Two alleged Palestinian attackers were shot west of Jerusalem on Thursday after attempting to board a bus carrying children then stabbing an Israeli, police said.
One of the alleged attackers was killed, while the second was in critical condition.
The two men were blocked from entering the bus in Beit Shemesh by the driver and others. They then stabbed and moderately wounded a 25-year-old Israeli man near the bus station, police spokesman Micky Rosenfeld said.
Police did not provide further details on the bus, including whether it was a school bus.
They said the assailants were wearing t-shirts bearing the symbol of the Ezzedine al-Qassam Brigades, the military wing of Islamist movement Hamas.
Beit Shemesh, about 30 kilometres (20 miles) west of Jerusalem, is a predominantly Orthodox Jewish city.
The attack is the latest in a series of stabbings — mostly by young Palestinians — against soldiers, police or Israeli civilians.
Since October 1, at least 49 Palestinians and one Israeli Arab have been killed, including alleged attackers. Eight Israelis have been killed in attacks.
One Israeli Jew and one Eritrean have also been killed after being mistaken for attackers.
Violent protests have erupted across the Palestinian territories, sparking fears of a new Palestinian intifada, or uprising.
Nine Palestinians were wounded, including five from live fire, during clashes with Israeli soldiers in and around the flashpoint West Bank city of Hebron on Wednesday night, Palestinian police said.