Nofar Energy (NOFR) AI Stock Analysis

Nofar Energy

(TASE:NOFR)

Select Model

Rating:48.27Neutral

Price Target:ILA 12,977.00▼(-3.87% Downside)

Action:reiterated

Date:08/24/26

The overall stock score is restrained mainly by weak financial foundations: leverage has risen sharply, cash generation is persistently negative, and earnings have been volatile, despite recent improvements in profitability and margins. Technicals are only mildly supportive, with the price below key medium-term averages, negative MACD, and neutral momentum indicators, while the stock still trades at a rich earnings multiple without a clear income component, leaving limited valuation support and reinforcing a cautious, below-average score.

Positive Factors

Revenue GrowthTTM revenue growth of about 16% indicates continued expansion in the company’s operating base and demand for its renewable assets. Sustained top-line growth can improve scale, support project development activity, and strengthen the platform’s ability to compound over the next several quarters.

Negative Factors

High LeverageDebt-to-equity of approximately 5.25x, after rising materially from prior years, leaves the company increasingly dependent on borrowed capital. High leverage reduces financial flexibility, increases funding sensitivity, and can constrain the ability to finance new projects or absorb weaker operating performance.

Nofar Energy (NOFR) vs. iShares MSCI Israel ETF (EIS)

Market Cap: ILS 5.20B
Dividend Yield: ―
Average Volume (3M): 169.60K
Price to Earnings (P/E): 38.5
Beta (1Y): 1.51
Revenue Growth: 18.72%
EPS Growth: ―
Country: Israel
Employees: 364
Sector: General
Sector Strength: 55
Industry: Renewable Utilities

Nofar Energy Business Overview & Revenue Model

Company Description

O.Y. Nofar Energy Ltd develops, designs, licenses, constructs, and operates photovoltaic systems on rooftops in Israel. It engages in the initiation, financing, construction, operation, and maintenance of solar power generation systems, wind power ge...

Nofar Energy Financial Statement Overview

Summary

Financial performance is mixed: profitability and margins have improved recently with net income turning positive and revenue returning to growth, but high and rapidly rising debt, very weak and volatile operating and free cash flow, and an inconsistent earnings history keep risk elevated and limit the score.

Income Statement

72Positive

Balance Sheet

46Neutral

Cash Flow

24Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	368.27M	311.30M	313.21M	320.78M	324.57M	360.76M
Gross Profit	36.88M	22.62M	48.74M	2.30M	2.26M	33.73M
EBITDA	141.99M	53.85M	133.55M	61.06M	216.61M	16.16M
Net Income	123.41M	90.13M	-26.91M	-88.66M	153.75M	4.38M
Balance Sheet
Total Assets	13.21B	6.48B	6.23B	5.67B	4.62B	2.17B
Cash, Cash Equivalents and Short-Term Investments	1.17B	618.74M	410.13M	671.40M	736.63M	904.35M
Total Debt	8.76B	4.33B	3.42B	2.53B	1.59B	588.34M
Total Liabilities	10.47B	4.60B	3.82B	2.90B	2.09B	724.79M
Stockholders Equity	2.00B	1.86B	1.63B	1.82B	1.62B	1.39B
Cash Flow
Free Cash Flow	-2.09B	-1.35B	-860.62M	-374.38M	-321.99M	-125.70M
Operating Cash Flow	-298.79M	-190.31M	43.25M	-65.64M	-234.61M	-103.65M
Investing Cash Flow	-2.40B	-1.29B	-1.07B	-384.21M	-1.07B	-355.35M
Financing Cash Flow	3.28B	1.74B	713.26M	890.72M	602.48M	888.89M

Nofar Energy Technical Analysis

Technical Analysis SentimentNegative

Last Price13500.00

Price Trends

50DMA15623.40Negative

100DMA18226.80Negative

200DMA17958.40Negative

Market Momentum

MACD-517.98Negative

RSI35.42Neutral

STOCH9.84Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:NOFR, the sentiment is Negative. The current price of 13500.00 is below the 20-day moving average (MA) of 13862.00, below the 50-day MA of 15623.40, and below the 200-day MA of 17958.40, indicating a bearish trend. The MACD of -517.98 indicates Negative momentum. The RSI at 35.42 is Neutral, neither overbought nor oversold. The STOCH value of 9.84 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IL:NOFR.

Nofar Energy Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IL:NOFR against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IL:ORL	74Outperform	ILS 6.10B	5.24	-0.23%	7.65%	-3.84%	―
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IL:NOFR	48Neutral	ILS 5.20B	38.50	―	―	18.72%	―
IL:MSKE	45Neutral	ILS 6.77B	-53.52	―	―	―	―

* General Sector Average

Performance Comparison

IL:NOFR and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IL:NOFR	O.Y. NOFAR ENERGY LTD	13090.00	2090.00	19.00%
IL:ORL	Oil Refineries Ltd.	194.80	104.40	115.48%
IL:CDEV	Cohen Development Gas & Oil Ltd.	14320.00	-6637.67	-31.67%
IL:MSKE	Meshek Energy Renewable Energies Ltd.	914.10	237.10	35.02%
IL:PRIM	Prime Energy P.E. LTD	3643.00	2132.00	141.10%

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 22, 2026

Nofar Energy AI Stock Analysis