Taboola.com Ltd. Ordinary Shares (TBLA)

FairStock Score: 48/100 — MIXED

Key Financials

AI Analysis

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

I look for businesses selling below intrinsic value, and Taboola is interesting but not obviously a wonderful franchise. It runs an AI-driven recommendation engine for editorial content and ads on the open web. The filed record shows a turnaround: in fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $476.8M and net income $4.3M, versus a net loss of $4.3M in fiscal Q2 2025, the quarter ended 2025-06-30. In fiscal Q1 2026, the quarter ended 2026-03-31, net income was $59.1M, so the recovery is uneven. For fiscal year 2025, the year ended 2025-12-31, revenue was $1.9B and net income $42.3M, compared with a net loss of $3.8M in fiscal year 2024, the year ended 2024-12-31, and a net loss of $82.0M in fiscal year 2023, the year ended 2023-12-31. The business generates cash: trailing free cash flow was $200.8M, an 18.7% FCF yield on the $1.1B market cap as calculated by FairStock. At the 2026-10-13 close of $3.46, FairStock's P/E is 8.87, P/B is 0.99, EV/EBITDA is 5.69, and the Graham Number is $5.53, implying a 37.43% margin of safety. Debt is modest with D/E of 0.17, but ROCE of 2.27% and Altman Z of 1.37 show weak returns and some balance-sheet risk. The moat is not obvious in open-web advertising; revenue grew only about 2.4% year over year in fiscal Q2 2026. So it screens cheap and cash-rich, but the quality and durability of those earnings are unproven.

In plain English: Taboola runs an artificial-intelligence platform that recommends ads and editorial content on websites and apps. It has returned to profit and produces a lot of cash compared with its stock price, but sales are growing slowly and its latest quarterly profit was very thin. The shares look cheap against the company's reported numbers, though the business still faces real risks.

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

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

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