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NTO

Neto M.E Holdings TASE:NTO Stock Report

Last Price

₪184.00

Market Cap

₪657.1m

7D

6.4%

1Y

21.1%

Updated

24 Jun, 2022

Data

Company Financials
NTO fundamental analysis
Snowflake Score
Valuation2/6
Future Growth0/6
Past Performance3/6
Financial Health3/6
Dividends3/6

NTO Stock Overview

Neto M.E Holdings Ltd. produces, processes, imports, markets, and distributes a range of food products in Israel.

Neto M.E Holdings Competitors

 

 

 

 

 

 

 

 

 

 

 

 

Price History & Performance

Summary of all time highs, changes and price drops for Neto M.E Holdings
Historical stock prices
Current Share Price₪184.00
52 Week High₪273.30
52 Week Low₪129.80
Beta-0.17
1 Month Change-17.49%
3 Month Change-14.58%
1 Year Change21.05%
3 Year Change-38.97%
5 Year Change-54.21%
Change since IPO656.89%

Recent News & Updates

May 31
Neto M.E Holdings (TLV:NTO) Has A Pretty Healthy Balance Sheet

Neto M.E Holdings (TLV:NTO) Has A Pretty Healthy Balance Sheet

Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility...

Dec 01
Neto M.E Holdings' (TLV:NTO) Conservative Accounting Might Explain Soft Earnings

Neto M.E Holdings' (TLV:NTO) Conservative Accounting Might Explain Soft Earnings

Shareholders appeared unconcerned with Neto M.E Holdings Ltd's ( TLV:NTO ) lackluster earnings report last week. We did...

Shareholder Returns

NTOIL FoodIL Market
7D6.4%2.8%4.0%
1Y21.1%2.1%7.1%

Return vs Industry: NTO exceeded the IL Food industry which returned 2.1% over the past year.

Return vs Market: NTO exceeded the IL Market which returned 7.1% over the past year.

Price Volatility

Is NTO's price volatile compared to industry and market?
NTO volatility
NTO Average Weekly Movement6.1%
Food Industry Average Movement6.1%
Market Average Movement5.6%
10% most volatile stocks in IL Market8.8%
10% least volatile stocks in IL Market3.7%

Stable Share Price: NTO is not significantly more volatile than the rest of IL stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: NTO's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19401,348Ami Goldinhttps://www.neto.org.il

Neto M.E Holdings Ltd. produces, processes, imports, markets, and distributes a range of food products in Israel. The company offers frozen, refrigerated, fresh, and processed meat, including chicken and turkey; grilled meat products, such as hamburgers, kebabs, steaks, sausages, skewers, and others; ground meat products comprising beef, lamb, and veal; and meat products for cooking, such as calf goulash, roasted veal, faux-filet, kishke, and roast beef, as well as instant meals, including shawarma, readymade schnitzel, chicken rings, and others under the Tibon Veal brand. It also provides frozen, fresh, live, and smoked fish products, including whole fish, fish fillets, fish steaks, kosher, fish cutlets, and fish salads under the Delidag brand; canned tuna and frozen smoked salmon, canned mushrooms, fruits, sauces, vegetables, pasta, rice, and granola products under the Williger brand; frozen bakery products comprising bourekas, meat and dairy pastries, pastries from the Yemenite cuisine, pizzas, and others under the Three Bakers brand; ready-to-eat noodle meals under the Magic brand; and non-dairy and whipped creams, as well as cakes under the Rich’s brand name.

Neto M.E Holdings Fundamentals Summary

How do Neto M.E Holdings's earnings and revenue compare to its market cap?
NTO fundamental statistics
Market Cap₪657.14m
Earnings (TTM)₪87.53m
Revenue (TTM)₪3.70b

7.5x

P/E Ratio

0.2x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
NTO income statement (TTM)
Revenue₪3.70b
Cost of Revenue₪3.16b
Gross Profit₪538.15m
Other Expenses₪450.62m
Earnings₪87.53m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)24.51
Gross Margin14.53%
Net Profit Margin2.36%
Debt/Equity Ratio97.6%

How did NTO perform over the long term?

See historical performance and comparison

Dividends

41.0%

Current Dividend Yield

105%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

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

Valuation Score

2/6

Valuation Score 2/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

NTO 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/Revenue0.5x
Enterprise Value/EBITDA6.9x
PEG Ration/a

Price to Earnings Ratio vs Peers

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

NTO PE Ratio vs Peers
The above table shows the PE ratio for NTO vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average15.4x

Price-To-Earnings vs Peers: NTO is good value based on its Price-To-Earnings Ratio (7.5x) compared to the peer average (15.4x).


Price to Earnings Ratio vs Industry

How does NTO's PE Ratio compare vs other companies in the Food Industry?

Price-To-Earnings vs Industry: NTO is good value based on its Price-To-Earnings Ratio (7.5x) compared to the IL Food industry average (12.2x)


Price to Earnings Ratio vs Fair Ratio

What is NTO'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.

NTO PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio7.5x
Fair PE Ration/a

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


Share Price vs Fair Value

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

Below Fair Value: NTO (₪184) is trading above our estimate of fair value (₪147.83)

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


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate NTO's PEG Ratio to determine if it is good value.


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Future Growth

How is Neto M.E Holdings forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


23.3%

Forecasted Food, Beverage & Tobacco industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Neto M.E Holdings has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Discover growth companies

  • Take a look at our analysis of NTO’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.

Past Performance

How has Neto M.E Holdings performed over the past 5 years?

Past Performance Score

3/6

Past Performance Score 3/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


4.4%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: NTO has high quality earnings.

Growing Profit Margin: NTO's current net profit margins (2.4%) are lower than last year (4%).


Past Earnings Growth Analysis

Earnings Trend: NTO's earnings have grown by 4.4% per year over the past 5 years.

Accelerating Growth: NTO's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: NTO had negative earnings growth (-31.3%) over the past year, making it difficult to compare to the Food industry average (14.1%).


Return on Equity

High ROE: NTO's Return on Equity (26.6%) is considered high.


Discover strong past performing companies

Financial Health

How is Neto M.E Holdings's financial position?

Financial Health Score

3/6

Financial Health Score 3/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: NTO's short term assets (₪1.6B) exceed its short term liabilities (₪1.1B).

Long Term Liabilities: NTO's short term assets (₪1.6B) exceed its long term liabilities (₪37.8M).


Debt to Equity History and Analysis

Debt Level: NTO's net debt to equity ratio (95.1%) is considered high.

Reducing Debt: NTO's debt to equity ratio has increased from 25.7% to 97.6% over the past 5 years.

Debt Coverage: NTO's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: NTO's interest payments on its debt are well covered by EBIT (50.1x coverage).


Balance Sheet


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Dividend

What is Neto M.E Holdings's current dividend yield, its reliability and sustainability?

Dividend Score

3/6

Dividend Score 3/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


41.03%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: NTO's dividend (41.03%) is higher than the bottom 25% of dividend payers in the IL market (2.06%).

High Dividend: NTO's dividend (41.03%) is in the top 25% of dividend payers in the IL market (6.24%)


Stability and Growth of Payments

Stable Dividend: NTO's dividend payments have been volatile in the past 10 years.

Growing Dividend: NTO's dividend payments have increased over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: With its high payout ratio (104.8%), NTO's dividend payments are not well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: NTO is paying a dividend but the company has no free cash flows.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

16.4yrs

Average board tenure


CEO

Ami Goldin (64 yo)

no data

Tenure

₪1,866,000

Compensation

Mr. Amihud Goldin, also known as Ami, serves as the Chief Executive Officer of Neto M.E Holdings Ltd., and Neto group. Mr. Goldin serves as the Chairman of the Board of Directors of Bikurey Hasade Darom Ag...


CEO Compensation Analysis

Compensation vs Market: Ami's total compensation ($USD540.38K) is about average for companies of similar size in the IL market ($USD551.97K).

Compensation vs Earnings: Ami's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Board Members

Experienced Board: NTO's board of directors are seasoned and experienced ( 16.4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Neto M.E Holdings Ltd's employee growth, exchange listings and data sources


Key Information

  • Name: Neto M.E Holdings Ltd
  • Ticker: NTO
  • Exchange: TASE
  • Founded: 1940
  • Industry: Packaged Foods and Meats
  • Sector: Food, Beverage & Tobacco
  • Implied Market Cap: ₪657.142m
  • Shares outstanding: 3.57m
  • Website: https://www.neto.org.il

Number of Employees


Location

  • Neto M.E Holdings Ltd
  • 5 Meir Ezra Street
  • PO Box 655
  • Kiryat Malakhi
  • 75864
  • Israel

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/24 00:00
End of Day Share Price2022/06/23 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.