TASE:ILCOChemicals
Israel (TASE:ILCO) Stock Advances As Margin Squeeze Clouds Earnings Quality
ILCO stock has quietly ground higher in recent weeks, yet today’s reaction to Q2 numbers was far more subdued than the headline move might suggest. The market is still trying to square a share price of ₪79.35 with an earnings story built on thin profitability.
The real headline is margin pressure. Q2 net income of US$53 million on revenue of US$2.135b leaves the company running at a slim 1.6% net margin over the last year, down from 2.3% a year ago. For long term holders, the question now is...