Elbit Systems Valuation

Q: What is the Fair Price of ESLT when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

ESLT (₪926) is trading above our estimate of [[fair value]] (₪725.53)

Is ESLT undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of ESLT when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: ESLT (₪926) is trading above our estimate of fair value (₪725.53)

Significantly Below Fair Value: ESLT is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for ESLT?

Key metric: As ESLT is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for ESLT. This is calculated by dividing ESLT's market cap by their current earnings.
What is ESLT's PE Ratio?
PE Ratio	42.6x
Earnings	US$261.15m
Market Cap	US$11.11b

ESLT key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	1.9x
Enterprise Value/EBITDA	21.5x
PEG Ratio	2.9x

Price to Earnings Ratio vs Peers

How does ESLT's PE Ratio compare to its peers?

The above table shows the PE ratio for ESLT vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	25.5x
BSEN Bet Shemesh Engines Holdings (1997)	11.7x	n/a	₪3.1b
ISHI Israel Shipyards Industries	28.6x	n/a	₪1.8b
FBRT FMS Enterprises Migun	8.2x	n/a	₪1.3b
ASHO Ashot Ashkelon Industries	53.3x	n/a	₪1.2b
ESLT Elbit Systems	42.6x	14.5%	₪41.2b

Price-To-Earnings vs Peers: ESLT is expensive based on its Price-To-Earnings Ratio (42.6x) compared to the peer average (25.5x).

Price to Earnings Ratio vs Industry

How does ESLT's PE Ratio compare vs other companies in the Asian Aerospace & Defense Industry?

1 Company	Price / Earnings	Estimated Growth	Market Cap

1 Company		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: ESLT is good value based on its Price-To-Earnings Ratio (42.6x) compared to the Asian Aerospace & Defense industry average (48.7x).

Price to Earnings Ratio vs Fair Ratio

What is ESLT's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

ESLT PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	42.6x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate ESLT's Price-To-Earnings Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.

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