Elbit Systems (ESLT) AI Stock Analysis
Elbit Systems
(NASDAQ:ESLT)
No summary available
Elbit Systems (ESLT) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- $114.82B
- Dividend Yield
- 0.48%
- Average Volume (3M)
- 86.93K
- Price to Earnings (P/E)
- 58.8
- Beta (1Y)
- 0.01
- Revenue Growth
- 13.70%
- EPS Growth
- 52.56%
- Country
- US
- Employees
- 21,000
- Sector
- General
- Sector Strength
- 55
- Industry
- Aerospace & Defense
Elbit Systems Business Overview & Revenue Model
Company Description
Established in Haifa, Israel, in 1966, Elbit Systems Ltd. is a leading provider of comprehensive defense, homeland security, and commercial aviation solutions. The company designs and manufactures an extensive portfolio of advanced systems tailored f...
Elbit Systems Earnings Call Summary
The call presents a clearly positive operational and financial picture: double-digit revenue growth, record $32B backlog (driven by international demand), expanding margins, strong EPS growth, robust cash generation and multiple sizable contract awards and strategic M&A. Key negatives are an isolated aerospace revenue decline, a materially higher effective tax rate due to OECD Pillar II, some revenue concentration in Israel from inventory replenishment, and conversion/capacity execution risks tied to turning a large backlog into near-term revenue. Overall, the positives (broad-based growth, margin expansion, cash strength and major contract awards) materially outweigh the lowlights.
Q2-2026 Updates
Positive Updates
Negative Updates
Company Guidance
Management reiterated guidance for continued mid‑teens revenue growth and strong backlog conversion, pointing to Q2 revenues of $2,287m (+15.9% YoY) and a record backlog of $32.0bn (≈34% YoY increase, ≈6% sequential), ~70% of backlog generated outside Israel and ~42% scheduled to be performed in 2026–27; they said revenue growth has been ~14% in 2024, ~15% in 2025 and expect mid‑teens again in 2026. They raised planned CapEx from $220m to $300m (H1 CapEx > $150m) and increased R&D by about $70m in H1 (≈half funded by Israel’s new R&D law), while maintaining margin expansion (GAAP gross margin 25.3% / non‑GAAP 25.6%; GAAP operating income $218.8m or 9.6% of revenues / non‑GAAP $237.5m or 10.4%) and EPS growth (GAAP diluted EPS $3.61, +34% YoY; non‑GAAP diluted EPS $4.14, +28% YoY). They also highlighted strong cash generation (operating cash flow $237m vs. $120m a year ago; free cash flow $150m vs. $71m; cash conversion 86%), a lower financial expense ($22m vs. $31.2m), and a higher effective tax rate (16.4% in Q2‑2026 vs. 5.6% in Q2‑2025 due to OECD Pillar II), and noted growing customer‑funded CapEx and capacity investments aimed at accelerating backlog conversion.
Elbit Systems Risk Analysis
Elbit Systems disclosed 48 risk factors in its most recent earnings report. Elbit Systems reported the most risks in the "Finance & Corporate" category.
Latest Risks Added
2 New RisksElbit Systems Peers Comparison
Overall Rating
IL:BSEN68Neutral
IL:ASHO65Neutral
IL:ISHI45Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| IL:BSEN | 68Neutral | ILS 7.36B | 41.71 | ― | ― | 4.82% | 18.75% |
| IL:ASHO | 65Neutral | ILS 1.35B | 20.26 | ― | 3.15% | 4.35% | 20.22% |
| Sector * | 55Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% |
| IL:ISHI | 45Neutral | ILS 2.66B | 65.00 | ― | 0.38% | 14.35% | -14.54% |
* General Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| ESLT | Elbit Systems | 779.68 | 301.21 | 62.95% | |
| IL:ASHO | Ashot Ashkelon Industries Ltd. | 5308.00 | -893.16 | -14.40% | |
| IL:BSEN | Bet Shemesh Engines Holdings (1997) Ltd. | 80300.00 | 12640.00 | 18.68% | |
| IL:GKL | Global Knafaim Leasing Limited | 105.10 | 24.60 | 30.56% | |
| IL:ISHI | Israel Shipyards Industries Ltd. | 10660.00 | -1800.00 | -14.45% | |
| IL:ISI | ImageSat International (ISI) | 940.30 | -308.70 | -24.72% |
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.