ESLT Valuation

Elbit Systems Ltd

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461.640

+7.81(1.721%)1D

Overview
Forecast
Valuation
Earnings

ESLT Relative Valuation

ESLT's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, ESLT is overvalued; if below, it's undervalued.

Historical Valuation

Elbit Systems Ltd (ESLT) is now in the Fair zone, suggesting that its current forward PS ratio of 2.62 is considered Fairly compared with the five-year average of 2.87. The fair price of Elbit Systems Ltd (ESLT) is between 422.06 to 514.75 according to relative valuation methord.

Relative Value

Fair Zone

422.06-514.75

Current Price：453.83

Fair

39.35

Trailing

Forward

24.16

EV/EBITDA

Elbit Systems Ltd. (ESLT) has a current EV/EBITDA of 24.16. The 5-year average EV/EBITDA is 15.95. The thresholds are as follows: Strongly Undervalued below 10.19, Undervalued between 10.19 and 13.07, Fairly Valued between 18.83 and 13.07, Overvalued between 18.83 and 21.71, and Strongly Overvalued above 21.71. The current Forward EV/EBITDA of 24.16 falls within the Strongly Overvalued range.

30.13

EV/EBIT

Elbit Systems Ltd. (ESLT) has a current EV/EBIT of 30.13. The 5-year average EV/EBIT is 20.58. The thresholds are as follows: Strongly Undervalued below 13.09, Undervalued between 13.09 and 16.84, Fairly Valued between 24.33 and 16.84, Overvalued between 24.33 and 28.08, and Strongly Overvalued above 28.08. The current Forward EV/EBIT of 30.13 falls within the Strongly Overvalued range.

2.61

Elbit Systems Ltd. (ESLT) has a current PS of 2.61. The 5-year average PS is 1.48. The thresholds are as follows: Strongly Undervalued below 0.80, Undervalued between 0.80 and 1.14, Fairly Valued between 1.81 and 1.14, Overvalued between 1.81 and 2.15, and Strongly Overvalued above 2.15. The current Forward PS of 2.61 falls within the Strongly Overvalued range.

31.00

P/OCF

Elbit Systems Ltd. (ESLT) has a current P/OCF of 31.00. The 5-year average P/OCF is 26.34. The thresholds are as follows: Strongly Undervalued below 4.77, Undervalued between 4.77 and 15.56, Fairly Valued between 37.12 and 15.56, Overvalued between 37.12 and 47.90, and Strongly Overvalued above 47.90. The current Forward P/OCF of 31.00 falls within the Historic Trend Line -Fairly Valued range.

53.26

P/FCF

Elbit Systems Ltd. (ESLT) has a current P/FCF of 53.26. The 5-year average P/FCF is 109.42. The thresholds are as follows: Strongly Undervalued below -262.36, Undervalued between -262.36 and -76.47, Fairly Valued between 295.32 and -76.47, Overvalued between 295.32 and 481.21, and Strongly Overvalued above 481.21. The current Forward P/FCF of 53.26 falls within the Historic Trend Line -Fairly Valued range.

Elbit Systems Ltd (ESLT) has a current Price-to-Book (P/B) ratio of 6.12. Compared to its 3-year average P/B ratio of 3.54 , the current P/B ratio is approximately 72.66% higher. Relative to its 5-year average P/B ratio of 3.28, the current P/B ratio is about 86.54% higher. Elbit Systems Ltd (ESLT) has a Forward Free Cash Flow (FCF) yield of approximately 2.70%. Compared to its 3-year average FCF yield of 0.43%, the current FCF yield is approximately 526.48% lower. Relative to its 5-year average FCF yield of 1.08% , the current FCF yield is about 149.94% lower.

6.10

P/B

Median3y

3.54

Median5y

3.28

2.70

FCF Yield

Median3y

0.43

Median5y

1.08

Competitors Valuation Multiple

The average P/S ratio for ESLT's competitors is 7.10, providing a benchmark for relative valuation. Elbit Systems Ltd Corp (ESLT) exhibits a P/S ratio of 2.61, which is -63.20% above the industry average. Given its robust revenue growth of 22.00%, this premium appears sustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Northrop Grumman Corp

General Dynamics Corp

Performance Decomposition

Market capitalization of ESLT increased by 157.11% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 26.59 to 57.35.

The secondary factor is the Revenue Growth, contributed 22.00%to the performance.

Overall, the performance of ESLT in the past 1 year is driven by P/E Change. Which is more unsustainable.

22.00%

1.55B → 1.90B

Revenue Growth

19.41%

4.74 → 5.66

Margin Expansion

115.70%

26.59 → 57.35

P/E Change

157.11%