israel ETF (EIS)

Top Gum Business Overview & Revenue Model

Company Description
TopGum Industries Ltd. develops, manufactures, imports, sells, and markets dietary and nutritional supplement gummies. The company offers women’s health, beauty from within, active lifestyle, gut health, and immune support gummies. It also imports...
How the Company Makes Money
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Top Gum Financial Statement Overview

Summary
Revenue growth is strong (~9.7% TTM), but profitability has deteriorated materially with a ~-14.2% TTM net margin and deeply negative net income versus profits in 2021–2023. Gross margin has compressed to ~30% from the mid-30% range, and while operating cash flow is positive (~10.3M), free cash flow remains negative (~-9.1M) with worsening trend. Moderate leverage (D/E ~0.62) and negative ROE (~-15.8%) increase risk until margins and cash burn improve.
Income Statement
34
Negative
Balance Sheet
46
Neutral
Cash Flow
41
Neutral
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue126.67M100.95M59.27M45.60M43.91M33.07M
Gross Profit38.19M32.36M20.51M15.10M15.25M9.89M
EBITDA-8.31M-8.04M-2.61M6.27M6.23M4.49M
Net Income-17.94M-15.94M-6.49M3.21M3.63M1.58M
Balance Sheet
Total Assets246.59M206.00M108.20M104.84M63.68M59.57M
Cash, Cash Equivalents and Short-Term Investments15.08M32.83M10.14M12.11M4.33M17.93M
Total Debt83.47M51.26M31.20M25.06M7.99M2.40M
Total Liabilities111.73M115.10M45.62M37.26M17.41M12.13M
Stockholders Equity134.85M90.90M62.58M67.59M46.27M47.44M
Cash Flow
Free Cash Flow-9.06M-9.37M-6.70M-25.43M-12.18M-6.48M
Operating Cash Flow10.33M10.28M6.69M1.44M1.08M1.09M
Investing Cash Flow-37.53M-32.37M-12.99M-28.22M-13.40M-7.51M
Financing Cash Flow70.98M41.91M4.50M33.20M263.00K22.12M

Top Gum Peers Comparison

Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
₪794.86M16.574.06%-21.69%
69
Neutral
₪329.86M13.008.96%-22.73%-78.48%
66
Neutral
₪586.09M7.660.00%2.30%86.44%
55
Neutral
$6.65B3.83-15.92%6.20%10.91%7.18%
42
Neutral
₪1.62B-27.6758.86%-176.99%
* General Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
IL:TPGM
Top Gum
1,192.00
122.00
11.40%
IL:MEDN
Mehadrin
26,690.00
-2,310.00
-7.97%
IL:GSFI
Gan Shmuel
2,187.00
-720.00
-24.77%
IL:ALBA
Albaad
3,093.00
1,130.63
57.62%
IL:WLFD
Willy Food
6,183.00
2,198.00
55.16%
IL:CRML
Carmel Corp
1,543.00
-707.00
-31.42%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 01, 2026