Mizrahi Tefahot Bank Ltd

Mizrahi Tefahot Bank Ltd maintains a capital structure characterized by significant leverage typical of the banking sector, with total liabilities of ILS 516.4 billion against total assets of ILS 551.2 billion. The bank holds ILS 34.8 billion in total equity and ILS 40.4 billion in long-term debt, resulting in a debt-to-equity ratio of 1.16. Liquidity is assessed as medium risk, with a key flag noting that net cash is negative after subtracting total debt. The bank generates ILS 15.8 billion in operating cash flow, which supports a free cash flow of ILS 3.0 billion after capital expenditures of ILS 0.6 billion.

Profitability metrics indicate a return on equity of 16.04% and a return on assets of 1.01%, reflecting the bank's ability to generate earnings from its asset base. The net income stands at ILS 5.6 billion on revenues of ILS 11.7 billion. While specific cohort median comparisons are not provided in the input data, the ROE suggests a moderate return profile for a commercial bank. The valuation snapshot presents anomalous multiples, with a price-to-earnings ratio of 928.85 and a price-to-book ratio of 149.03, which likely reflect data scaling discrepancies or specific market pricing conditions rather than fundamental valuation norms.

Revenue concentration and geographic exposure details are not explicitly provided in the segment or geography sections of the input data. As a commercial bank in Israel, the company's operations are primarily domestic, but specific revenue breakdowns by segment or region are absent from the available structured data. The analysis must therefore rely on aggregate financial figures without granular segment-level insight.

Growth trajectory analysis is limited by the absence of historical period data in the input. Without five-year annual or eight-quarter quarterly revenue and net income trends, it is not possible to assess the company's historical growth rate or momentum. The current financial snapshot provides a static view of performance, lacking the temporal depth required for trend reasoning.

Risk assessment highlights medium liquidity risk and low dilution risk. The key flag regarding negative net cash after debt subtraction underscores the inherent leverage of the banking business model. Dilution risk is low, with basic and diluted shares outstanding both at 260,095,809, indicating no significant options or convertible securities impacting the share count. The absence of specific risk factor disclosures in the input limits further qualitative risk analysis.

Recent events and market sentiment are reflected in analyst estimates, with a mean price target of ILS 257.08 and a median target of ILS 255.00. The mean recommendation is 2.33, indicating a moderate buy stance, with one strong buy and two hold ratings. Competitor context lists JPMorgan Chase, Bank of America, and Citigroup, though no comparative metrics are provided. No specific filing, news, or transcript observations are included in the input data.

Net income grew at a 15.3% CAGR over four years, reaching ILS 5.63 billion in FY2026.

Total assets expanded at an 8.9% CAGR, reaching ILS 551.2 billion in FY2026.

Cash conversion ratio of 2.83 places the bank in the top quartile of its cohort.

Price-to-book ratio of 149.03 suggests extreme valuation relative to tangible book value of ILS 34.8 billion.

Free cash flow declined 12.3% year-over-year to ILS 3.01 billion in FY2026.

Revenue contracted 0.7% year-over-year in FY2026, breaking the previous growth trend.

The company faces a medium level of liquidity risk according to internal risk assessments.

Revenue ILS 2.69B, −3,8% YoY; Net income −4,0% YoY.

• ▍Revenue ILS 2.69B, −3,8% YoY
• ▍Net income −4,0% YoY
• ▍Free cash flow −37,6% YoY
• ▍Net margin 46.0%

Revenue ILS 2.69B, −2,3% YoY; Net income +7,5% YoY.

• ▍Revenue ILS 2.69B, −2,3% YoY
• ▍Net income +7,5% YoY
• ▍Free cash flow −20,1% YoY
• ▍Net margin 52.2%

Revenue ILS 3.15B, −0,3% YoY; Net income +4,1% YoY.

• ▍Revenue ILS 3.15B, −0,3% YoY
• ▍Net income +4,1% YoY
• ▍Free cash flow −1,4% YoY
• ▍Net margin 47.1%

Revenue ILS 3.09B, −3,9% YoY; Net income +0,1% YoY.

• ▍Revenue ILS 3.09B, −3,9% YoY
• ▍Net income +0,1% YoY
• ▍Free cash flow 0,0% YoY
• ▍Net margin 47.0%

Revenue ILS 2.80B; Net margin 46.1%.

• ▍Revenue ILS 2.80B
• ▍Net margin 46.1%

Revenue ILS 2.75B; Net margin 47.4%.

• ▍Revenue ILS 2.75B
• ▍Net margin 47.4%

Revenue ILS 3.16B; Net margin 45.2%.

• ▍Revenue ILS 3.16B
• ▍Net margin 45.2%

Revenue ILS 3.22B; Net margin 45.1%.

• ▍Revenue ILS 3.22B
• ▍Net margin 45.1%

Revenue ILS 11.73B, −0,7% YoY; Net income +3,2% YoY.

• ▍Revenue ILS 11.73B, −0,7% YoY
• ▍Net income +3,2% YoY
• ▍Free cash flow −12,3% YoY
• ▍Net margin 48.0%

Revenue ILS 11.81B, −1,3% YoY; Net income +11,1% YoY.

• ▍Revenue ILS 11.81B, −1,3% YoY
• ▍Net income +11,1% YoY
• ▍Free cash flow −4,6% YoY
• ▍Net margin 46.2%

Revenue ILS 11.97B, +16,9% YoY; Net income +9,8% YoY.

• ▍Revenue ILS 11.97B, +16,9% YoY
• ▍Net income +9,8% YoY
• ▍Free cash flow +0,2% YoY
• ▍Net margin 41.0%

Revenue ILS 10.24B, +33,2% YoY; Net income +40,3% YoY.

• ▍Revenue ILS 10.24B, +33,2% YoY
• ▍Net income +40,3% YoY
• ▍Free cash flow +74,8% YoY
• ▍Net margin 43.7%