Bank Hapoalim B.M. (BKHYY) Stock Analysis

Why this analysis is different

• A 9-signal quantitative MoonshotScore built from filings, insider activity, and market data — computed from the numbers, not from opinion.
• An AI Council read across up to eight perspectives — value, macro, quantitative, and momentum lenses — that shows where they disagree instead of averaging the tension away.
• Figures come straight from FMP and Yahoo Finance filings data. The AI writes the narrative around the numbers — it never edits the numbers.

Bank Hapoalim B.M. (BKHYY) Financial Services Profile

Bank Hapoalim B.M., established in 1921, is a prominent Israeli bank offering diverse financial services, including corporate, retail, and international banking. Operating through 175 branches and various digital channels, it serves a wide range of clients from households to large corporations, with a focus on the Israeli market and international expansion.

What Is the Investment Thesis for BKHYY?

The bank's dividend yield of 4.02% provides a steady income stream for investors. Growth catalysts include expansion of digital banking services and strategic international partnerships. Potential risks include regulatory changes in the financial sector and economic fluctuations in Israel and globally. The bank's beta of 0.40 suggests lower volatility compared to the market, making it a noteworthy option for risk-averse investors. As of 2026-03-17, the company's market capitalization stands at $34.0B.

Based on FMP financials and quantitative analysis

BKHYY Key Highlights

Market capitalization of $34.0B, reflecting its significant presence in the Israeli banking sector.

• P/E ratio of 11.16, indicating a potentially undervalued stock compared to its earnings.
• Profit margin of 22.8%, showcasing strong profitability and efficient operations.
• Gross margin of 53.5%, demonstrating the bank's ability to manage its costs effectively.
• Dividend yield of 4.02%, offering an attractive income stream for investors.

Who Are BKHYY's Competitors?

BKHYY is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.

AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance This table mixes two scoring engines — compare a number only with others carrying the same tag.

What Are BKHYY's Key Strengths?

Strong market position in Israel.

• Diversified range of financial products and services.
• Extensive branch network and digital banking capabilities.
• Solid financial performance and profitability.

What Are BKHYY's Weaknesses?

Limited international presence compared to global banks.

• Exposure to economic fluctuations in Israel.
• Dependence on regulatory environment in Israel.

What Could Drive BKHYY Stock Higher?

Expansion of digital banking services to attract a younger demographic and reduce operational costs.

• Strategic international partnerships to facilitate cross-border transactions and expand global reach.
• Increased focus on providing tailored financial solutions to SMEs, driving growth in the Israeli market.
• Development and promotion of sustainable and green financial products to appeal to environmentally conscious customers.
• Leveraging data analytics and AI to personalize customer services and improve operational efficiency.

What Are the Key Risks for BKHYY?

Financial-distress signal — its Altman Z-Score of 0.36 sits in the distress zone (elevated bankruptcy risk).

• Increasing competition from both local and international banks, potentially impacting market share and profitability.
• Regulatory changes and compliance costs, which could increase operational expenses and affect financial performance.
• Cybersecurity risks and data breaches, which could damage the bank's reputation and result in financial losses.
• Economic downturns and geopolitical instability in Israel and globally, which could negatively impact loan performance and investment returns.
• Currency risk associated with the ADR, as fluctuations in the exchange rate between the U.S. dollar and the Israeli Shekel can affect the value of the ADR.

What Are the Growth Opportunities for BKHYY?

• Expansion of Digital Banking Services: Bank Hapoalim can leverage the growing adoption of digital banking to expand its customer base and reduce operating costs. The global digital banking market is projected to reach $12.32 trillion by 2031, growing at a CAGR of 8.5% from 2022 to 2031. By investing in innovative digital solutions, such as mobile banking apps and online platforms, Bank Hapoalim can attract younger customers and enhance customer satisfaction. Timeline: Ongoing.
• Strategic International Partnerships: Forming strategic partnerships with international banks and financial institutions can enable Bank Hapoalim to expand its global reach and offer cross-border services to its customers. The global cross-border payments market is expected to reach $156.93 trillion by 2030, growing at a CAGR of 8.9% from 2021 to 2030. By partnering with international players, Bank Hapoalim can tap into this growing market and diversify its revenue streams. Timeline: Ongoing.
• Increased Focus on Small and Medium-Sized Enterprises (SMEs): Bank Hapoalim can capitalize on the growing demand for financial services from SMEs in Israel. SMEs are a vital part of the Israeli economy, and they require access to credit, investment, and advisory services to grow and thrive. By tailoring its products and services to meet the specific needs of SMEs, Bank Hapoalim can increase its market share and support the growth of the Israeli economy. Timeline: Ongoing.
• Development of Sustainable and Green Financial Products: With increasing awareness of environmental issues, Bank Hapoalim can develop and offer sustainable and green financial products to attract environmentally conscious customers. The global green finance market is projected to reach $48.64 trillion by 2030, growing at a CAGR of 39.8% from 2021 to 2030. By offering green loans, green bonds, and other sustainable financial products, Bank Hapoalim can enhance its brand image and attract new customers. Timeline: Ongoing.
• Leveraging Data Analytics and AI for Personalized Services: Bank Hapoalim can utilize data analytics and artificial intelligence (AI) to gain insights into customer behavior and preferences, enabling it to offer personalized financial services and improve customer satisfaction. The global AI in banking market is expected to reach $75.23 billion by 2030, growing at a CAGR of 32.8% from 2021 to 2030. By leveraging data analytics and AI, Bank Hapoalim can optimize its operations, reduce costs, and enhance its competitive advantage. Timeline: Ongoing.

What Are BKHYY's Competitive Advantages?

• Established brand reputation and customer loyalty in the Israeli market.
• Extensive branch network and ATM coverage across Israel.
• Strong relationships with corporate clients and government entities.
• Advanced technology infrastructure and digital banking capabilities.

What Does BKHYY Do?

Bank Hapoalim B.M. was founded in 1921 and has grown to become one of Israel's leading banks. The bank provides a comprehensive suite of financial products and services to a diverse clientele, including households, private banking clients, foreign residents, small businesses, financial asset managers, middle-market business clients, and large corporations. Its operations are divided into three primary segments: Corporate Banking, Retail Banking, and Financial Markets and International Banking. The Corporate Banking division offers credit for operations and investment, guarantees, letters of credit, foreign trade services, and financial instrument transactions. The Retail Banking division focuses on account management, various credit products, deposits, savings plans, and capital market services. The Financial Markets and International Banking division handles securities, currency and derivatives trading, securities custody, research, consulting, and advisory services. Bank Hapoalim operates through an extensive network of 175 branches, hundreds of ATMs and self-service stations across Israel. The bank also provides digital banking services to cater to the evolving needs of its customers. Bank Hapoalim B.M. is based in Tel Aviv, Israel and also has international operations.

What Products and Services Does BKHYY Offer?

• Provides account-management services to individuals and businesses.
• Offers credit for various purposes, including personal, business, and housing loans.
• Provides deposit and savings plans to help customers save and grow their money.
• Offers capital-market services, including securities trading and investment advice.
• Provides currency and derivatives trading services to manage risk and enhance returns.
• Offers securities custody services to protect and manage customers' assets.
• Provides pension advisory and retirement planning services to help customers prepare for retirement.
• Provides credit card services for convenient and secure transactions.

How Does BKHYY Make Money?

• Generates revenue from interest on loans and other credit products.
• Earns fees from providing various financial services, such as account management, securities trading, and investment advice.
• Profits from trading securities, currencies, and derivatives.
• Manages assets for individuals and institutions, earning fees based on assets under management.

What Industry Does BKHYY Operate In?

Bank Hapoalim B.M. operates within the regional banking industry, which is characterized by increasing competition, regulatory scrutiny, and technological advancements. The Israeli banking sector is relatively concentrated, with a few major players dominating the market. Trends include the rise of digital banking, increasing demand for personalized financial services, and growing emphasis on cybersecurity and regulatory compliance. Bank Hapoalim is positioned to capitalize on these trends through its investments in technology and customer-centric services. Competitors include other regional banks such as BLMIF (Bank Leumi Le-Israel B.M.) and CEBCF (Israel Discount Bank Ltd.).

Who Are BKHYY's Key Customers?

• Households and individuals seeking personal banking services.
• Small businesses requiring credit and financial management solutions.
• Large corporations needing corporate banking and investment services.
• Financial asset managers seeking investment and custody services.
• Foreign residents and international businesses operating in Israel.

Bank Hapoalim B.M. (BKHYY) Valuation Context

Valued at $34.0B, BKHYY is classified as a large-cap stock. Relative to its peer group, BKHYY's quantitative score of 47/100 is below the peer average of 91/100.

BKHYY Revenue & Earnings Trend

In Q2 FY2026, BKHYY generated $3.81B in top-line revenue, marking a sequential increase of 16.3%. The company recorded net income of $830.0M, with diluted EPS of $3.17. Revenue has increased across the last three reported quarters, suggesting sustained momentum for this large-cap Financial Services company. Across the four most recent quarters, BKHYY averaged $2.70 in diluted EPS.

Company Profile

Bank Hapoalim B.M. operates in the Banks - Regional industry within the Financial Services sector. It is headquartered in Tel Aviv, IL. The company is led by CEO Yadin Antebi. BKHYY has traded publicly since 2008.

Return on equity for Bank Hapoalim B.M. stands at 14.8%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 1.2%, showing how much profit it generates from its asset base. BKHYY trades at a trailing price-to-earnings ratio of 11.16, below the Financial Services sector average of ~17.50x. Its free cash flow yield is 5.2%, a gauge of the cash the business throws off relative to its market value. A current ratio of 3.52 indicates the company holds enough short-term assets to cover its near-term obligations. Its earnings yield is 10.4%, the inverse of the P/E and a quick read on earnings relative to price.

Bank Hapoalim B.M.'s Piotroski F-Score is 5/9, a 9-point checklist of profitability, leverage and efficiency — a middling fundamental profile. Its Altman Z-Score of 0.36 places it in the distress zone, a signal of elevated financial risk.

Bank Hapoalim B.M. has beaten Wall Street's EPS estimate in 4 of its last 8 reported quarters — more hits than misses. Reported results have landed about 0.7% above estimates on average.

BKHYY Financials

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BKHYY Analyst Consensus

BKHYY MoonshotScore

What Investors Ask About Bank Hapoalim B.M. (BKHYY) — Financial Services

Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

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