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Mizrahi Tefahot (MZTF) AI Stock Analysis
Mizrahi Tefahot
(TASE:MZTF)
Overall score is driven primarily by solid fundamentals (strong margins/ROE and revenue growth) but tempered by cash flow volatility and leverage sensitivity. Valuation is a key positive (low P/E and strong dividend yield). Technical signals are neutral-to-moderately supportive, adding limited incremental strength.
Mizrahi Tefahot (MZTF) vs. iShares MSCI Israel ETF (EIS)
- Market Cap
- ILS 57.46B
- Dividend Yield
- 4.84%
- Average Volume (3M)
- 431.98K
- Price to Earnings (P/E)
- 10.3
- Beta (1Y)
- 1.02
- Revenue Growth
- 0.78%
- EPS Growth
- 0.99%
- Country
- Israel
- Employees
- 7,230
- Sector
- General
- Sector Strength
- 55
- Industry
- Banks - Regional
Mizrahi Tefahot Business Overview & Revenue Model
Company Description
Established in 1923 and headquartered in Ramat Gan, Israel, Mizrahi Tefahot Bank Ltd. operates as a full-service financial institution, delivering a broad spectrum of international, commercial, domestic, and personal banking solutions. It caters to b...
How the Company Makes Money
Mizrahi Tefahot primarily makes money through banking intermediation and fee-based financial services. Its key revenue stream is net interest income: the bank pays interest on customer deposits and other funding sources and earns interest on loans an...
Mizrahi Tefahot Earnings Call Summary
The earnings call highlighted strong credit growth, healthy mortgage demand, and robust financial performance, with net profits and cost efficiencies aligning with strategic goals. Despite challenges such as extra taxes and client relief impacts, the bank maintained strong capital reserves and a positive outlook.
Q3-2025 Updates
Positive Updates
Negative Updates
Company Guidance
During the Mizrahi Tefahot Bank Third Quarter 2025 Business Results Conference Call, the bank highlighted a strong performance characterized by significant credit growth across various asset classes, including mortgages and corporate sectors, which aligns with their strategic plan. The net profit for Q3 reached ILS 1.483 billion, contributing to a total net profit of ILS 4.26 billion for the first nine months of 2025. The return on equity for Q3 stood at 17.6%. The bank maintained a cost-income ratio of 34.2% for the quarter, and the financing revenues from current operations amounted to ILS 2.822 billion. The bank's equity was reported at ILS 34 billion. The provisioning ratio for loans was 0.04%, while the Tier 1 capital ratio was 10.14%, with a total capital ratio of 13.04%. The bank plans to distribute 50% of its Q3 profit as dividends, reflecting a balance between growth and capital requirements.
Mizrahi Tefahot Financial Statement Overview
Summary
Strong profitability for a regional bank (TTM net margin ~18.8%, ROE ~16.3%) and meaningful multi-year revenue expansion (TTM revenue growth +56.3%). Offsetting factors are margin compression versus 2021–2022 highs, structurally meaningful leverage (~1.27x debt/equity), and notably volatile cash generation (TTM free cash flow down ~45.9%).
Income Statement
78PositiveBalance Sheet
70PositiveCash Flow
58Neutral| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 29.83B | 29.59B | 28.65B | 26.77B | 19.20B | 13.12B |
| Gross Profit | 14.38B | 14.39B | 14.67B | 14.74B | 13.24B | 10.25B |
| EBITDA | 9.37B | 9.41B | 9.27B | 8.16B | 7.29B | 5.37B |
| Net Income | 5.55B | 5.63B | 5.46B | 4.91B | 4.47B | 3.19B |
Balance Sheet | ||||||
| Total Assets | 580.82B | 551.17B | 485.64B | 448.20B | 428.29B | 392.27B |
| Cash, Cash Equivalents and Short-Term Investments | 77.73B | 100.43B | 82.64B | 85.96B | 93.67B | 95.27B |
| Total Debt | 42.63B | 43.05B | 40.18B | 37.81B | 34.07B | 38.66B |
| Total Liabilities | 542.99B | 514.75B | 452.91B | 419.50B | 403.42B | 370.54B |
| Stockholders Equity | 36.10B | 34.77B | 31.29B | 27.46B | 23.78B | 20.77B |
Cash Flow | ||||||
| Free Cash Flow | 6.90B | 16.08B | 13.77B | 3.09B | 3.51B | 3.79B |
| Operating Cash Flow | 7.54B | 16.68B | 14.38B | 3.53B | 3.90B | 4.13B |
| Investing Cash Flow | -46.52B | -57.10B | -43.35B | -20.46B | -34.40B | -25.12B |
| Financing Cash Flow | 39.20B | 41.36B | 25.08B | 9.84B | 28.24B | 30.24B |
Mizrahi Tefahot Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:MZTF, the sentiment is Negative. The current price of 22050.00 is below the 20-day moving average (MA) of 22880.50, below the 50-day MA of 23181.28, and below the 200-day MA of 22572.93, indicating a bearish trend. The MACD of -132.74 indicates Positive momentum. The RSI at 36.56 is Neutral, neither overbought nor oversold. The STOCH value of 4.99 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IL:MZTF.
Mizrahi Tefahot Peers Comparison
Overall Rating
IL:LUMI76Outperform
IL:POLI75Outperform
IL:DSCT74Outperform- IL:MZTF71Outperform
IL:FIBI64Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| IL:LUMI | 76Outperform | ILS 105.71B | 10.26 | 15.67% | 4.59% | 0.96% | 8.30% |
| IL:POLI | 75Outperform | ILS 94.98B | 10.17 | 15.13% | 4.13% | 3.03% | 12.52% |
| IL:DSCT | 74Outperform | ILS 40.20B | 10.04 | 13.10% | 4.83% | -4.38% | -4.54% |
| IL:MZTF | 71Outperform | ILS 57.46B | 10.32 | 16.87% | 4.84% | 0.78% | 0.99% |
| IL:FIBI | 64Neutral | ILS 22.52B | 10.44 | 15.81% | 7.75% | 6.44% | -8.63% |
| Sector * | 55Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% |
* General Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| IL:MZTF | Mizrahi Tefahot Bank | 22050.00 | 1079.08 | 5.15% | |
| IL:LUMI | Bank Leumi Le-Israel Ltd | 7201.00 | 777.13 | 12.10% | |
| IL:FIBI | First International Bank of Israel | 22450.00 | 185.47 | 0.83% | |
| IL:DSCT | Israel Discount Bank Class A | 3285.00 | 121.19 | 3.83% | |
| IL:POLI | Bank Hapoalim BM | 7280.00 | 755.69 | 11.58% | |
| IL:JBNK | Bank of Jerusalem Ltd. | 1675.00 | -506.09 | -23.20% |
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 18, 2026