Risk factor
Very poor trading liquidity
Profitability factor
Undervalued vs peers
About
Shikun & Binui Ltd., an Israeli company, maintains a diverse operational footprint both domestically and internationally. Its core activities span infrastructure development and construction, real estate, energy production, concessions, and other business ventures. The company is deeply involved in infrastructure projects, encompassing the construction and upkeep of a wide array of facilities. These include essential public and governmental buildings, educational and cultural institutions, medical centers, and judicial complexes. Furthermore, its expertise extends to major civil engineering endeavors like roads, highways, bridges, water and wastewater treatment facilities, and the excavation of tunnels and underpasses. In the energy sector, Shikun & Binui designs, builds, and operates power generation facilities. These leverage various renewable and conventional technologies, such as photovoltaic (PV) and thermo-solar systems, natural gas, wind farms, and hydroelectric installations. Its real estate arm focuses on developing both residential units and commercial properties. The company also manages a portfolio of rental assets, which includes student accommodations, office buildings, and retail spaces. Originally founded in 1920 as Housing and Construction Holding Company Ltd., the organization adopted its current name, Shikun & Binui Ltd., in March 2009. It is headquartered in Airport City, Israel.
Company Valuation
Based on key historical and expected multiples, the stock is undervalued relative to its peers. In particular, the stock is underpriced on P/E, of fair value on EV/EBITD.