Wesure Globalt (WESR) AI Stock Analysis

• Market Cap: 1.25B
• Dividend Yield: 1.87%
• Average Volume (3M): 76.62K
• Price to Earnings (P/E): 7.9
• Beta (1Y): 1.43
• Revenue Growth: 39.43%
• EPS Growth: 36.10%
• Country: IL
• Employees: 96
• Sector: Technology
• Sector Strength: 87
• Industry: Insurance - Property & Casualty
• EPS (TTM): 0.80
• Shares Outstanding: 131,506,790
• 10 Day Avg. Volume: 75,181
• 30 Day Avg. Volume: 76,623
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: 1,006.00
• Price Target Upside: 5.68% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 81 Outperform
• Price Target: 1,019.00 ▲(7.05% Upside)

Wesure Globalt's stock is highly attractive due to its strong financial performance, particularly in revenue growth and cost management, and its compelling valuation with a low P/E ratio and high dividend yield. The technical analysis indicates strong bullish momentum, though caution is advised due to overbought signals. Overall, the stock presents a promising investment opportunity with room for profitability improvements.

Positive Factors

Revenue Growth

The company's impressive revenue growth indicates successful market penetration and product adoption, which are crucial for long-term sustainability and competitive advantage in the insurance sector.

Cash Flow Management

Improved cash flow management suggests enhanced financial health and operational efficiency, providing the company with greater flexibility to invest in growth opportunities and withstand economic fluctuations.

Digital Platform and Partnerships

Leveraging technology through strategic partnerships strengthens Wesure Globalt's digital platform, improving customer engagement and retention, which is vital for sustaining growth in the competitive insurance industry.

Negative Factors

Low Net Profit Margin

A low net profit margin indicates potential inefficiencies in cost management or pricing strategies, which could hinder profitability and limit the company's ability to reinvest in growth initiatives.

Free Cash Flow Challenges

Challenges in generating free cash flow relative to net income suggest potential liquidity constraints, which could impact the company's ability to finance new projects or manage debt effectively.

Debt Levels

While the debt-to-equity ratio is balanced, maintaining manageable debt levels is crucial to avoid financial strain, especially in a rapidly changing economic environment that could affect interest rates and borrowing costs.

Wesure Globalt Business Overview & Revenue Model

Company Description

Wesure Global Tech Ltd operates as a digital insurance company. It offers third party car, structure and contents, building, mortgage, and comprehensive insurance products. The company was founded in 2016 and is based in Kefar Sava, Israel.

How the Company Makes Money

Wesure Globalt generates revenue primarily through the sale of insurance policies across its various sectors, including health, life, and property insurance. The company employs a direct-to-consumer model as well as partnerships with brokers and financial institutions to expand its reach. Key revenue streams include policy premiums, which are collected from customers upon purchasing insurance coverage, and renewal fees when customers choose to extend their policies. Additionally, Wesure Globalt may earn income through reinsurance agreements and investment income from the premiums it holds before claims are paid out. Strategic partnerships with tech companies enhance their digital platform, allowing for greater customer engagement and retention, which also contributes to their overall earnings.

Wesure Globalt Financial Statement Overview

Summary

Wesure Globalt demonstrates strong revenue growth and efficient cost management, reflected in its income statement. The balance sheet shows a stable financial position with a balanced approach to leverage. Cash flow management has improved, though there are areas for enhancing free cash flow generation. Overall, the company is on a positive trajectory with opportunities for further profitability improvements.

Income Statement

Wesure Globalt has shown impressive revenue growth, with a significant increase from 2023 to 2024. The gross profit margin is strong at 100%, indicating efficient cost management. However, the net profit margin is relatively low at 1.99%, suggesting room for improvement in profitability. The EBIT and EBITDA margins are moderate, reflecting stable operational performance.

Balance Sheet

The company maintains a solid equity ratio of 3.71%, indicating a strong asset base relative to equity. The debt-to-equity ratio is 1.24, showing a balanced approach to leverage. Return on equity is 12.88%, highlighting effective use of equity to generate profits. The balance sheet reflects a stable financial position with manageable debt levels.

Cash Flow

Wesure Globalt has improved its free cash flow from negative to positive, indicating better cash management. The operating cash flow to net income ratio is 1.85, suggesting efficient conversion of income to cash. However, the free cash flow to net income ratio is 0.39, indicating potential challenges in generating free cash flow relative to net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.62B	4.59B	3.55B	1.28B	120.58M	72.14M
Gross Profit	4.62B	4.59B	3.78B	1.28B	120.58M	72.14M
EBITDA	519.32M	381.64M	168.75M	71.63M	15.65M	8.44M
Net Income	126.36M	91.30M	38.90M	19.56M	5.22M	2.23M
Balance Sheet
Total Assets	18.11B	19.11B	17.65B	16.76B	883.87M	484.25M
Cash, Cash Equivalents and Short-Term Investments	1.01B	803.07M	731.84M	913.27M	120.70M	62.22M
Total Debt	0.00	880.80M	896.06M	906.17M	15.28M	5.37M
Total Liabilities	16.87B	18.25B	17.04B	16.23B	762.96M	456.97M
Stockholders Equity	909.84M	708.47M	540.91M	503.57M	120.91M	27.28M
Cash Flow
Free Cash Flow	246.26M	35.20M	-155.27M	-130.84M	-37.17M	34.98M
Operating Cash Flow	379.47M	168.60M	-45.38M	-54.05M	-30.13M	38.26M
Investing Cash Flow	-129.11M	-129.12M	-113.15M	382.83M	-8.35M	-3.28M
Financing Cash Flow	17.72M	31.76M	-22.89M	463.80M	96.95M	9.15M

Wesure Globalt Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 951.90
• 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:WESR, the sentiment is Positive. The current price of 951.9 is below the 20-day moving average (MA) of 952.06, above the 50-day MA of 865.88, and above the 200-day MA of 590.72, indicating a bullish trend. The MACD of 31.82 indicates Positive momentum. The RSI at 58.05 is Neutral, neither overbought nor oversold. The STOCH value of 37.63 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IL:WESR.

Wesure Globalt Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WESR	81 Outperform	1.25B	7.85		1.87%	39.43%	36.10%
Sector *	61 Neutral	$36.58B	11.16	-10.43%	1.86%	8.71%	-7.09%
ZUR	―	710.24M	10.23		3.86%	―	―
LBRA	―	768.27M	11.61		2.54%	―	―

Wesure Globalt Corporate Events

Wesure Globalt Subsidiary Ayalon Dismissed from Class Action Lawsuit

Wesure Globalt Ltd. recently announced that a court decision has been made concerning a class action lawsuit against its subsidiary, Ayalon Insurance Company Ltd., related to a personal accident insurance policy for students. The court has dismissed Ayalon from the request for approval of the class action lawsuit, permitting the continuation of the legal process against the other parties involved, which may impact the company’s legal obligations and financial outlook.

Wesure Globalt Strengthens Board with New Director Appointments

Wesure Globalt recently held a special meeting where shareholders approved the appointment of CPA Tzila Deskal as an external director and Prof. Limor Etsioni as an independent director, with both appointments set to commence on February 14, 2025. These appointments are significant as they strengthen the company’s board of directors, potentially enhancing governance and strategic oversight, which could impact the company’s market positioning and stakeholder confidence.