EN DE

Gaon Group (GAGR) Fair Value & Analysis

Basic Materials · Il · Market cap 850M ILA

GG Gaon Group GAGR · TA
Price18.68 ILA
Fair Value9.75 ILA
Upside-47.8%
Quality55/100
Watch Gaon Group for free, get notified when fair value or trend changes. Watch for free
Expensive Growth
Thin margins · 4.9% net margin
Low debt · generates free cash flow
Ranks above peers (9/13)
Narrow moat 38/100
Evidence: High Range 7.35 ILA – 15.64 ILA Share as image

Fair value as of: Jul 11, 2026

From 25 valuation models · updated 30 days ago

Share price +0.9% over the past month.

A solid business, but screening 48% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (15.64 ILA). The favourable scenario is already priced in.
  • Solid but not exceptional quality (55/100) and above fair value, neither a clear bargain nor a standout compounder.
  • A fairly wide model range (7.35 ILA to 15.64 ILA) leaves room in how you read the outcome.
Share this valuation: 𝕏 WhatsApp

Price vs Fair Value (5 years)

20.79 ILA 2.48 ILA Fair Value 9.75 ILA Mar 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 11, 2026.

How to read this chart

60‑month range 2.48 ILA – 20.79 ILA · fair‑value band 7.35 ILA – 15.64 ILA · the 18.68 ILA price screens above the 9.75 ILA fair value. Dashed = 300-day average. As of Jul 11, 2026.

Full chart & analysis →

Which stocks are undervalued right now? Check free Discover now →

Analysis

Gaon Group (GAGR) currently trades at 18.68 ILA, while our model-based Fair Value estimate is 9.75 ILA, implying the stock looks roughly 47.8% overvalued today. The Quality Score stands at 55/100 (solid quality), in the Basic Materials 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, Gaon Group generated revenue of 704M ILA at a net margin of 4.8%. Revenue declined 14.1% year over year. It earns a return on equity of 8.0%. Net debt stands at 366M ILA. Fundamentals as of Jul 11, 2026

Our scenario range runs from 7.35 ILA (bear case) to 15.64 ILA (bull case); at 18.68 ILA, the current price sits above 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 Basic Materials peers we cover trades at -7% fair-value upside, at -48%, GAGR 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 1.75 ILA 2.37 ILA 3.11 ILA 80
Residual Income 7.53 ILA 7.81 ILA 8.00 ILA 76
Rev-Margin DCF 8.28 ILA 14.33 ILA 20.81 ILA 74
All 25 models by family
DCF Models
FCF DCF 1.72 ILA 2.41 ILA 3.27 ILA 38
Owner Earnings 6.59 ILA 9.05 ILA 12.15 ILA 31
5Y Revenue Exit 8.28 ILA 14.44 ILA 22.21 ILA 39
5Y EBITDA Exit 9.88 ILA 17.31 ILA 25.77 ILA 41
5Y P/E Exit 5.44 ILA 9.34 ILA 13.28 ILA 38
10Y Revenue Exit 5.13 ILA 9.75 ILA 15.77 ILA 36
10Y EBITDA Exit 6.39 ILA 11.53 ILA 18.15 ILA 37
10Y P/E Exit 3.84 ILA 6.59 ILA 9.78 ILA 35
Earnings-Based
Graham-Dodd 5.00 ILA 12.47 ILA 16.18 ILA 54
PEG = 1.0 2.28 ILA 3.25 ILA 4.23 ILA 46
EPV 10.14 ILA 11.55 ILA 12.72 ILA 59
Dividend Discount
Gordon GGM 1.71 ILA 2.85 ILA 4.05 ILA 70
DDM Multi-Stage 1.71 ILA 2.44 ILA 3.13 ILA 61
Multiples
P/E Multiple 9.38 ILA 12.51 ILA 15.64 ILA 63
P/S Multiple 9.38 ILA 12.51 ILA 15.64 ILA 58
P/B Multiple 9.38 ILA 12.51 ILA 15.64 ILA 55
EV/EBIT 15.91 ILA 21.27 ILA 26.62 ILA 53
EV/EBITDA 17.88 ILA 23.89 ILA 29.90 ILA 54
EV/Revenue 13.77 ILA 19.74 ILA 25.70 ILA 43
Asset-Based
NCAV (Graham) 4.87 ILA 6.53 ILA 9.74 ILA 50
Growth DCF
Growth DCF 1.75 ILA 2.37 ILA 3.11 ILA 80
Rev-Margin DCF 8.28 ILA 14.33 ILA 20.81 ILA 74
Economic Profit
Residual Income 7.53 ILA 7.81 ILA 8.00 ILA 76
ROIC Compounder 10.21 ILA 12.07 ILA 14.07 ILA 72
Growth Earnings
Growth-Adj P/E 7.35 ILA 10.51 ILA 13.66 ILA 68

Widest divergence: Multiples (12.51 ILA) versus Growth DCF (2.37 ILA). Highest evidence: Growth DCF (80).

Notify me when GAGR reaches fair value

Free. You confirm by email (double opt-in) and can unsubscribe anytime in one click.

Key figures & financial health

Revenue (TTM) 704M ILA
Revenue growth (YoY) -14.1%
Net margin 4.8%
Return on equity 8.0%
Free cash flow 9.6M ILA FY2025
P/E ratio 22.8
More key figures
Operating margin 9.9%
EPS (TTM) 0.7700 ILA
EPS growth (YoY) -22.1%
Net debt 366M ILA FY2025

Figures from reported company fundamentals · as of Jul 11, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 55/100

Of which business quality 51 · Market factors (momentum, volatility) 87

Profitability 33
Margins and returns on capital today
Quality Growth 64
Are margins and returns improving?
Cashflow 30
Earnings quality: real cash, not paper profit
Fin. Strength 38
Balance sheet, leverage, solvency risk
Investment 91
Disciplined investing over empire-building
Low Volatility 75
Calm price path (market factor)
Momentum 92
Price trend over the last 3–12 months (market factor)
52W Momentum 92
Distance to the 52-week high (market factor)
Net Issuance 82
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

Gaon Group Ltd. operates as a flow infrastructure group in Israel. The company offers steel pipes for water, sewage, fuel and gas infrastructures industries.

Full company description

Gaon Group Ltd. operates as a flow infrastructure group in Israel. The company offers steel pipes for water, sewage, fuel and gas infrastructures industries. It also provides centric butterfly, double eccentric high pressure butterfly, rising and non-rising axis wedge, diaphragm, fire extinguishing, filters, and check valves; ball valves, ball valves and accessories; water infrastructures, sewerage and drainage, gas systems, electricity and telecommunication, industry, fire extinguishing, plumbing, agriculture, and household; and AMR/AMI, and plastic pipes. The company was formerly known as Middle East Tube Company Ltd. and changed its name to Gaon Group Ltd. in March 2017. Gaon Group Ltd. was incorporated in 1951 and is based in Or Yehuda, Israel. Gaon Group Ltd. operates as a subsidiary of B. Gaon Holdings Ltd.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Gaon Group reported revenue of 704M ILA in FY2025 versus 498M ILA in FY2021, a compound +9.0%/yr. Reported net income was 33.5M ILA in FY2025, compounding +17.6%/yr from FY2021.

Growth Quality 53/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
704M ILS
Latest YoY
+7.5%
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.
+0.3%
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.
+6.6%
Avg. growth/yr (22Y) ⓘ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.
+6.8%
Revenue +9.0%/yr
FY21 498M ILA
FY22 697M ILA
FY23 634M ILA
FY24 654M ILA
FY25 704M ILA
Net income +17.6%/yr
FY21 17.5M ILA
FY22 14.9M ILA
FY23 −28.6M ILA
FY24 11.2M ILA
FY25 33.5M ILA
Character of growth · EPS growth decomposed (2014-2025) +3.7 % p.a.
Revenue per share +6.0 pp

of which total revenue +5.7 pp · buybacks/dilution +0.3 pp

EBIT margin +11.8 pp
Tax rate −2.0 pp
Residual (interest, one-offs) −12.0 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).

GAGR screens 48% overvalued. Compare with Tata Steel Limited →

Run the numbers yourself: free valuation calculators
DCF CalculatorGraham NumberPeter Lynch FormulaDDM CalculatorFama-French ModelIntrinsic Value
Share or link this analysis
𝕏 Post WhatsApp LinkedIn Reddit
For bloggers & editors: embed code + live data

For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.

Gaon Group · Fair Value
9.75 ILA −48%Fair Value
Calculator →

Cite: Fair Value Calculator (2026). "Gaon Group Fair Value". https://www.fairvalue-calculator.com/stock/GAGR

Peer Group

Steel · 378 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 55 · Above median
Fair Value upside −48% · Below median
Return on equity (TTM) 8% · Above median
Return on assets 4% · Above median
Net margin (TTM) 5% · Above median
Operating margin (TTM) 11% · Top 25%
Revenue growth 4% · Above median
Debt / equity 0.14× · Higher than median

Valuation Multiples vs Steel median · lower = cheaper

P/E (TTM) 24.2× · Pricier than median
P/B 0.63× · Cheaper than median
P/S (TTM) 0.39× · Cheaper than median
P/FCF 29.1× · Pricier than 75% of peers
EV/EBITDA 3.0× · 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 0 · sector 19
FUTURE 22 · sector 4
PAST 32 · sector 15
HEALTH 93 · sector 95
DIVIDEND 0 · sector 41

VALUE 0: the price sits above our fair-value range.

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 Steel stocks, each showing price versus our Fair Value estimate (as of Jul 11, 2026).

Stock Price Fair Value vs Fair Value
Tata Steel Limited TTST $0.2010 $0.2000 -0%
JSW Steel Limited JSWSTEEL ₹1,227 ₹1,140 -7%
Baoshan Iron & Steel Co 600019 ¥5.89 ¥8.07 +37%
China Steel Corporation 2002A 38.55 TWD 8.74 TWD -77%
POSCO Holdings 005490 313,500 KRW 155,270 KRW -50%
Companhia Siderúrgica Nacional, SID 13,670 ARS 15,940 ARS +17%
Jindal Steel Limited JINDALSTEL ₹1,028 ₹545.12 -47%
Lloyds Metals and Energy Limited LLOYDSME ₹1,844 ₹1,098 -40%
Gerdau S.A GGBN 83.50 MXN 42.64 MXN -49%
Ternium S.A TXR 17,780 ARS 27,210 ARS +53%

Compare Gaon Group with another stock

Price, fair value, quality and upside side by side.

Free, no sign-up

Explore undervalued stocks

More undervalued Basic Materials stocks →

All undervalued stocks TechnologyFinancial ServicesHealthcareConsumer CyclicalConsumer DefensiveCommunication ServicesIndustrialsEnergyBasic MaterialsReal EstateUtilities Deeply Undervalued StocksUndervalued Blue-Chip StocksUndervalued Small-Cap StocksUndervalued Dividend Stocks

Frequently asked questions

Is Gaon Group (GAGR) overvalued or undervalued?
As of Jul 11, 2026, our model estimates a fair value of 9.75 ILA versus a price of 18.68 ILA, about −48% (overvalued).
What is the fair value of GAGR?
Our model-based fair value for Gaon Group is 9.75 ILA (as of Jul 11, 2026), built from audited fundamentals. The current price is 18.68 ILA.
What is the quality score of GAGR?
Gaon Group has a Quality Score of 55/100. 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 Gaon Group (GAGR)?
Gaon Group reported trailing-twelve-month revenue of about 704M ILS (latest available figure, as of Jul 11, 2026).
What is the net profit margin of GAGR?
The net profit margin of Gaon Group is about 4.8%, meaning it keeps roughly 4.8% of revenue as net income. Based on the latest reported figures.

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.

14 days Pro free · no card

Track Gaon Group and try Pro for 14 days

One email gets you 14 days of full Pro (review alerts, the 35,000+ stock screener, the diversification check) plus the monthly Top-25 report of the most undervalued quality stocks. No card, cancel anytime.

Zero risk: nothing is ever charged. After 14 days you decide whether to stay.