Israel Corp (ILCO) AI Stock Analysis

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Israel Corp

(TASE:ILCO)

Select Model

Rating:44Neutral

Price Target:ILA 8,630.00▲(8.15% Upside)

Action:reiterated

Date:08/19/26

The overall score of 44 reflects a high-risk profile driven primarily by a dramatic deterioration in financial health. The most significant factor is the company's transition to a highly leveraged balance sheet with $3.92B in debt, combined with a collapse in profitability and free cash flow. While the valuation is not demanding and technicals are neutral, these factors do not offset the fundamental financial risks that now define the company.

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 5.99B
Dividend Yield: 0.66%
Average Volume (3M): 127.77K
Price to Earnings (P/E): 15.0
Beta (1Y): 0.69
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

Financial performance is severely strained. Profitability has collapsed with net margins falling to 1.6% TTM, while the balance sheet has taken on extreme risk with debt surging to $3.92B, pushing the debt-to-equity ratio to 1.25x. Free cash flow generation has also cratered, down 79.5% to just $84M TTM, indicating poor earnings quality. The only mitigating factor is that the company remains marginally profitable and operating cash flow is positive.

Income Statement

35Negative

Balance Sheet

30Negative

Cash Flow

25Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	7.68B	7.74B	6.84B	7.54B	10.02B	6.96B
Gross Profit	2.35B	2.25B	2.25B	2.67B	5.03B	2.61B
EBITDA	1.39B	1.25B	1.43B	1.71B	4.06B	1.68B
Net Income	124.13M	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	3.51B	2.84B	1.05B	3.97B	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 SentimentPositive

Last Price7980.00

Price Trends

50DMA7882.80Positive

100DMA7849.85Positive

200DMA8384.07Negative

Market Momentum

MACD34.76Negative

RSI57.75Neutral

STOCH85.89Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:ILCO, the sentiment is Positive. The current price of 7980.00 is above the 20-day moving average (MA) of 7610.45, above the 50-day MA of 7882.80, and below the 200-day MA of 8384.07, indicating a neutral trend. The MACD of 34.76 indicates Negative momentum. The RSI at 57.75 is Neutral, neither overbought nor oversold. The STOCH value of 85.89 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive 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:PLRM	77Outperform	ILS 1.05B	7.39	―	8.56%	-12.33%	-34.31%
IL:PLSN	74Outperform	ILS 1.32B	8.18	―	6.15%	5.64%	3.87%
IL:POLP	57Neutral	ILS 768.57M	22.07	―	5.20%	-6.18%	-50.86%
IL:KAFR	56Neutral	ILS 580.66M	11.16	―	3.72%	-5.03%	-26.38%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IL:AVGL	47Neutral	ILS 304.57M	-29.58	―	―	-8.60%	―
IL:ILCO	44Neutral	ILS 5.99B	14.97	5.48%	0.66%	-3.89%	-32.84%

* 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.	7980.00	-1312.19	-14.12%
IL:KAFR	Kafrit Industries (1993) Ltd	2400.00	-644.47	-21.17%
IL:PLSN	Plasson Industries Ltd.	13820.00	-5605.43	-28.86%
IL:PLRM	Palram Industries (1990) Ltd.	4086.00	-2827.88	-40.90%
IL:AVGL	Avgol Industries 1953 Ltd	102.60	-37.40	-26.71%
IL:POLP	Polyram Plastic Industries Ltd.	719.10	-398.90	-35.68%

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