Ashot (ASHO) AI Stock Analysis

5 Followers

Ashot

(TASE:ASHO)

Select Model

Rating:60Neutral

Price Target:ILA 4,410.00▲(3.79% Upside)

Action:reiterated

Date:11/12/26

The overall score of 60 reflects a company with strong operational momentum and attractive valuation that is being heavily pressured by a risky balance sheet and extremely weak market sentiment. The primary strength is the company's powerful revenue growth and profitability, which supports a low P/E and high dividend yield. The most significant risk is the combination of high financial leverage and a stock in a sustained technical downtrend, which raises concerns about the market's perception of its debt-fueled strategy.

Positive Factors

Revenue ExpansionThe sustained increase in revenue across multiple reporting periods indicates meaningful business expansion rather than a single isolated quarter. Continued growth improves operating scale, broadens the earnings base, and provides a stronger platform for investment and cash generation over the next several quarters.

Negative Factors

Sharp Leverage IncreaseThe sharp increase in debt materially raises financial risk and reduces flexibility if operating conditions weaken. A larger debt burden can absorb more future cash flow through financing obligations, constrain capital allocation, and make the improved earnings profile less resilient during a softer period.

Ashot (ASHO) vs. iShares MSCI Israel ETF (EIS)

Market Cap: ILS 1.08B
Dividend Yield: 3.93%
Average Volume (3M): 41.99K
Price to Earnings (P/E): 16.0
Beta (1Y): 1.23
Revenue Growth: 4.35%
EPS Growth: 20.22%
Country: Israel
Employees: 521
Sector: General
Sector Strength: 55
Industry: Aerospace & Defense

Ashot Business Overview & Revenue Model

Company Description

Ashot Ashkelon Industries Ltd., an Ashkelon, Israel-based company, is engaged in the design, production, assembly, and supply of advanced systems and components for both the aerospace and defense industries, serving clients domestically and internati...

Ashot Financial Statement Overview

Summary

Operational momentum is exceptional, with 90% revenue growth and expanding margins driving strong cash flow conversion. However, this is significantly offset by a newly leveraged balance sheet (debt-to-equity spiked to 1.39x), which introduces substantial financial risk. The overall financial picture is a blend of high-growth profitability and elevated leverage.

Income Statement

82Very Positive

Balance Sheet

45Neutral

Cash Flow

78Positive

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	468.17M	458.73M	393.59M	326.68M	315.87M	342.07M
Gross Profit	107.72M	103.61M	84.59M	65.69M	55.06M	41.22M
EBITDA	93.15M	89.98M	72.40M	53.83M	33.30M	34.71M
Net Income	64.98M	56.84M	27.82M	12.69M	16.69M	16.26M
Balance Sheet
Total Assets	1.10B	1.03B	767.72M	680.55M	592.96M	534.95M
Cash, Cash Equivalents and Short-Term Investments	139.92M	6.20M	16.37M	4.97M	10.65M	3.64M
Total Debt	444.10M	68.96M	88.82M	90.99M	74.62M	98.89M
Total Liabilities	785.73M	469.89M	337.60M	283.91M	209.36M	266.45M
Stockholders Equity	318.49M	562.51M	430.11M	396.64M	383.60M	268.50M
Cash Flow
Free Cash Flow	68.11M	49.94M	83.16M	8.88M	8.17M	-27.13M
Operating Cash Flow	82.82M	78.58M	96.02M	25.95M	22.18M	-15.40M
Investing Cash Flow	-9.49M	-25.29M	-33.61M	-17.07M	-14.00M	-11.74M
Financing Cash Flow	42.98M	-60.32M	-53.23M	-14.57M	-1.73M	16.71M

Ashot Technical Analysis

Technical Analysis SentimentNegative

Last Price4249.00

Price Trends

50DMA5860.00Negative

100DMA6890.12Negative

200DMA8720.94Negative

Market Momentum

MACD-588.15Positive

RSI30.85Neutral

STOCH19.82Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:ASHO, the sentiment is Negative. The current price of 4249.00 is below the 20-day moving average (MA) of 5143.20, below the 50-day MA of 5860.00, and below the 200-day MA of 8720.94, indicating a bearish trend. The MACD of -588.15 indicates Positive momentum. The RSI at 30.85 is Neutral, neither overbought nor oversold. The STOCH value of 19.82 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IL:ASHO.

Ashot Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IL:ASHO against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IL:BSEN	68Neutral	ILS 7.03B	39.63	―	―	4.82%	18.75%
IL:ESLT	68Neutral	ILS 107.90B	52.58	14.04%	0.49%	-1.42%	32.43%
IL:ASHO	60Neutral	ILS 1.06B	16.03	―	3.93%	4.35%	20.22%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IL:ISHI	38Underperform	ILS 2.80B	68.23	―	0.37%	14.35%	-14.54%

* General Sector Average

Performance Comparison

IL:ASHO and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IL:ASHO	Ashot Ashkelon Industries Ltd.	4249.00	-2189.90	-34.01%
IL:ESLT	Elbit Systems	230560.00	75727.11	48.91%
IL:BSEN	Bet Shemesh Engines Holdings (1997) Ltd.	76670.00	10070.00	15.12%
IL:GKL	Global Knafaim Leasing Limited	99.80	18.80	23.21%
IL:ISHI	Israel Shipyards Industries Ltd.	10690.00	-2220.00	-17.20%
IL:ISI	ImageSat International (ISI)	865.60	-368.40	-29.85%

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: Nov 12, 2026

Ashot AI Stock Analysis