NasdaqCM:CREX

Stock Analysis Report

Executive Summary

Creative Realities, Inc., together with its subsidiaries, provides digital marketing technology and solutions to retail companies, individual retail brands, enterprises, and other organizations in the United States and Canada.

Rewards

Earnings are forecast to grow 176.78% per year

Risk Analysis

Shareholders have been substantially diluted in the past year

Does not have a meaningful market cap ($17M)



Snowflake Analysis

Adequate balance sheet with reasonable growth potential.

Share Price & News

How has Creative Realities's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: CREX has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

8.3%

CREX

0.3%

US Media

0.7%

US Market


1 Year Return

-46.5%

CREX

19.2%

US Media

18.2%

US Market

Return vs Industry: CREX underperformed the US Media industry which returned 19.2% over the past year.

Return vs Market: CREX underperformed the US Market which returned 18.2% over the past year.


Shareholder returns

CREXIndustryMarket
7 Day8.3%0.3%0.7%
30 Day5.6%-1.3%1.5%
90 Day-9.4%-0.3%5.0%
1 Year-46.5%-46.5%20.8%19.2%20.8%18.2%
3 Year-70.2%-70.2%23.1%18.0%45.2%35.8%
5 Year-84.3%-84.3%42.0%30.8%71.6%52.7%

Price Volatility Vs. Market

How volatile is Creative Realities's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Creative Realities undervalued compared to its fair value and its price relative to the market?

0.93x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate CREX's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate CREX's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: CREX is unprofitable, so we can't compare its PE Ratio to the Media industry average.

PE vs Market: CREX is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate CREX's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: CREX is good value based on its PB Ratio (0.9x) compared to the US Media industry average (1.4x).


Next Steps

Future Growth

How is Creative Realities forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

176.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CREX is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.7%).

Earnings vs Market: CREX is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: CREX's is expected to become profitable in the next 3 years.

Revenue vs Market: CREX's revenue (10.3% per year) is forecast to grow faster than the US market (7.4% per year).

High Growth Revenue: CREX's revenue (10.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if CREX's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Creative Realities performed over the past 5 years?

-15.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CREX is currently unprofitable.

Growing Profit Margin: CREX is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: CREX is unprofitable, and losses have increased over the past 5 years at a rate of -15.1% per year.

Accelerating Growth: Unable to compare CREX's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: CREX is unprofitable, making it difficult to compare its past year earnings growth to the Media industry (-32.7%).


Return on Equity

High ROE: CREX has a negative Return on Equity (-35.87%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Creative Realities's financial position?


Financial Position Analysis

Short Term Liabilities: CREX's short term assets ($8.6M) do not cover its short term liabilities ($12.1M).

Long Term Liabilities: CREX's short term assets ($8.6M) exceed its long term liabilities ($5.0M).


Debt to Equity History and Analysis

Debt Level: CREX's debt to equity ratio (29.6%) is considered satisfactory.

Reducing Debt: CREX's debt to equity ratio has increased from 0.2% to 29.6% over the past 5 years.


Balance Sheet

Inventory Level: CREX has a low level of unsold assets or inventory.

Debt Coverage by Assets: CREX's debt is covered by short term assets (assets are 1.6x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: CREX has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: CREX has sufficient cash runway for 2.977501 years if free cash flow continues to reduce at historical rates of -13.9% each year.


Next Steps

Dividend

What is Creative Realities's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage2.0%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate CREX's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate CREX's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if CREX's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if CREX's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of CREX's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of Creative Realities's salary, the management and board of directors tenure and is there insider trading?

2.7yrs

Average board tenure


CEO

Rick Mills (64yo)

4.2yrs

Tenure

US$743,332

Compensation

Mr. Richard C. Mills, also known as Rick, has been Chief Executive Officer of Creative Realities, Inc since October 15, 2015. Mr. Mills has over 31 years of industry experience. He served as Chief Executiv ...


CEO Compensation Analysis

Compensation vs Market: Rick's total compensation ($USD743.33K) is above average for companies of similar size in the US market ($USD502.49K).

Compensation vs Earnings: Rick's compensation has increased whilst the company is unprofitable.


Board Age and Tenure

2.7yrs

Average Tenure

66yo

Average Age

Experienced Board: CREX's board of directors are not considered experienced ( 2.7 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have been substantially diluted in the past year, with total shares outstanding growing by 218.3%.


Management Team

  • Rick Mills (64yo)

    CEO & Director

    • Tenure: 4.2yrs
    • Compensation: US$743.33k
  • Alan Buterbaugh

    Senior Vice President of Sales

    • Tenure: 0yrs
  • Troy Walls

    Vice President of Operations

    • Tenure: 0yrs
  • Will Logan (34yo)

    Chief Financial Officer

    • Tenure: 1.6yrs
    • Compensation: US$232.41k
  • Beth Warren

    Senior Vice President of Marketing & Experience Planning

    • Tenure: 0yrs

Board Members

  • David Bell (75yo)

    Independent Director

    • Tenure: 5.3yrs
  • Rick Mills (64yo)

    CEO & Director

    • Tenure: 4.2yrs
    • Compensation: US$743.33k
  • Don Harris (66yo)

    Independent Director

    • Tenure: 5.3yrs
  • Stephen Nesbit (67yo)

    Director

    • Tenure: 0.5yrs
  • Joe Manko (53yo)

    Director

    • Tenure: 1.3yrs
  • Dennis McGill

    Chairman

    • Tenure: 0.08yrs

Company Information

Creative Realities, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Creative Realities, Inc.
  • Ticker: CREX
  • Exchange: NasdaqCM
  • Founded:
  • Industry: Advertising
  • Sector: Media
  • Market Cap: US$16.617m
  • Shares outstanding: 9.77m
  • Website: https://www.cri.com

Number of Employees


Location

  • Creative Realities, Inc.
  • 13100 Magisterial Drive
  • Suite 100
  • Louisville
  • Kentucky
  • 40223
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CREXNasdaqCM (Nasdaq Capital Market)YesNew Common StockUSUSDDec 2012

Biography

Creative Realities, Inc., together with its subsidiaries, provides digital marketing technology and solutions to retail companies, individual retail brands, enterprises, and other organizations in the Unit ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/10 00:03
End of Day Share Price2019/12/09 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.