NasdaqCM:ELTK

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

Eltek Ltd. manufactures, markets, and sells printed circuit boards (PCBs) in Israel, Europe, North America, India, the Netherlands, and internationally. More Details


Snowflake Analysis

Good value with proven track record.


Similar Companies

Share Price & News

How has Eltek's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: ELTK has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-0.4%

ELTK

2.7%

US Electronic

1.3%

US Market


1 Year Return

46.6%

ELTK

5.4%

US Electronic

15.8%

US Market

Return vs Industry: ELTK exceeded the US Electronic industry which returned 2.6% over the past year.

Return vs Market: ELTK exceeded the US Market which returned 13.8% over the past year.


Shareholder returns

ELTKIndustryMarket
7 Day-0.4%2.7%1.3%
30 Day-10.2%-2.0%-4.1%
90 Day20.4%7.4%8.4%
1 Year46.6%46.6%6.5%5.4%18.4%15.8%
3 Year42.7%42.7%15.1%11.8%38.2%29.0%
5 Year-22.3%-22.3%77.4%69.1%84.9%64.0%

Price Volatility Vs. Market

How volatile is Eltek's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Eltek undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ELTK ($4.78) is trading below our estimate of fair value ($32.59)

Significantly Below Fair Value: ELTK is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: ELTK is good value based on its PE Ratio (10.4x) compared to the US Electronic industry average (24.4x).

PE vs Market: ELTK is good value based on its PE Ratio (10.4x) compared to the US market (17.6x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: ELTK is overvalued based on its PB Ratio (2.8x) compared to the US Electronic industry average (1.8x).


Next Steps

Future Growth

How is Eltek forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

40.6%

Forecasted Tech 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 Eltek 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.


Next Steps

Past Performance

How has Eltek performed over the past 5 years?

17.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ELTK has high quality earnings.

Growing Profit Margin: ELTK became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: ELTK has become profitable over the past 5 years, growing earnings by 17.2% per year.

Accelerating Growth: ELTK has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: ELTK has become profitable in the last year, making it difficult to compare its past year earnings growth to the Electronic industry (-20.5%).


Return on Equity

High ROE: ELTK's Return on Equity (26.5%) is considered high.


Next Steps

Financial Health

How is Eltek's financial position?


Financial Position Analysis

Short Term Liabilities: ELTK's short term assets ($14.7M) exceed its short term liabilities ($13.0M).

Long Term Liabilities: ELTK's short term assets ($14.7M) exceed its long term liabilities ($2.7M).


Debt to Equity History and Analysis

Debt Level: ELTK's debt to equity ratio (55.4%) is considered high.

Reducing Debt: ELTK's debt to equity ratio has increased from 39.9% to 55.4% over the past 5 years.

Debt Coverage: ELTK's debt is well covered by operating cash flow (98.7%).

Interest Coverage: ELTK earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is Eltek current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate ELTK's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate ELTK's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if ELTK's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if ELTK's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of ELTK's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

2.1yrs

Average management tenure


CEO

Eli Yaffe (65 yo)

2.17yrs

Tenure

US$578,042

Compensation

Mr. Eli Yaffe has been the Chief Executive Officer of Eltek Ltd. since July 1, 2018. Mr. Yaffe served as the Chief Executive Officer of Carmel Forge Ltd. (Aerospace), and prior thereto he served as the Chi ...


CEO Compensation Analysis

Compensation vs Market: Eli's total compensation ($USD578.04K) is about average for companies of similar size in the US market ($USD604.44K).

Compensation vs Earnings: Eli's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Eli Yaffe
Chief Executive Officer2.17yrsUS$578.04kno data
Alon Mualem
CFO & VP of Finance1.67yrsUS$252.87kno data
Yitzhak Zemach
Director of Operations2yrsUS$188.59kno data
Assi Bachar
Chief Information Officer & Procurement officer2.67yrsno datano data

2.1yrs

Average Tenure

52.5yo

Average Age

Experienced Management: ELTK's management team is considered experienced (2.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
David Rubner
Director6.92yrsno datano data
Erez Meltzer
Director11.08yrsno datano data
Ilana Lurie
Independent External Director2yrsno datano data
Yitzhak Nissan
Chairman of the Board6.83yrsUS$302.99k2.98%
$ 614.5k
Mordechai Marmorstein
Independent Director6.92yrsno datano data
Gad Dovev
Independent External Director5.92yrsno datano data

6.9yrs

Average Tenure

71.5yo

Average Age

Experienced Board: ELTK's board of directors are considered experienced (6.9 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.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

Eltek Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Eltek Ltd.
  • Ticker: ELTK
  • Exchange: NasdaqCM
  • Founded: 1970
  • Industry: Electronic Components
  • Sector: Tech
  • Market Cap: US$20.587m
  • Shares outstanding: 4.38m
  • Website: https://www.nisteceltek.com

Number of Employees


Location

  • Eltek Ltd.
  • Sgoola Industrial Zone
  • 20 Ben Zion Gelis Street
  • Petah Tikva
  • 4927920
  • Israel

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ELTKNasdaqCM (Nasdaq Capital Market)YesOrdinary SharesUSUSDJan 1997
EK1DB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1997

Biography

Eltek Ltd. manufactures, markets, and sells printed circuit boards (PCBs) in Israel, Europe, North America, India, the Netherlands, and internationally. The company offers a range of custom designed PCBs, ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/28 23:51
End of Day Share Price2020/09/28 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.