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Cellcom Israel Ltd (CEL) Fair Value & Analysis

Communication Services · Il · Market cap 5.6B ILA

CI Cellcom Israel Ltd CEL · TA
Price33.07 ILA
Fair Value31.96 ILA
Upside-3.3%
Quality60/100
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Mixed Growth
Solidly profitable · 13.9% net margin
Low debt · generates free cash flow
0.07% dividend yield
Ranks above peers (10/14)
Moderate moat 57/100
Evidence: High Range 23.97 ILA – 39.95 ILA Share as image

Fair value as of: Jul 16, 2026

From 24 valuation models · updated 24 days ago

Fair value updated Jul 16, 2026, revised from 56.88 ILA to 31.96 ILA (−43.8%) since Jul 15, 2026. Share price +2.7% over the past month.

A solid business, currently priced close to our fair value.

What matters now

  • The price sits close to our fair value, market and models broadly agree here, little valuation tension.
  • Our model range runs from 23.97 ILA (bear) to 39.95 ILA (bull), base 31.96 ILA. The closer the price sits to the lower half, the larger the margin of safety.
  • Quality 60/100 (solid quality) with high evidence: the data supports the verdict.
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Price vs Fair Value (5 years)

42.65 ILA 9.05 ILA Fair Value 31.96 ILA Mar 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 16, 2026.

How to read this chart

60‑month range 9.05 ILA – 42.65 ILA · fair‑value band 23.97 ILA – 39.95 ILA · the 33.07 ILA price screens above the 31.96 ILA fair value. Dashed = 300-day average. As of Jul 16, 2026.

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Analysis

Cellcom Israel Ltd (CEL) currently trades at 33.07 ILA, while our model-based Fair Value estimate is 31.96 ILA, implying the stock looks roughly 3.3% fairly valued today. The Quality Score stands at 60/100 (solid quality), in the Communication Services sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, Cellcom Israel Ltd generated revenue of 4.1B ILA at a net margin of 13.9%. Revenue declined 8.9% year over year. It earns a return on equity of 22.0%. Net debt stands at 1.7B ILA. Fundamentals as of Jul 16, 2026

Our scenario range runs from 23.97 ILA (bear case) to 39.95 ILA (bull case); at 33.07 ILA, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. For context, the median of 10 Communication Services peers we cover trades at 32% fair-value upside, at -3%, CEL screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Growth DCF 41.96 ILA 57.26 ILA 77.66 ILA 80
Residual Income 20.89 ILA 27.31 ILA 93.66 ILA 76
Rev-Margin DCF 25.80 ILA 36.66 ILA 48.55 ILA 74
All 24 models by family
DCF Models
FCF DCF 40.64 ILA 56.85 ILA 79.44 ILA 38
Owner Earnings 62.87 ILA 87.39 ILA 121.55 ILA 31
5Y Revenue Exit 25.80 ILA 35.86 ILA 48.11 ILA 39
5Y EBITDA Exit 52.40 ILA 82.19 ILA 115.79 ILA 41
5Y P/E Exit 43.47 ILA 66.63 ILA 89.84 ILA 38
10Y Revenue Exit 30.70 ILA 40.44 ILA 51.56 ILA 36
10Y EBITDA Exit 47.38 ILA 70.72 ILA 98.46 ILA 37
10Y P/E Exit 41.97 ILA 60.55 ILA 80.48 ILA 35
Earnings-Based
Graham-Dodd 22.75 ILA 46.32 ILA 58.36 ILA 54
EPV 9.91 ILA 11.91 ILA 13.64 ILA 59
Dividend Discount
Gordon GGM 10.42 ILA 14.93 ILA 19.46 ILA 70
DDM Multi-Stage 10.42 ILA 14.51 ILA 19.04 ILA 61
Multiples
P/E Multiple 55.20 ILA 73.60 ILA 92.01 ILA 63
P/S Multiple 42.66 ILA 56.88 ILA 71.10 ILA 58
P/B Multiple 42.66 ILA 56.88 ILA 71.10 ILA 55
EV/EBIT 24.64 ILA 33.78 ILA 42.91 ILA 53
EV/EBITDA 69.10 ILA 93.05 ILA 117.00 ILA 54
EV/Revenue 18.02 ILA 26.93 ILA 35.83 ILA 43
Asset-Based
NCAV (Graham) 8.41 ILA 11.27 ILA 16.82 ILA 50
Growth DCF
Growth DCF 41.96 ILA 57.26 ILA 77.66 ILA 80
Rev-Margin DCF 25.80 ILA 36.66 ILA 48.55 ILA 74
Economic Profit
Residual Income 20.89 ILA 27.31 ILA 93.66 ILA 76
ROIC Compounder 9.91 ILA 11.91 ILA 13.64 ILA 72
Growth Earnings
Growth-Adj P/E 40.10 ILA 57.28 ILA 74.46 ILA 68

Widest divergence: DCF Models (60.55 ILA) versus Asset-Based (11.27 ILA). Highest evidence: Growth DCF (80).

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Key figures & financial health

Revenue (TTM) 4.1B ILA
Revenue growth (YoY) -8.9%
Net margin 13.9%
Return on equity 22.0%
Free cash flow 740M ILA FY2025
P/E ratio 9.8
More key figures
Operating margin 11.7%
EPS (TTM) 3.38 ILA
Dividend yield 0.1%
EPS growth (YoY) +20.0%
Net debt 1.7B ILA FY2025

Figures from reported company fundamentals · as of Jul 16, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 60/100

Of which business quality 59 · Market factors (momentum, volatility) 46

Profitability 53
Margins and returns on capital today
Quality Growth 42
Are margins and returns improving?
Cashflow 79
Earnings quality: real cash, not paper profit
Fin. Strength 46
Balance sheet, leverage, solvency risk
Investment 69
Disciplined investing over empire-building
Low Volatility 71
Calm price path (market factor)
Momentum 33
Price trend over the last 3–12 months (market factor)
52W Momentum 38
Distance to the 52-week high (market factor)
Net Issuance 65
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Cellcom Israel Ltd. provides cellular communications services in Israel. The company offers wired communication services, including internet access and infrastructure, television services over the Internet, fixed telephony, and transmission services for business customers and telecommunication operators.

Full company description

Cellcom Israel Ltd. provides cellular communications services in Israel. The company offers wired communication services, including internet access and infrastructure, television services over the Internet, fixed telephony, and transmission services for business customers and telecommunication operators. It also provides conference call, information security, cloud computing, and server hosting services, as well as IOT solutions, roaming, and text and multimedia messaging services. In addition, the company sells various equipment, such as computing and communication equipment, such as servers, routers, and switches, and others; software and integration of information security products; electricity supply services to private and business customers; browsing and transferring data; and cellular terminal equipment and warranty and repair services. Further, it offers construction, operation, and maintenance services for the radio network; international call and mobile network operating services; voice calling, call waiting, caller ID, and voicemail; pleasant waiting; personnel management applications and vehicle fleet management; and cell phones, accessories, and electronic equipment, such as tablets, laptops, gaming consoles, speakers, headphones, and smart watches through physical stores and websites. Cellcom Israel Ltd. was incorporated in 1994 and is headquartered in Netanya, Israel.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Cellcom Israel Ltd reported revenue of 4.2B ILA in FY2025 versus 4.1B ILA in FY2021, a compound +0.9%/yr. Reported net income was 564M ILA in FY2025, compounding +113.8%/yr from FY2021.

Growth Quality 60/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
4.2B ILS
Latest YoY
−4.5%
Avg. growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
−0.4%
Avg. growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+2.9%
Avg. growth/yr (24Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
−0.6%
Revenue +0.9%/yr
FY21 4.1B ILA
FY22 4.3B ILA
FY23 4.4B ILA
FY24 4.4B ILA
FY25 4.2B ILA
Net income +113.8%/yr
FY21 27.0M ILA
FY22 157M ILA
FY23 134M ILA
FY24 173M ILA
FY25 564M ILA
Character of growth · EPS growth decomposed (2014-2025) −1.4 % p.a.
Revenue per share −5.2 pp

of which total revenue +0.3 pp · buybacks/dilution −5.5 pp

EBIT margin −2.0 pp
Tax rate −0.4 pp
Residual (interest, one-offs) +6.3 pp

Absolute contributions in percentage points per year; they sum to the EPS growth rate. Start and end points are 3-year averages (details on hover).

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Cite: Fair Value Calculator (2026). "Cellcom Israel Ltd Fair Value". https://www.fairvalue-calculator.com/stock/CEL

Peer Group

Telecom Services · 250 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 60 · Above median
Fair Value upside −3% · Below median
Return on equity (TTM) 22% · Top 25%
Return on assets 4% · Above median
Net margin (TTM) 14% · Top 25%
Operating margin (TTM) 12% · Above median
Revenue growth -9% · Bottom 25%
Dividend yield (TTM) 0.1% · Bottom 25%
Debt / equity 0.33× · Higher than median

Valuation Multiples vs Telecom Services median · lower = cheaper

P/E (TTM) 9.8× · Cheaper than 75% of peers
P/B 0.65× · Cheaper than 75% of peers
P/S (TTM) 0.44× · Cheaper than 75% of peers
P/FCF 2.5× · Cheaper than median
EV/EBITDA 2.5× · Cheaper than 75% of peers

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 29 · sector 29
FUTURE 0 · sector 15
PAST 88 · sector 28
HEALTH 83 · sector 88
DIVIDEND 1 · sector 73

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Telecom Services stocks, each showing price versus our Fair Value estimate (as of Jul 16, 2026).

Stock Price Fair Value vs Fair Value
China Mobile Limited 600941 ¥89.98 ¥109.88 +22%
T-Mobile US, Inc TMUS $187.61 $172.67 -8%
Bharti Airtel Limited BHARTIARTL ₹1,922 ₹941.55 -51%
China Telecom Corporation 601728 ¥6.01 ¥8.36 +39%
América Móvil, S.A. AMXB 23.07 MXN 30.35 MXN +32%
Vodafone Group VODN 259.50 MXN 507.27 MXN +95%
Advanced Info Service Public Company ADVANC 379.00 THB 286.77 THB -24%
Chunghwa Telecom Co 2412 133.50 TWD 100.00 TWD -25%
China Unicom (Hong Kong) Limited 0762 HK$6.50 HK$13.03 +100%
Telefónica, S.A TEFN 75.67 MXN 111.01 MXN +47%

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Frequently asked questions

Is Cellcom Israel Ltd (CEL) overvalued or undervalued?
As of Jul 16, 2026, our model estimates a fair value of 31.96 ILA versus a price of 33.07 ILA, about −3% (fairly valued).
What is the fair value of CEL?
Our model-based fair value for Cellcom Israel Ltd is 31.96 ILA (as of Jul 16, 2026), built from audited fundamentals. The current price is 33.07 ILA.
What is the quality score of CEL?
Cellcom Israel Ltd has a Quality Score of 60/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Cellcom Israel Ltd (CEL)?
Cellcom Israel Ltd reported trailing-twelve-month revenue of about 4.1B ILS (latest available figure, as of Jul 16, 2026).
What is the net profit margin of CEL?
The net profit margin of Cellcom Israel Ltd is about 13.9%, meaning it keeps roughly 13.9% of revenue as net income. Based on the latest reported figures.
Does Cellcom Israel Ltd pay a dividend?
Cellcom Israel Ltd currently shows a dividend yield of about 0.07% relative to its recent price (as of Jul 16, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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