You're ofc correct that the Yom Kippur war was dicey for Israel, but they still eventually managed to defeat several countries with larger militaries and populations. The Israelis turned the war around and at a point were not too far from Cairo.

Obviously from a materialist perspective this is not nearly as surprising when we're aware of the position of Israel in the international imperialist system and in particular its economic and military support from the US (though Egypt and Syria were supported materially by the USSR).

In any case it was simultaneously a proof of Israeli complacency (like today) and also a confirmation that Israel remained militarily effective.