Israel Corp (ILCO) AI Stock Analysis

Israel Corp

(TASE:ILCO)

Select Model

Rating:48Neutral

Price Target:ILA 8,808.00▲(15.15% Upside)

Action:reiterated

Date:08/19/26

The score is held back primarily by weakened financial performance—thin margins, higher leverage, and especially poor free-cash-flow generation and cash conversion. Technical indicators are broadly neutral with mixed longer-term trend signals, while valuation is moderate (P/E ~16) but not strongly supported by the low dividend yield (~0.67%).

Positive Factors

Portfolio-Based Industrial ExposureThe holding-company structure provides exposure to multiple industrial and infrastructure businesses rather than relying on one operating product. This portfolio model can support longer-term capital allocation across chemicals, energy, and related sectors, while allowing value to be generated through investee performance, dividends, and selective stake management.

Negative Factors

Higher LeverageMeaningfully higher leverage reduces financial flexibility across the holding company and its portfolio. More debt can increase financing pressure and restrict capital allocation, leaving less capacity to absorb weaker investee performance or fund opportunities without relying on additional financing or asset disposals.

Israel Corp (ILCO) vs. iShares MSCI Israel ETF (EIS)

Market Cap: ILS 5.74B
Dividend Yield: 0.69%
Average Volume (3M): 160.00K
Price to Earnings (P/E): 14.8
Beta (1Y): 0.71
Revenue Growth: -3.89%
EPS Growth: -32.84%
Country: Israel
Employees: 13,007
Sector: General
Sector Strength: 55
Industry: Chemicals - Specialty

Israel Corp Business Overview & Revenue Model

Company Description

Israel Corporation Ltd operates as an international enterprise, engaged in the specialty minerals and refining sectors through its portfolio companies. Its extensive geographic presence spans Asia, Europe, North America, and South America. The compan...

How the Company Makes Money

Israel Corp primarily makes money as a holding company through returns generated by its portfolio companies and capital allocation activities. Key sources typically include: (1) share of profits (or losses) from its significant investees, which can b...

Israel Corp Financial Statement Overview

Summary

Modest TTM revenue growth (~3.7%) is outweighed by a material profitability step-down (thin net margin ~1.6%) and weaker margin resilience versus 2022–2023. Balance sheet risk has increased with higher leverage (debt-to-equity ~1.25) and low ROE (~4.0%). Cash generation is the largest concern: operating cash flow has weakened, free cash flow is very low (~84M) with sharp decline (~-79%), and cash conversion is poor (FCF ~0.10x net income).

Income Statement

52Neutral

Balance Sheet

45Neutral

Cash Flow

34Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	7.71B	7.74B	6.84B	7.54B	10.02B	6.96B
Gross Profit	2.36B	2.25B	2.25B	2.67B	5.03B	2.61B
EBITDA	1.51B	1.25B	1.43B	1.71B	4.06B	1.68B
Net Income	123.36M	94.17M	190.00M	273.00M	953.00M	88.00M
Balance Sheet
Total Assets	14.32B	13.59B	12.49B	12.89B	13.09B	12.26B
Cash, Cash Equivalents and Short-Term Investments	1.36B	1.22B	1.32B	1.57B	1.56B	1.14B
Total Debt	3.92B	3.44B	604.00M	1.05B	3.96B	4.61B
Total Liabilities	7.36B	6.87B	6.11B	6.53B	7.24B	7.98B
Stockholders Equity	3.14B	3.01B	2.82B	2.78B	2.46B	1.54B
Cash Flow
Free Cash Flow	84.08M	81.19M	710.00M	1.04B	1.46B	497.00M
Operating Cash Flow	855.19M	973.14M	1.42B	1.82B	2.21B	1.11B
Investing Cash Flow	-636.99M	-960.15M	-343.00M	-1.10B	-748.00M	-830.00M
Financing Cash Flow	-248.00M	-138.56M	-979.00M	-931.00M	-1.16B	-403.00M

Israel Corp Technical Analysis

Technical Analysis SentimentNeutral

Last Price7649.00

Price Trends

50DMA7960.96Negative

100DMA7921.23Negative

200DMA8448.26Negative

Market Momentum

MACD-115.61Negative

RSI50.27Neutral

STOCH76.01Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:ILCO, the sentiment is Neutral. The current price of 7649.00 is above the 20-day moving average (MA) of 7478.95, below the 50-day MA of 7960.96, and below the 200-day MA of 8448.26, indicating a neutral trend. The MACD of -115.61 indicates Negative momentum. The RSI at 50.27 is Neutral, neither overbought nor oversold. The STOCH value of 76.01 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IL:ILCO.

Israel Corp Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IL:ILCO against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IL:PLSN	74Outperform	ILS 1.30B	8.07	―	6.23%	5.64%	3.87%
IL:PLRM	72Outperform	ILS 982.71M	6.95	―	9.16%	-12.33%	-34.31%
IL:KAFR	65Neutral	ILS 631.95M	12.15	―	3.41%	-5.03%	-26.38%
IL:POLP	57Neutral	ILS 837.94M	24.06	―	4.77%	-6.18%	-50.86%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IL:ILCO	48Neutral	ILS 5.74B	14.77	5.48%	0.69%	-3.89%	-32.84%
IL:AVGL	37Underperform	ILS 253.51M	-25.20	―	―	-5.59%	-11.36%

* General Sector Average

Performance Comparison

IL:ILCO and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IL:ILCO	Israel Corporation Ltd.	7649.00	-3732.64	-32.80%
IL:KAFR	Kafrit Industries (1993) Ltd	2612.00	-423.77	-13.96%
IL:PLSN	Plasson Industries Ltd.	13640.00	-4262.62	-23.81%
IL:PLRM	Palram Industries (1990) Ltd.	3820.00	-3293.28	-46.30%
IL:AVGL	Avgol Industries 1953 Ltd	85.40	-52.60	-38.12%
IL:POLP	Polyram Plastic Industries Ltd.	784.00	-345.00	-30.56%

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: Aug 19, 2026

Israel Corp AI Stock Analysis