Scope (SCOP) AI Stock Analysis

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Scope

(TASE:SCOP)

Select Model

Rating:56Neutral

Price Target:ILA 23,680.00▼(-11.54% Downside)

Action:reiterated

Date:03/24/26

The score is driven primarily by weakening financial quality—especially sharply lower operating cash flow and negative free cash flow—despite improved leverage. Technical indicators also lean soft with negative MACD and price below short-term moving averages. Valuation is a relative positive with a moderate P/E and a solid dividend yield, but it is not enough to fully offset cash-flow and momentum concerns.

Positive Factors

Revenue growth momentumSustained revenue expansion with a 2025 re-acceleration indicates durable demand and market penetration. Higher top-line growth supports scale economics, investment capacity and product/distribution expansion, providing a structural tailwind for longer-term profitability if maintained.

Negative Factors

Severe cash-flow deteriorationOperating cash flow collapsing from prior levels and recurring negative free cash flow is a structural red flag. It constrains internal funding for growth, dividends and debt service, increasing reliance on external financing and reducing resilience to working-capital shocks over the medium term.

Scope (SCOP) vs. iShares MSCI Israel ETF (EIS)

Market Cap: ILS 3.54B
Dividend Yield: 2.99%
Average Volume (3M): 32.35K
Price to Earnings (P/E): 19.8
Beta (1Y): 1.06
Revenue Growth: 17.77%
EPS Growth: 11.67%
Country: Israel
Employees: 784
Sector: General
Sector Strength: 55
Industry: Industrial - Distribution

Scope Business Overview & Revenue Model

Company Description

Founded in 1968 and based in Bnei Ayish, Israel, Scope Metals Group Ltd. is an international enterprise that processes, stores, and distributes a broad spectrum of metals and plastics. The company provides a wide array of materials, including stainle...

Scope Financial Statement Overview

Summary

Mixed fundamentals: revenue has expanded strongly since 2020 and leverage has improved to under 1.0 debt-to-equity in 2023–2025, but profitability has weakened versus 2021–2022 and cash generation deteriorated sharply. Operating cash flow fell to ~31M in 2025 and free cash flow turned negative in 2024–2025, which meaningfully reduces financial quality despite acceptable margins for the sector.

Income Statement

68Positive

Balance Sheet

70Positive

Cash Flow

34Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	2.30B	2.07B	1.80B	1.64B	1.65B	1.37B
Gross Profit	707.61M	601.74M	605.27M	577.63M	640.05M	544.25M
EBITDA	321.17M	291.24M	270.16M	276.60M	350.92M	301.76M
Net Income	178.90M	154.03M	142.90M	153.91M	214.42M	183.98M
Balance Sheet
Total Assets	2.58B	2.51B	2.23B	2.12B	2.12B	1.68B
Cash, Cash Equivalents and Short-Term Investments	370.34M	510.48M	350.78M	381.68M	536.13M	351.79M
Total Debt	1.01B	991.46M	897.97M	924.82M	1.08B	993.83M
Total Liabilities	1.35B	1.25B	1.13B	1.14B	1.31B	1.21B
Stockholders Equity	1.23B	1.26B	1.11B	984.83M	805.47M	472.77M
Cash Flow
Free Cash Flow	282.00K	-14.70M	-25.91M	2.73M	67.56M	109.08M
Operating Cash Flow	62.87M	30.66M	32.60M	80.24M	147.27M	141.06M
Investing Cash Flow	-112.30M	-25.24M	-54.80M	-77.58M	-144.99M	-34.84M
Financing Cash Flow	80.86M	199.79M	-26.74M	-169.83M	122.81M	-136.82M

Scope Technical Analysis

Technical Analysis SentimentNeutral

Last Price26770.00

Price Trends

50DMA27815.80Negative

100DMA28115.66Negative

200DMA25049.13Positive

Market Momentum

MACD-414.52Negative

RSI48.44Neutral

STOCH92.37Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:SCOP, the sentiment is Neutral. The current price of 26770.00 is below the 20-day moving average (MA) of 26992.50, below the 50-day MA of 27815.80, and above the 200-day MA of 25049.13, indicating a neutral trend. The MACD of -414.52 indicates Negative momentum. The RSI at 48.44 is Neutral, neither overbought nor oversold. The STOCH value of 92.37 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IL:SCOP.

Scope Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IL:SCOP 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:SCOP	56Neutral	ILS 3.54B	19.76	―	2.99%	17.77%	11.67%
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%

* General Sector Average

Performance Comparison

IL:SCOP and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IL:SCOP	Scope Metals Group Ltd	26770.00	11024.99	70.02%
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:GNGR	Ginegar Plastic Products Ltd.	498.10	-304.80	-37.96%
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: Mar 24, 2026

Scope AI Stock Analysis