Key Drivers
- Strong free cashflow
- Modest margins
- High valuation multiples
AIAI Summary
Elbit has shifted from a cyclical defense-equipment supplier to a backlog‑driven, geopolitically insulated revenue and cash‑flow story supported by a $28.1B backlog and strong FCF, but the stock already prices sustained growth and margin expansion—making execution on backlog conversion, working‑capital control, and repeatable margin improvement the decisive drivers of returns. Investors should only pay a premium if they either size positions conservatively with strict stop discipline or wait for two consecutive years of margin/FCF proof and seamless delivery on large international programs.
Price Chart
Financial Metrics
Deep Analysis
Research tool. Not personalized advice.
Fundamental Analysis
Key Financial Insights:
- •Strong free cashflow
- •Modest margins
- •High valuation multiples
Elbit shows strong cash generation, low net leverage and a sizable contracted backlog but only modest margins and heavy working-capital exposure while market multiples are extremely stretched.
Price Behavior
Key Price Behavior Insights:
- •Above last month SMA
- •Rapid concentrated rally
- •Elevated short‑term risk
ESLT is in a clear short‑term uptrend after a concentrated rally into mid‑March, but the rapid ~27% run-up from $724.73 to $920.75 raises short‑term mean‑reversion risk.
~27% gain from $724.73 to $920.75 over a month indicating higher volatility and profit‑taking risk
Sentiment & News
Key News Insights:
- •Demand tailwind
- •Large international backlog
- •High valuation
Elbit Systems reported robust Q4/FY25 results and a $28.1B, ~72% international backlog—boosted by Israel's ~$2.9B defense budget tied to the Iran conflict—sparking a Buy upgrade and share rally despite a stretched 56–65x forward valuation.
The news is a near‑term positive catalyst for revenue and backlog growth and market momentum, but the elevated valuation increases downside risk if aerospace softness or execution issues emerge
Similar Companies in Industrials
Other companies in the same sector with AI ratings