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ITRNIturan Location and Control Ltd.
$57.94$1.2B
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  4. Financial Ratios

Ituran Location and Control Ltd. (ITRN) Financial Ratios

Latest Ratios: P/E Ratio 19.8x · EV/EBITDA 10.9x · ROE 27.9%. (2003–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

ITRN Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Market Cap$1.2B$855M$620M$545M$431M$554M$396M$529M$676M$717M$556M
Enterprise Value$1.0B$752M$551M$500M$426M$540M$384M$555M$698M$680M$525M
P/E Ratio →19.8414.7311.5411.3011.6116.1624.7448.3310.4816.3617.32
P/S Ratio3.212.381.841.701.472.041.611.892.673.012.78
P/B Ratio5.133.813.243.022.824.023.053.893.875.385.14
P/FCF17.2512.8010.228.6523.1814.147.9612.7821.4425.8419.97
P/OCF13.019.658.347.069.569.936.608.8612.6916.3313.40

P/E links to full P/E history page with 30-year chart

ITRN EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
EV / Revenue—2.091.641.561.451.991.561.992.752.852.63
EV / EBITDA10.927.826.055.755.407.456.317.779.149.738.67
EV / EBIT13.659.777.537.547.6810.5412.3021.519.0912.2510.48
EV / FCF—11.269.097.9422.8713.787.7113.4222.1324.5218.85

ITRN Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Gross Margin49.7%49.7%47.8%47.9%46.9%47.2%47.4%46.7%50.3%50.1%51.1%
Operating Margin21.4%21.4%21.1%20.6%20.0%20.1%17.1%17.4%24.3%23.6%24.5%
Net Profit Margin16.1%16.1%16.0%15.0%12.7%12.6%6.6%2.5%25.5%18.4%16.1%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
ROE27.9%27.9%28.9%28.9%25.5%25.6%12.1%4.4%41.9%36.3%32.8%
ROA16.3%16.3%16.6%15.8%12.7%11.3%4.9%1.9%21.9%22.3%20.1%
ROIC47.2%47.2%41.2%35.0%32.5%33.8%22.5%20.3%31.6%48.8%53.1%
ROCE29.5%29.5%30.5%31.1%30.3%28.0%19.2%19.2%29.5%41.6%43.9%

ITRN Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Debt / Equity0.020.020.050.050.140.260.460.590.420.000.00
Debt / EBITDA0.050.050.100.100.280.500.991.130.960.000.00
Net Debt / Equity—-0.46-0.36-0.25-0.04-0.10-0.090.200.12-0.28-0.29
Net Debt / EBITDA-1.07-1.07-0.75-0.51-0.07-0.20-0.200.370.29-0.53-0.51
Debt / FCF—-1.54-1.13-0.71-0.31-0.36-0.240.640.69-1.33-1.12
Interest Coverage41.5041.5036.3134.9721.5022.7614.249.89145.38——

Net cash position: cash ($108M) exceeds total debt ($5M)

ITRN Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Current Ratio2.282.282.221.931.621.561.591.721.802.091.98
Quick Ratio2.062.061.951.641.311.301.391.471.531.871.73
Cash Ratio1.031.030.880.580.300.530.700.540.510.620.56
Asset Turnover—0.931.031.001.010.920.790.820.681.111.12
Inventory Turnover7.777.777.496.215.455.275.715.834.448.096.80
Days Sales Outstanding—59.4951.7651.7857.0759.1758.4658.9278.1862.7561.94

ITRN Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Dividend Yield3.3%4.4%4.5%2.1%2.7%2.9%2.5%3.8%3.0%3.2%3.1%
Payout Ratio64.8%64.8%52.3%24.0%30.9%46.1%61.8%288.1%31.3%51.7%53.2%

Total Shareholder Return Metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Earnings Yield5.0%6.8%8.7%8.8%8.6%6.2%4.0%2.1%9.5%6.1%5.8%
FCF Yield5.8%7.8%9.8%11.6%4.3%7.1%12.6%7.8%4.7%3.9%5.0%
Buyback Yield0.3%0.4%0.0%1.2%2.0%1.3%0.0%1.1%0.0%0.0%0.0%
Total Shareholder Yield3.5%4.8%4.5%3.3%4.6%4.2%2.5%4.9%3.0%3.2%3.1%
Shares Outstanding—$20M$20M$20M$20M$21M$21M$21M$21M$21M$21M

Key Metrics

Growth RegimeExpanding
ProfitabilityStrong
Balance SheetFortress
Cash FlowRobust
Top Statement Risk

Regional Geopolitical Instability

Market Pricing Reflects Conglomerate Discount

According to current market data, Ituran trades at a forward P/E of 17.19, which appears to discount the company relative to US-based telematics peers, likely due to its heavy exposure to volatile Latin American currencies and the perceived regional nature of its proprietary infrastructure-based business model.

The current PEG ratio of 0.68 suggests that the market may be underestimating the company's growth trajectory relative to its valuation multiple. Investors should monitor whether this discount persists as the company expands its 'Ituran WITH' platform, which could potentially shift market perception toward a higher-multiple software-as-a-service provider.

Compounding Returns Through Operational Efficiency

Based on reported figures, Ituran has demonstrated a steady improvement in ROIC, rising from 9.0% in 2023Q4 to 14.3% in 2026Q1, which indicates that management is effectively deploying capital into its proprietary radio frequency network to generate higher incremental returns on its invested asset base.

This upward trend in capital efficiency suggests that the company is successfully scaling its service-heavy model without requiring proportional increases in capital expenditure. The ability to maintain these returns while operating in emerging markets warrants further investigation into the sustainability of its competitive moat against cellular-based alternatives.

Working Capital Cycles Remain Stable

As reported in financial statements, Ituran's cash conversion cycle fluctuated between 58 and 70 days over the last ten quarters, reflecting a consistent management of inventory and receivables that supports the company's ability to maintain liquidity despite the inherent complexities of its international service operations.

The DSO of 55 days in 2026Q1 suggests that the company maintains reasonable control over its customer collections, which is critical given the reliance on insurance partners in Latin America. Investors should monitor any significant lengthening of this cycle, as it could indicate deteriorating credit quality among the company's primary subscriber base.

Fortress Liquidity Supports Operational Continuity

According to the latest quarterly data, Ituran maintains a current ratio of 1.90 and a quick ratio of 1.74, providing a substantial buffer that appears more than sufficient to navigate potential regional economic downturns or disruptions to its physical infrastructure network in Israel and Brazil.

The company's minimal reliance on debt, evidenced by a 0.02 debt-to-equity ratio, ensures that liquidity is not constrained by interest obligations. This financial position provides management with significant flexibility to continue its dividend policy and opportunistic share buybacks even during periods of heightened geopolitical or macroeconomic stress.

Misapplication of Standard Hardware Multiples

The most commonly misapplied metric for Ituran is the P/S ratio, which obscures the company's true earning power by failing to distinguish between low-margin hardware sales and high-margin, recurring subscription services that form the core of the business model's long-term value proposition.

Analysts should instead focus on the growth of the subscriber base and the stability of service margins, as these metrics better reflect the durability of the company's proprietary RF infrastructure. Relying on hardware-centric valuation multiples risks undervaluing the recurring revenue stream that differentiates Ituran from traditional equipment manufacturers.

Download Financial Ratios Data

Includes 30+ ratios · 23 years · Updated daily

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ITRN — Frequently Asked Questions

Quick answers to the most common questions about buying ITRN stock.

What is Ituran Location and Control Ltd.'s P/E ratio?

Ituran Location and Control Ltd.'s current P/E ratio is 19.8x. The historical average is 17.6x. This places it at the 81th percentile of its historical range.

What is Ituran Location and Control Ltd.'s EV/EBITDA?

Ituran Location and Control Ltd.'s current EV/EBITDA is 10.9x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 7.3x.

What is Ituran Location and Control Ltd.'s ROE?

Ituran Location and Control Ltd.'s return on equity (ROE) is 27.9%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 35.0%.

Is ITRN stock overvalued?

Based on historical data, Ituran Location and Control Ltd. is trading at a P/E of 19.8x. This is at the 81th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.

What is Ituran Location and Control Ltd.'s dividend yield?

Ituran Location and Control Ltd.'s current dividend yield is 3.26% with a payout ratio of 64.8%.

What are Ituran Location and Control Ltd.'s profit margins?

Ituran Location and Control Ltd. has 49.7% gross margin and 21.4% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.

How much debt does Ituran Location and Control Ltd. have?

Ituran Location and Control Ltd.'s Debt/EBITDA ratio is 0.0x, indicating low leverage. A ratio below 2x is generally considered financially healthy.