Baran (BRAN) AI Stock Analysis

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Baran

(TASE:BRAN)

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Rating:41.6Neutral

Price Target:ILA 1,435.00▲(1.27% Upside)

Action:reiterated

Date:10/29/26

The overall score is very low, driven primarily by severe financial and technical weaknesses. The most significant risk is the company's negative operating and free cash flow, which makes the high dividend yield appear unsustainable. This is compounded by a bearish technical trend with the stock trading below all major moving averages and exhibiting strong downward momentum. While the balance sheet leverage has improved, it does not offset the immediate cash flow concerns.

Positive Factors

Revenue GrowthStrong TTM revenue expansion indicates continued demand for Baran’s engineering, contracting, and project-execution services. Sustained top-line growth can support backlog development and operating scale, although converting that growth into stronger profits remains important for durable value creation.

Negative Factors

Negative Cash GenerationPersistent negative operating and free cash flow indicates that accounting earnings are not currently converting into cash effectively. This can restrict Baran’s ability to fund projects internally, reduce financial flexibility, and increase dependence on balance-sheet resources while working-capital or project-timing pressures persist.

Baran (BRAN) vs. iShares MSCI Israel ETF (EIS)

Market Cap: ILS 385.88M
Dividend Yield: ―
Average Volume (3M): 62.16K
Price to Earnings (P/E): 19.4
Beta (1Y): 0.58
Revenue Growth: 16.46%
EPS Growth: -23.91%
Country: Israel
Employees: 974
Sector: General
Sector Strength: 55
Industry: Engineering & Construction

Baran Business Overview & Revenue Model

Company Description

Founded in 1979 and headquartered in Beit Dagan, Israel, Baran Group Ltd delivers a broad spectrum of engineering, technological, telecommunications, and construction services across the globe. Their comprehensive capabilities extend from initial fea...

Baran Financial Statement Overview

Summary

Financial performance is weak. The Income Statement shows declining margins and net income (Score: 35), the Balance Sheet is mixed with lower leverage but poor returns (Score: 55), and the Cash Flow is critically negative, with operations burning cash (Score: 15). The overall financial health is concerning, driven by an unsustainable cash flow trend.

Income Statement

35Negative

Balance Sheet

55Neutral

Cash Flow

15Very Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Mar 2022
Income Statement
Total Revenue	793.94M	727.40M	684.62M	680.70M	386.90M	373.42M
Gross Profit	77.10M	84.73M	99.69M	87.62M	47.95M	58.43M
EBITDA	54.97M	75.49M	77.26M	67.18M	41.20M	26.78M
Net Income	16.95M	25.92M	41.92M	42.80M	14.17M	15.23M
Balance Sheet
Total Assets	924.81M	912.18M	784.19M	729.74M	556.09M	335.42M
Cash, Cash Equivalents and Short-Term Investments	173.05M	92.55M	129.61M	71.35M	67.66M	80.92M
Total Debt	265.67M	264.40M	196.84M	178.57M	158.69M	97.14M
Total Liabilities	557.70M	614.16M	497.57M	495.33M	365.30M	203.80M
Stockholders Equity	343.73M	273.57M	264.29M	208.75M	165.44M	129.73M
Cash Flow
Free Cash Flow	-24.83M	-82.17M	14.63M	6.92M	34.87M	24.77M
Operating Cash Flow	-8.43M	-42.09M	36.55M	23.38M	68.24M	26.64M
Investing Cash Flow	-22.60M	-30.36M	11.53M	-9.54M	-121.27M	13.41M
Financing Cash Flow	66.19M	35.36M	9.39M	-12.02M	55.72M	-42.77M

Baran Technical Analysis

Technical Analysis SentimentNegative

Last Price1417.00

Price Trends

50DMA1737.98Negative

100DMA2072.94Negative

200DMA2290.34Negative

Market Momentum

MACD-97.26Negative

RSI30.83Neutral

STOCH29.85Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:BRAN, the sentiment is Negative. The current price of 1417.00 is below the 20-day moving average (MA) of 1510.30, below the 50-day MA of 1737.98, and below the 200-day MA of 2290.34, indicating a bearish trend. The MACD of -97.26 indicates Negative momentum. The RSI at 30.83 is Neutral, neither overbought nor oversold. The STOCH value of 29.85 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IL:BRAN.

Baran Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IL:BRAN against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IL:ELTR	54Neutral	ILS 8.60B	44.52	―	0.78%	14.01%	-10.85%
IL:DNYA	52Neutral	ILS 4.08B	25.13	―	3.73%	-2.12%	-9.77%
IL:LEVI	46Neutral	ILS 1.40B	20.13	―	1.67%	-7.82%	739.56%
IL:SPEN	45Neutral	ILS 14.99B	44.41	―	0.53%	18.29%	46.66%
IL:BRAN	42Neutral	ILS 384.79M	19.36	9.70%	―	16.46%	-23.91%

* General Sector Average

Performance Comparison

IL:BRAN and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IL:BRAN	Baran Group	1417.00	-569.93	-28.68%
IL:ELTR	Electra Ltd	11260.00	302.76	2.76%
IL:DNYA	Danya Cebus Ltd	12250.00	-2178.09	-15.10%
IL:LEVI	Meshulam Levinstein Contracting & Engineering Ltd	29990.00	-20974.93	-41.16%
IL:SPEN	Shapir Engineering and Industry Ltd	4170.00	1083.98	35.13%
IL:ELMR	El-Mor Electric Installation & Services (1986) Ltd.	2582.00	900.60	53.56%

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: Oct 29, 2026

Baran AI Stock Analysis