A Look At Dor Alon Energy In Israel (1988) (TASE:DRAL) Valuation After Profitability Surges On Latest Earnings

Dor Alon Energy In Israel (1988) (TASE:DRAL) reported full year 2025 earnings with sales of ₪6,389.74 million, compared with ₪6,760.06 million a year earlier, while net income reached ₪248.91 million and basic EPS was ₪15.73. See our latest analysis for Dor Alon Energy In Israel (1988). The latest earnings release appears to have reset expectations, with the 1 day share price return of 2.05% and 30 day share price return of 10.21% contributing to a 90 day share price return of 35.15%, alongside a 1 year total shareholder return of 98.95% that points to strong, sustained momentum. If Dor Alon’s move has you thinking about where else strong long term shareholder gains might emerge, now could be a good time to broaden your search with 96 top founder-led companies With earnings per share of ₪15.73 and a market value of ₪3.38b, plus a 1 year total return of 98.95%, the key question now is whether Dor Alon is still attractively priced or if the market is already factoring in future growth. Preferred P/E of 13.6x: Is it justified? Dor Alon trades on a P/E of 13.6x, which prices the stock above peers in its group while still sitting below the wider Israeli market average. The P/E ratio links the current share price of ₪213.8 to earnings per share of ₪15.73. It reflects how much investors are paying for each ₪1 of reported profit. For a fuel retail and convenience store operator with positive earnings and a broad physical network, P/E is a common yardstick because cash generation and profitability tend to matter more than rapid top line expansion. The current multiple suggests investors are willing to pay a premium over its immediate peer set, which sits at 11.6x. This may be because they see the recent 111.4% earnings growth and improved net profit margin of 3.9% as meaningful. At the same time, pricing below the IL market average P/E of 15.6x shows the market is not assigning Dor Alon a full premium relative to local equities overall. Against the Asian Specialty Retail industry average P/E of 14.3x, Dor Alon sits at a small discount. This points to slightly lower expectations than the broader industry despite its stronger 1 year return and profit growth. That mix of a higher multiple than close peers but a discount to both the wider market and industry average makes the current P/E of 13.6x a nuanced signal rather than a clear bargain or stretch. See what the numbers say about this price — find out in our valuation breakdown. Result: Price-to-earnings of 13.6x (ABOUT RIGHT) However, you also need to weigh risks such as any reversal in recent share price momentum and pressure on fuel demand or margins that could challenge today’s P/E. Find out about the key risks to this Dor Alon Energy In Israel (1988) narrative. Another View: DCF Flags a Very Different Price While the current P/E of 13.6x suggests Dor Alon is roughly in line with the wider market and slightly cheaper than the Asian Specialty Retail average, the SWS DCF model points in the opposite direction. At a share price of ₪213.8 versus an estimated future cash flow value of ₪77.24, the stock screens as materially overvalued on cash flow assumptions. For you as an investor, that gap highlights a key tension: are recent earnings and momentum a better guide, or does the DCF view of future cash generation deserve more weight? Look into how the SWS DCF model arrives at its fair value. DRAL Discounted Cash Flow as at Apr 2026Simply Wall St performs a discounted cash flow (DCF) on every stock in the world every day (check out Dor Alon Energy In Israel (1988) for example). We show the entire calculation in full. You can track the result in your watchlist or portfolio and be alerted when this changes, or use our stock screener to discover 245 high quality undervalued stocks. If you save a screener we even alert you when new companies match - so you never miss a potential opportunity. Next Steps The mix of strong recent returns and a DCF flag that points the other way makes sentiment on Dor Alon finely balanced. It is worth checking the key risks and potential upsides yourself before reaching a view, starting with 2 key rewards and 2 important warning signs Looking for more investment ideas? If Dor Alon has sharpened your focus, do not stop here. Casting a wider net across quality ideas can help you spot opportunities you might otherwise miss. Target quality at a discount by scanning a curated set of 245 high quality undervalued stocks that pair stronger fundamentals with pricing that may not fully reflect them. Strengthen your income stream by reviewing 469 dividend fortresses that combine higher yields with an emphasis on resilience. Prioritise resilience by checking 277 resilient stocks with low risk scores that aim to keep balance sheets and risk profiles front and center. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.New: Manage All Your Stock Portfolios in One PlaceWe've created the ultimate portfolio companion for stock investors, and it's free.• Connect an unlimited number of Portfolios and see your total in one currency• Be alerted to new Warning Signs or Risks via email or mobile• Track the Fair Value of your stocksTry a Demo Portfolio for Free