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ITRN

9/9 Score

Ituran Location and Control Ltd.

Analysis Date: February 17, 2026

Ituran Location and Control Ltd., together with its subsidiaries, provides location-based telematics services and machine-to-machine telematics products. The company's Telematics services segment provides stolen vehicle recovery and tracking services, which locate, track, and recover stolen vehicles for its subscribers; fleet management services that enable corporate and individual customers to track and manage their vehicles in real time; and locator services that allow customers to protect valuable merchandise and equipment. It also offers on-demand navigation guidance, information, and assistance, including the provision of traffic reports and directions, as well as information on the location of gas stations, car repair shops, post offices, hospitals, and other facilities; and Connected Car, a service platform that includes a back-office application, a telematics device installed in the vehicle, mobile apps for IOS and Android users, and interface using the car infotainment screen, as well as usage based insurance and auto financing. This segment serves insurance companies and agents, car manufacturers, dealers and importers, cooperative sales channels, and private subscribers. Its Telematics Products segment provides Base Site, a radio receiver that includes a processor and a data computation unit to collect and send data to and from transponders, and to control centers; Control Center, a center consisting of software used to collect data from various base sites, conduct location calculations, and transmit location data to various customers and law enforcement agencies; navigation and tracking devices installed in vehicles; and SMART, a portable transmitter installed in vehicles that sends a signal to the base site enabling the location of vehicles, equipment, or an individual. The company was incorporated in 1994 and is headquartered in Azor, Israel.

Buffettology Criteria

All 9 of 9 criteria passed

  • High ROE

    Return on Equity > 12%

    Value: 28.5%

  • High ROIC

    Return on Invested Capital > 9%

    Value: 21.9%

  • Cash Machine

    FCF / Assets > 5%

  • Fair Valuation

    Earnings Yield > 3.5%

    Value: 6.0%

  • Share Buybacks

    Share Count is Dropping

    Value: -0.5%

  • Defensible Moat

    Gross Profit Margin > 40%

    Value: 49.5%

  • Simple Business

    Not in a speculative sector (e.g., Biotech)

    Value: Technology

  • Conservative Debt

    Debt to Equity < 1.5

    Value: 0.02x

  • Consistent Growth

    5-Year Growth is Positive

    Value: 723.6%

Analysis Summary

This is a strong showing for ITRN, passing all nine of our crucial tests. The combination of excellent returns on capital, a healthy cash flow, and near-zero debt paints a picture of a wonderfully run business. With a defensible moat in the technology sector and consistent growth, this is certainly a company worth a deeper dive for the patient investor.

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