Israeli Stocks Offer Buying Opportunities Despite Market Fluctuations
Despite positive performance in leading Israeli stock market indices since the start of the year, a closer look reveals significant drops of 20%-40% in many individual stocks, even those with strong business results. This market behavior has created what the author believes are attractive opportunities for long-term investors to acquire shares in quality companies at favorable prices.
The article highlights three specific companies presenting such opportunities: Sno, a leading Israeli manufacturer and distributor of household consumer goods, is noted for its strong financial position with zero debt and substantial liquidity, alongside consistent profit growth. Despite a recent stock drop of over 20%, the company achieved record results in the first half of 2026. The author estimates Sno's intrinsic value at 4.5-4.9 billion shekels, suggesting a 25%-35% upside potential.
ETGA, a logistics, import financing, and non-bank credit services provider, is also identified as a promising investment. The company, controlled by the DBSi group, has demonstrated significant growth in operations and profitability through strategic acquisitions. ETGA has shown consistent revenue and profit increases, with recent quarterly performance indicating an annualized net profit of approximately 55 million shekels. The author projects a 20% upside, valuing the company at around 550 million shekels.
Finally, Mivnim REIT, a public real estate investment trust focused on logistics and industrial properties, is presented as undervalued. The company has experienced growth in revenue and profitability by acquiring and improving assets. Mivnim REIT offers a dividend yield of about 7% and is trading at a significant discount to its book equity. Despite strong financial health, high occupancy rates, and a solid credit rating, the stock has seen a decline this year. The author suggests a target price of 2.38 shekels per share, indicating a 30% premium over its current market price.
