Tase (TASE) AI Stock Analysis

Tase

(TASE:TASE)

Select Model

Rating:84Outperform

Price Target:ILA 15,222.00▲(2.16% Upside)

Action:reiterated

Date:09/18/26

The score is driven primarily by very strong financial performance (high and rising margins, strong free cash flow, low leverage) and supportive technical momentum (price above major moving averages with positive MACD). Offsetting factors are a premium valuation (high P/E with a modest dividend) and some acknowledged external risks from the earnings call (geopolitical/regulatory uncertainty and higher near-term costs).

Positive Factors

High growth and expanding marginsStrong multi-year revenue growth has been accompanied by substantial margin expansion, indicating that the business is converting scale and activity into higher profitability. The combination of 69% gross margin, 51% operating margin, and 39% net margin supports durable earnings power.

Negative Factors

Revenue growth is moderatingThe latest 8% revenue growth rate is still positive but materially slower than the prior step-up, creating a risk that earnings momentum may normalize. If activity growth cools while the cost base continues expanding, future profit growth could become less exceptional.

Tase (TASE) vs. iShares MSCI Israel ETF (EIS)

Market Cap: ILS 13.81B
Dividend Yield: 1.05%
Average Volume (3M): 433.52K
Price to Earnings (P/E): 53.4
Beta (1Y): 1.33
Revenue Growth: 35.29%
EPS Growth: 96.02%
Country: Israel
Employees: 276
Sector: General
Sector Strength: 55
Industry: Financial - Data & Stock Exchanges

Tase Business Overview & Revenue Model

Company Description

The Tel-Aviv Stock Exchange Ltd. operates as a stock exchange in Israel. The company offers shares, participation units, corporate bonds, structured bonds, warrants, convertible securities, exchange-traded funds, MCAMs and government bonds, as well a...

How the Company Makes Money

Public, verifiable details about TASE (Tase)’s specific revenue model and monetization (e.g., exact fee structure, revenue split to treasury/token holders, or named commercial partnerships) are not available from the information provided. null

Tase Earnings Call Summary

Earnings Call Date:Aug 03, 2026(Q2-2026)|% Change Since:26.27%|Next Earnings Date:Nov 09, 2026

Earnings Call SentimentPositive

The call portrayed a strongly positive operational and financial performance with record revenues, margins, profits, trading volumes, IPO activity and improved liquidity metrics. Operational initiatives (indices, co-location, retail app, dual-listing outreach) and shareholder actions (buyback, employee options) reinforce growth and alignment. The main negatives were external: geopolitical volatility, a market correction affecting near-term IPO valuations, regulatory constraints on certain dual listings, and some higher near-term operating and accounting-driven personnel expenses. On balance, the positive achievements and meaningful financial outperformance materially outweigh the challenges and constraints.

Positive Updates

Record Revenue and Profit Growth

Q2 revenues reached ILS 185.4m, up 36% YoY; adjusted EBITDA rose 60% to ILS 114.5m with margin improving to 61.8% (from 52.6%); adjusted net profit increased 82% to ILS 80.8m; basic EPS up 76% to ILS 0.842. First half revenues ILS 368.7m (+38% YoY), adjusted EBITDA ILS 230.1m (+72%), adjusted net profit ILS 158.9m (+96%).

Negative Updates

Geopolitical Volatility and Market Correction

Q2 and H1 were impacted by ongoing multi-front conflict in Israel and a market correction in June following reports of a possible U.S.–Iran agreement, creating heightened volatility and negotiation pressure on IPO valuations.

Company Guidance

Guidance was constructive and concrete: management reiterated another clearing/pricing step‑up effective January 2027, approved a share buyback program of up to ILS 150 million through end‑2026, launched an employee option plan (exercise price ILS 164, vesting over 3 years) replacing cash grants for 2026–2028, and will shortly roll out a free Hebrew/English retail app with real‑time data and “smart money” insights; they also plan continued expansion of co‑location, membership (25 members today, +1 applicant in July) and international outreach to support more dual listings and IPOs. They expect the positive pipeline to build on the strong operating backdrop—Q2 revenues ILS 185.4m (+36% YoY), adjusted EBITDA ILS 114.5m (+60%) with a 61.8% margin, adjusted net profit ILS 80.8m (+82%) and basic EPS ILS 0.842 (+76%)—and H1 results (revenues ILS 368.7m, +38%; adj. EBITDA ILS 230.1m, +72%, 62.4% margin; adj. net profit ILS 158.9m, +96%). Management pointed to market metrics that support the outlook: equity market cap ILS 2.7tn (vs ILS 1.5tn a year ago), average daily equity volume ILS 5.7bn (+65% YoY), Friday average ILS 4.6bn (vs Sunday ILS 1.6bn in 2025) with international trading share rising from 12.5% to 41% on Fridays, record days of ILS 24.5bn and ILS 15.8bn, bond market daily avg ILS 5.9bn (+31.4%), 15 IPOs in H1 raising ILS 6.1bn, 12 new bond issuers ILS 6.8bn, corporate bond market ILS 117bn and MoF issuance ILS 89bn on‑TASE (+$6bn abroad), while balance‑sheet metrics remain strong (cash & marketable securities ILS 494m; equity ILS 665m; surplus equity ILS 562m; surplus liquidity ILS 322m; free cash flow ILS 95.6m).

Tase Financial Statement Overview

Summary

Strong profitability and cash generation: multi-year revenue growth with exceptionally high and expanding margins (TTM operating margin ~51%, EBITDA margin ~61%, net margin ~39%) and strong free cash flow growth (TTM FCF +18.1%) with healthy cash conversion (~90% of net income). Balance sheet leverage is low and improving (debt/equity ~0.11x), though historical volatility in leverage/cash flow consistency and moderating latest revenue growth are key watch-outs.

Income Statement

92Very Positive

Balance Sheet

84Very Positive

Cash Flow

88Very Positive

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	665.07M	563.50M	437.87M	389.86M	361.01M	323.66M
Gross Profit	459.17M	367.40M	198.29M	165.41M	150.35M	117.20M
EBITDA	403.07M	305.34M	199.87M	162.43M	121.62M	107.00M
Net Income	258.02M	181.00M	101.39M	83.21M	50.84M	45.47M
Balance Sheet
Total Assets	1.25B	1.79B	1.83B	2.69B	1.81B	1.56B
Cash, Cash Equivalents and Short-Term Investments	494.35M	494.20M	531.41M	498.67M	388.63M	390.06M
Total Debt	75.38M	100.84M	118.15M	163.58M	15.04M	23.14M
Total Liabilities	586.68M	1.14B	1.10B	2.29B	1.13B	897.56M
Stockholders Equity	665.18M	651.48M	721.27M	401.72M	686.45M	661.87M
Cash Flow
Free Cash Flow	327.56M	248.09M	110.25M	109.71M	71.32M	70.73M
Operating Cash Flow	363.90M	268.48M	165.21M	160.27M	119.58M	106.38M
Investing Cash Flow	-78.38M	-62.02M	-55.68M	57.02M	-52.89M	-40.22M
Financing Cash Flow	-197.56M	-272.11M	-79.67M	-1.35M	-54.65M	-28.38M

Tase Technical Analysis

Technical Analysis SentimentPositive

Last Price14900.00

Price Trends

50DMA13576.80Positive

100DMA13189.20Positive

200DMA13721.02Positive

Market Momentum

MACD478.04Negative

RSI56.15Neutral

STOCH38.11Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:TASE, the sentiment is Positive. The current price of 14900.00 is above the 20-day moving average (MA) of 14474.50, above the 50-day MA of 13576.80, and above the 200-day MA of 13721.02, indicating a bullish trend. The MACD of 478.04 indicates Negative momentum. The RSI at 56.15 is Neutral, neither overbought nor oversold. The STOCH value of 38.11 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IL:TASE.

Tase Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IL:TASE against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IL:TASE	84Outperform	ILS 13.81B	53.41	―	1.05%	35.29%	96.02%
IL:IBI	83Outperform	ILS 5.49B	20.37	―	3.77%	44.48%	91.88%
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:FIBI	64Neutral	ILS 22.52B	10.44	15.81%	7.75%	6.44%	-8.63%
IL:MTAV	57Neutral	ILS 9.46B	9.62	―	2.97%	28.78%	172.56%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%

* General Sector Average

Performance Comparison

IL:TASE and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IL:TASE	Tel Aviv Stock Exchange Ltd.	14900.00	7200.00	93.51%
IL:FIBI	First International Bank of Israel	22450.00	762.80	3.52%
IL:DSCT	Israel Discount Bank Class A	3285.00	167.90	5.39%
IL:POLI	Bank Hapoalim BM	7280.00	929.58	14.64%
IL:IBI	IBI Investment House Ltd.	38740.00	16714.30	75.89%
IL:MTAV	Meitav Dash Investments Ltd.	11100.00	1239.20	12.57%

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: Sep 18, 2026

Tase AI Stock Analysis