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Zvi Sarfati & Sons Investments & Constructions Ltd (SRFT) Fair Value & Analysis

Real Estate · Il · Market cap 569M ILA

ZS Zvi Sarfati & Sons Investments & Constructions Ltd SRFT · TA
Price30.51 ILA
Fair Value19.23 ILA
Upside-37.0%
Quality30/100
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Mixed Growth
Thin margins · 5.2% net margin
Low debt · negative free cash flow
Mixed vs. peers (7/13)
Narrow moat 40/100
Evidence: High Range 14.42 ILA – 28.36 ILA Share as image

Fair value as of: Jul 16, 2026

From 9 valuation models · updated 25 days ago

Share price −8.6% over the past month.

Below-average quality, and screening another 37% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (28.36 ILA). The favourable scenario is already priced in.
  • Weak quality (30/100) and above fair value at the same time, the margin of safety is missing on both counts.
  • A fairly wide model range (14.42 ILA to 28.36 ILA) leaves room in how you read the outcome.
  • As a real-estate business, asset- and dividend-based methods carry more weight here than a standard DCF.
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Price vs Fair Value (5 years)

55.20 ILA 16.37 ILA Fair Value 19.23 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 16.37 ILA – 55.20 ILA · fair‑value band 14.42 ILA – 28.36 ILA · the 30.51 ILA price screens above the 19.23 ILA fair value. Dashed = 300-day average. As of Jul 16, 2026.

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Analysis

Zvi Sarfati & Sons Investments & Constructions Ltd (SRFT) currently trades at 30.51 ILA, while our model-based Fair Value estimate is 19.23 ILA, implying the stock looks roughly 37.0% overvalued today. The Quality Score stands at 30/100 (below-average quality), in the Real Estate 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, Zvi Sarfati & Sons Investments & Constructions Ltd generated revenue of 409M ILA at a net margin of 5.1%. Revenue declined 32.8% year over year. It earns a return on equity of 3.8%. Net debt stands at 591M ILA. Fundamentals as of Jul 16, 2026

Our scenario range runs from 14.42 ILA (bear case) to 28.36 ILA (bull case); at 30.51 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 Real Estate peers we cover trades at 32% fair-value upside, at -37%, SRFT 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
Residual Income 21.88 ILA 21.06 ILA 17.14 ILA 76
Gordon GGM 3.46 ILA 6.24 ILA 8.59 ILA 70
DDM Multi-Stage 3.46 ILA 5.70 ILA 6.66 ILA 61
All 9 models by family
Dividend Discount
Gordon GGM 3.46 ILA 6.24 ILA 8.59 ILA 70
DDM Multi-Stage 3.46 ILA 5.70 ILA 6.66 ILA 61
Multiples
P/S Multiple 14.42 ILA 19.23 ILA 24.04 ILA 58
P/B Multiple 14.42 ILA 19.23 ILA 24.04 ILA 55
EV/EBIT 59.98 ILA 79.58 ILA 99.17 ILA 53
EV/EBITDA 47.01 ILA 62.28 ILA 77.55 ILA 54
EV/Revenue 33.61 ILA 47.51 ILA 61.40 ILA 43
Asset-Based
NCAV (Graham) 15.78 ILA 21.14 ILA 31.55 ILA 50
Economic Profit
Residual Income 21.88 ILA 21.06 ILA 17.14 ILA 76

Widest divergence: Multiples (47.51 ILA) versus Dividend Discount (5.70 ILA). Highest evidence: Residual Income (76).

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Key figures & financial health

Revenue (TTM) 370M ILA
Revenue growth (YoY) -36.5%
Net margin 5.2%
Return on equity 3.4%
Free cash flow −57.2M ILA FY2025
P/E ratio 28.9
More key figures
Operating margin 17.8%
EPS (TTM) 1.06 ILA
EPS growth (YoY) -29.3%
Net debt 591M ILA FY2025

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

Quality Score breakdown

Overall quality 30/100

Of which business quality 28 · Market factors (momentum, volatility) 27

Profitability 22
Margins and returns on capital today
Quality Growth 14
Are margins and returns improving?
Cashflow 0
Earnings quality: real cash, not paper profit
Fin. Strength 31
Balance sheet, leverage, solvency risk
Investment 81
Disciplined investing over empire-building
Low Volatility 82
Calm price path (market factor)
Momentum 6
Price trend over the last 3–12 months (market factor)
52W Momentum 0
Distance to the 52-week high (market factor)
Net Issuance 44
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

Zvi Sarfati & Sons Investments & Constructions Ltd., through its subsidiaries, constructs and sells residential projects, apartments, and commercial spaces and offices in Israel. It is also involved in acquisition of land; project planning; and execution; and sale of urban renewal projects.

Full company description

Zvi Sarfati & Sons Investments & Constructions Ltd., through its subsidiaries, constructs and sells residential projects, apartments, and commercial spaces and offices in Israel. It is also involved in acquisition of land; project planning; and execution; and sale of urban renewal projects. The company was incorporated in 1992 and is based in Rishon LeZion, Israel.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Zvi Sarfati & Sons Investments & Constructions Ltd reported revenue of 409M ILA in FY2025 versus 560M ILA in FY2021, a compound −7.6%/yr. Reported net income was 21.0M ILA in FY2025, compounding −37.5%/yr from FY2021.

Growth Quality 44/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
409M ILS
Latest YoY
−15.2%
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.
−4.5%
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.
+19.5%
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.
+5.9%
Revenue −7.6%/yr
FY21 560M ILA
FY22 470M ILA
FY23 297M ILA
FY24 482M ILA
FY25 409M ILA
Net income −37.5%/yr
FY21 137M ILA
FY22 114M ILA
FY23 33.1M ILA
FY24 51.5M ILA
FY25 21.0M ILA

SRFT screens 37% overvalued. Compare with DLF Limited →

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Cite: Fair Value Calculator (2026). "Zvi Sarfati & Sons Investments & Constructions Ltd Fair Value". https://www.fairvalue-calculator.com/stock/SRFT

Peer Group

Real Estate - Development · 588 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 31 · Bottom 25%
Fair Value upside −37% · Bottom 25%
Return on equity (TTM) 3% · Above median
Return on assets 2% · Above median
Net margin (TTM) 5% · Below median
Operating margin (TTM) 18% · Above median
Revenue growth -37% · Below median
Dividend yield (TTM) 0.0% · Bottom 25%
Debt / equity 0.05× · Lower than 75% of peers

Valuation Multiples vs Real Estate - Development median · lower = cheaper

P/E (TTM) 28.9× · Pricier than 75% of peers
P/B 0.32× · Cheaper than median
P/S (TTM) 0.50× · Cheaper than median
EV/EBITDA 2.6× · 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 48
FUTURE 0 · sector 0
PAST 14 · sector 10
HEALTH 98 · sector 84
DIVIDEND 0 · sector 38

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 Real Estate - Development stocks, each showing price versus our Fair Value estimate (as of Jul 16, 2026).

Stock Price Fair Value vs Fair Value
DLF Limited DLF ₹657.75 ₹159.49 -76%
Lodha Developers Limited LODHA ₹1,188 ₹583.43 -51%
PT Pantai Indah Kapuk Dua Tbk, PANI 6,125 IDR 1,330 IDR -78%
Oberoi Realty Limited OBEROIRLTY ₹1,925 ₹1,183 -39%
Godrej Properties Limited GODREJPROP ₹2,102 ₹1,044 -50%
PT Jaya Real Property, Tbk., JRPT 1,080 IDR 1,674 IDR +55%
PT Bumi Serpong Damai Tbk, BSDE 555.00 IDR 1,388 IDR +150%
PT Sentul City Tbk, BKSL 64.00 IDR 84.16 IDR +32%
PT Ciputra Development Tbk, CTRA 555.00 IDR 1,388 IDR +150%
PT Duta Pertiwi Tbk DUTI 4,100 IDR 6,239 IDR +52%

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Frequently asked questions

Is Zvi Sarfati & Sons Investments & Constructions Ltd (SRFT) overvalued or undervalued?
As of Jul 16, 2026, our model estimates a fair value of 19.23 ILA versus a price of 30.51 ILA, about −37% (overvalued).
What is the fair value of SRFT?
Our model-based fair value for Zvi Sarfati & Sons Investments & Constructions Ltd is 19.23 ILA (as of Jul 16, 2026), built from audited fundamentals. The current price is 30.51 ILA.
What is the quality score of SRFT?
Zvi Sarfati & Sons Investments & Constructions Ltd has a Quality Score of 30/100. 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 Zvi Sarfati & Sons Investments & Constructions Ltd (SRFT)?
Zvi Sarfati & Sons Investments & Constructions Ltd reported trailing-twelve-month revenue of about 409M ILS (latest available figure, as of Jul 16, 2026).
What is the net profit margin of SRFT?
The net profit margin of Zvi Sarfati & Sons Investments & Constructions Ltd is about 5.1%, meaning it keeps roughly 5.1% 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.

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