Fattal Hold AI Stock Analysis
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Fattal Hold (FTAL) AI Stock Analysis
Fattal Hold
(TASE:FTAL)
The score is primarily constrained by high balance-sheet leverage and the steep drop in net profitability, despite healthy operating margins and positive operating cash flow. Technicals add further pressure with the stock trading below major moving averages and bearish momentum. Valuation is also a significant headwind given the extremely elevated P/E and no dividend yield data.
Fattal Hold (FTAL) vs. iShares MSCI Israel ETF (EIS)
- Market Cap
- ILS 11.14B
- Dividend Yield
- ―
- Average Volume (3M)
- 17.39K
- Price to Earnings (P/E)
- 859.5
- Beta (1Y)
- 1.13
- Revenue Growth
- -1.68%
- EPS Growth
- -92.92%
- Country
- Israel
- Employees
- 5,946
- Sector
- General
- Sector Strength
- 55
- Industry
- Travel Lodging
Fattal Hold Business Overview & Revenue Model
Company Description
Fattal Holdings (1998) Ltd owns and operates hotels in Israel and internationally. The company also manages and leases hotels under the Leonardo brand name. Fattal Holdings (1998) Ltd was incorporated in 1998 and is based in Tel Aviv-Yafo, Israel.
How the Company Makes Money
Fattal Holdings makes money primarily by operating hotels and earning revenue from the sale of hotel nights (room revenue). In addition to accommodation, it generates ancillary revenue from on-property services such as food and beverage (restaurants,...
Fattal Hold Earnings Call Summary
The call presented a broadly positive performance narrative: robust revenue growth, marked EBIT and margin expansion (notably driven by Coffee International and Três Corações), a return to positive free cash flow, and progress on productivity and strategic initiatives (SKU rationalization, innovation, capacity build-out and targeted M&A). Key challenges include commodity-driven pressure in confectionery, profitability setbacks in China water due to intense competition, higher finance/tax expenses and geopolitical uncertainty from the war in Israel, plus execution risk around the Yoki integration. On balance, the material financial improvements and strategic progress outweigh the highlighted challenges.
Q4-2025 Updates
Positive Updates
Negative Updates
Company Guidance
The company guided that it expects 2026 to build on Q4/2025 momentum while meeting its strategic targets: exceeding a 5% CAGR by end‑2026, moving margins toward the 10–12% target (Q4 2025 margin 9.6% ex‑kitchen; group Q4 EBIT margin 8.9%, FY EBIT margin 8.2%), and delivering productivity savings of ILS300–400m; management also flagged continued cash generation (Q4 FCF ILS554m; FY FCF ILS215m vs –ILS51m in 2023), moderate leverage (net debt ILS2.2bn; net debt/EBITDA 1.6x) and ongoing top‑line growth (FY25 net sales ILS12.5bn, +11.6%; Q4 ILS3.2bn, +10.2%) driven by Coffee International (FY sales ILS6.2bn, +31%; Q4 sales ILS1.6bn, +24%; Coffee FY EBIT ILS493m, Q4 EBIT ILS173m, Q4 margin 10.9%), with Brazil expected to normalize to an ~8–9% margin platform (Três Corações Q4 margin 12.9%, FY 8.9%); the Yoki acquisition (0.4x revenues) is expected to be turned around via distribution, logistics and SG&A synergies within 18–24 months, and the group aims for 85% of activity to be “core” by end‑2026 (core = ≥5% growth, 8–10% margins, #1/#2 market).
Fattal Hold Financial Statement Overview
Summary
Operating profitability and operating cash flow remain solid (TTM operating margin ~15.9%, EBITDA margin ~32.6%, and operating cash flow ~1.06B), but overall fundamentals are weighed down by very high leverage (TTM debt-to-equity ~5.37x) and a sharp deterioration in net profitability (net income down from 278M in 2024 to 53M in 2025 and near breakeven in TTM). Free cash flow is positive in TTM (~252M) but has been inconsistent.
Income Statement
46NeutralBalance Sheet
28NegativeCash Flow
52Neutral| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 7.41B | 7.65B | 7.44B | 6.93B | 5.47B | 3.04B |
| Gross Profit | 2.71B | 3.43B | 3.46B | 3.15B | 2.30B | 1.56B |
| EBITDA | 2.42B | 2.53B | 2.75B | 2.24B | 1.74B | 1.45B |
| Net Income | 12.78M | 53.30M | 278.22M | 45.19M | -78.78M | -226.16M |
Balance Sheet | ||||||
| Total Assets | 28.67B | 29.68B | 28.50B | 26.61B | 23.56B | 20.80B |
| Cash, Cash Equivalents and Short-Term Investments | 996.98M | 931.36M | 660.19M | 904.26M | 915.16M | 776.33M |
| Total Debt | 21.97B | 22.63B | 22.11B | 21.31B | 19.25B | 17.28B |
| Total Liabilities | 24.31B | 25.05B | 24.35B | 23.26B | 21.00B | 18.84B |
| Stockholders Equity | 4.32B | 4.59B | 4.10B | 3.26B | 2.48B | 1.89B |
Cash Flow | ||||||
| Free Cash Flow | 252.38M | -438.14M | 503.95M | 830.53M | -148.92M | 88.62M |
| Operating Cash Flow | 1.06B | 1.14B | 1.04B | 1.30B | 741.98M | 373.56M |
| Investing Cash Flow | -1.38B | -1.90B | -1.75B | -1.08B | -1.33B | -298.74M |
| Financing Cash Flow | 300.07M | 878.88M | 419.93M | -185.55M | 621.41M | -499.38M |
Fattal Hold Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:FTAL, the sentiment is Positive. The current price of 67500.00 is above the 20-day moving average (MA) of 65344.50, above the 50-day MA of 67049.20, and below the 200-day MA of 68203.70, indicating a neutral trend. The MACD of -430.71 indicates Negative momentum. The RSI at 56.95 is Neutral, neither overbought nor oversold. The STOCH value of 81.26 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IL:FTAL.
Fattal Hold Peers Comparison
Overall Rating
IL:ISRO58Neutral- IL:FTAL41Neutral
Financial Indicators
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| IL:FTAL | Fattal Holdings 1998 | 67500.00 | 6830.00 | 11.26% | |
| IL:DANH | Dan Hotels Ltd | 2325.00 | -1380.00 | -37.25% | |
| IL:ISRO | Isrotel Ltd. | 13480.00 | 1030.00 | 8.27% | |
| IL:ICHO | Ic Hotels | 108.40 | -17.90 | -14.17% |
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: Sep 23, 2026