Israel Is a Markets Favorite, Belying International Protests

While much of the world condemned Israel for its devastating retaliation in Gaza after the Hamas terrorist attack on Oct. 7, 2023 -- the deadliest anti-Semitic massacre since the Holocaust -- the 77-year-old nation's assets never have been more coveted amid record-breaking investment. Obscured by the prevailing narrative of protests in more than a hundred countries is the performance of its stocks and bonds following the shekel to unprecedented gains in 2025, making corporate Israel the biggest global prize.

All told, people outside Israel agreed to spend at least $60 billion, a record since such figures started being collected in 1998, to acquire more than 85 companies, according to data compiled by Bloomberg. At an average of 56%, the premium paid is double the rest of the world. The acquisitions include California-based Palo Alo Networks Inc.’s agreement to buy Israel cybersecurity company CyberArk Software Ltd. for about $25 billion and Boston-based private equity firm Advent International LP putting up $2.5 billion, a 64% premium, for Israel software maker Sapiens International Corp. Those deals underscore Israel’s technology prowess as an innovation giant and improbable No. 1 ranking measured by research and development as a percentage of sales among 2,247 companies in the Bloomberg World Index.