Gilat Satellite Networks Ltd. Ordinary Shares (GILT)

FairStock Score: 30/100 — RISKY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look for durable advantages, financial staying power, and a price that leaves room for error. Gilat makes ground-based satellite communications equipment, a competitive field where technology changes quickly. The latest reported quarter, fiscal Q2 2026, showed revenue of $122.7 million and net income of $8.1 million, a 6.64% margin. That is profitable but not high-quality profitability. The balance sheet is a genuine strength: debt-to-equity is 0.02, and the Altman Z-Score of 3.08 suggests low near-term bankruptcy risk. Returns, however, are weak. FairStock's calculations show ROE of 7.04% and ROCE of 2.99%, while trailing free cash flow is negative $3.4 million and FCF yield is -0.3%. A business that cannot yet turn accounting profit into owner cash does not earn a wide moat in my book. The Piotroski F-Score of 3/9 and FairStock Score of 30/100 reinforce that caution. At the $8.26 close on 2026-10-13, FairStock's P/E is 18.77, P/B is 1.17, EV/EBITDA is 20.03, PEG is 0.10, and the Graham Number is $8.37, leaving only a 1.31% margin of safety. So the price is close to what assets and earnings alone justify, neither a deep bargain nor an obvious trap. The Lynch category is none because only 0 years of filed results are available; it needs 3. Until cash flow and returns improve, I would treat the growth potential as unproven rather than dependable.

In plain English: Gilat Satellite Networks makes satellite broadband equipment and related network services. The business is modestly profitable, carries very little debt, and has recently reported sales and profit, but it is not producing free cash and its returns are low. At the recent $8.26 close, the stock looks roughly fair compared with its assets and earnings rather than clearly cheap.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer