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CRTO

CriteoNasdaqGS:CRTO Stock Report

Market Cap

US$2.0b

7D

-9.9%

1Y

142.9%

Updated

24 Oct, 2021

Data

Company Financials +
CRTO fundamental analysis
Snowflake Score
Valuation3/6
Future Growth1/6
Past Performance3/6
Financial Health6/6
Dividends0/6

CRTO Overview

Criteo S.A., a technology company, provides marketing and monetization services on the open Internet in North and South America, Europe, the Middle East, and Africa, and the Asia-Pacific.

Criteo Competitors

Omnicom Group

NYSE:OMC

US$15.1b

Magnite

NasdaqGS:MGNI

US$3.4b

PubMatic

NasdaqGM:PUBM

US$1.3b

Perion Network

NasdaqGS:PERI

US$717.4m

Price History & Performance

Summary of all time highs, changes and price drops for Criteo
Historical stock prices
Current Share PriceUS$33.59
52 Week HighUS$12.56
52 Week LowUS$46.65
Beta1.07
1 Month Change-5.03%
3 Month Change-15.82%
1 Year Change142.88%
3 Year Change63.77%
5 Year Change-8.75%
Change since IPO-5.09%

Recent News & Updates

Sep 16
Criteo (NASDAQ:CRTO) Seems To Use Debt Rather Sparingly

Criteo (NASDAQ:CRTO) Seems To Use Debt Rather Sparingly

Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility...

Aug 26
Investors Met With Slowing Returns on Capital At Criteo (NASDAQ:CRTO)

Investors Met With Slowing Returns on Capital At Criteo (NASDAQ:CRTO)

If you're looking for a multi-bagger, there's a few things to keep an eye out for. Firstly, we'll want to see a proven...

Jul 02

Criteo: The Turnaround Story Has Legs

The Criteo turnaround is shaping up well, with ample growth opportunities ahead of it as it pushes for a $100bn mid-term TAM. New management has also laid out some promising initiatives in the pipeline, which should pay off over time. The stock has outperformed but may still have legs given it trades below similar turnaround comp, Nielsen.

Jun 16

Criteo partners with Carrefour Group

Criteo ([[CRTO]] +0.2%) signs a three-year partnership with Carrefour Group, one of the world's leading food retailers.Carrefour becomes the first European food retailer to use Criteo's new programmatic platform for retail media allowing Carrefour to market its inventories.Company's Retail Media platform to be deployed first in France.Partnership also includes a deployment in 8 other integrated countries of the Carrefour Group."In terms of e-commerce, we reached a milestone in 2020: our online sales increased by 70%. To further capitalize on this progress,

Shareholder Returns

CRTOUS MediaUS Market
7D-9.9%1.1%1.7%
1Y142.9%28.9%30.3%

Return vs Industry: CRTO exceeded the US Media industry which returned 28.9% over the past year.

Return vs Market: CRTO exceeded the US Market which returned 30.3% over the past year.

Price Volatility

Is CRTO's price volatile compared to industry and market?
CRTO volatility
CRTO Beta1.07
Industry Beta1.16
Market Beta1

Stable Share Price: CRTO is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: CRTO's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
20052,594Megan Clarkenhttps://www.criteo.com

Criteo S.A., a technology company, provides marketing and monetization services on the open Internet in North and South America, Europe, the Middle East, and Africa, and the Asia-Pacific. The company’s Criteo Shopper Graph, which derives clients' proprietary commerce data, such as transaction activity on their digital properties. Its Criteo AI Engine solutions include lookalike finder, recommendation, and predictive bidding algorithms; bidding engine that executes campaigns based on certain objectives set by its clients; dynamic creative optimization+, which assembles customized creative advertising content by optimizing each individual creative component in the advertisement; software systems and processes, which enable data synchronization, storage, and analysis of distributed computing infrastructure in various geographies; and experimentation platform, an offline/online testing platform to enhance the capabilities and effectiveness of prediction models.

Criteo Fundamentals Summary

How do Criteo's earnings and revenue compare to its market cap?
CRTO fundamental statistics
Market CapUS$2.05b
Earnings (TTM)US$87.71m
Revenue (TTM)US$2.22b

23.4x

P/E Ratio

0.9x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
CRTO income statement (TTM)
RevenueUS$2.22b
Cost of RevenueUS$1.49b
Gross ProfitUS$731.38m
ExpensesUS$643.66m
EarningsUS$87.71m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Nov 03, 2021

Earnings per share (EPS)1.44
Gross Margin32.89%
Net Profit Margin3.94%
Debt/Equity Ratio0.3%

How did CRTO perform over the long term?

See historical performance and comparison

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CRTO ($33.59) is trading below our estimate of fair value ($101.7)

Significantly Below Fair Value: CRTO is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: CRTO is poor value based on its PE Ratio (23.4x) compared to the US Media industry average (15.1x).

PE vs Market: CRTO is poor value based on its PE Ratio (23.4x) compared to the US market (18.2x).


Price to Earnings Growth Ratio

PEG Ratio: CRTO is poor value based on its PEG Ratio (2.1x)


Price to Book Ratio

PB vs Industry: CRTO is good value based on its PB Ratio (1.8x) compared to the US Media industry average (2.2x).


Future Growth

How is Criteo forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

11.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CRTO's forecast earnings growth (11.2% per year) is above the savings rate (2%).

Earnings vs Market: CRTO's earnings (11.2% per year) are forecast to grow slower than the US market (14.7% per year).

High Growth Earnings: CRTO's earnings are forecast to grow, but not significantly.

Revenue vs Market: CRTO's revenue is expected to decline over the next 3 years (-4.8% per year).

High Growth Revenue: CRTO's revenue is forecast to decline over the next 3 years (-4.8% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CRTO's Return on Equity is forecast to be low in 3 years time (9.4%).


Past Performance

How has Criteo performed over the past 5 years?

0.0005%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CRTO has a large one-off loss of $52.4M impacting its June 30 2021 financial results.

Growing Profit Margin: CRTO's current net profit margins (3.9%) are higher than last year (3.9%).


Past Earnings Growth Analysis

Earnings Trend: CRTO's earnings have grown by 0% per year over the past 5 years.

Accelerating Growth: CRTO's earnings growth over the past year (7%) exceeds its 5-year average (0% per year).

Earnings vs Industry: CRTO earnings growth over the past year (7%) underperformed the Media industry 96.3%.


Return on Equity

High ROE: CRTO's Return on Equity (7.8%) is considered low.


Financial Health

How is Criteo's financial position?


Financial Position Analysis

Short Term Liabilities: CRTO's short term assets ($1.1B) exceed its short term liabilities ($556.7M).

Long Term Liabilities: CRTO's short term assets ($1.1B) exceed its long term liabilities ($127.6M).


Debt to Equity History and Analysis

Debt Level: CRTO's debt to equity ratio (0.3%) is considered satisfactory.

Reducing Debt: CRTO had negative shareholder equity 5 years ago, but is now positive and has therefore improved.

Debt Coverage: CRTO's debt is well covered by operating cash flow (5535.8%).

Interest Coverage: CRTO's interest payments on its debt are well covered by EBIT (146x coverage).


Balance Sheet


Dividend

What is Criteo current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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


Stability and Growth of Payments

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

Growing Dividend: Insufficient data to determine if CRTO'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 CRTO's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.0yrs

Average management tenure


CEO

Megan Clarken (54 yo)

1.92yrs

Tenure

US$1,439,900

Compensation

Ms. Megan Clarken serves as Chief Executive Officer at Criteo S.A. since November 25, 2019 and serves as its Director since August 27, 2020. She served as Chief Commercial Officer for Nielsen Global Media...


CEO Compensation Analysis

Compensation vs Market: Megan's total compensation ($USD1.44M) is below average for companies of similar size in the US market ($USD3.49M).

Compensation vs Earnings: Megan's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: CRTO's management team is considered experienced (2 years average tenure).


Board Members

Experienced Board: CRTO's board of directors are not considered experienced ( 2.5 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

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


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Criteo S.A.'s employee growth, exchange listings and data sources


Key Information

  • Name: Criteo S.A.
  • Ticker: CRTO
  • Exchange: NasdaqGS
  • Founded: 2005
  • Industry: Advertising
  • Sector: Media
  • Market Cap: US$2.049b
  • Shares outstanding: 61.01m
  • Website: https://www.criteo.com

Number of Employees


Location

  • Criteo S.A.
  • 32, rue Blanche
  • Paris
  • Ile-de-France
  • 75009
  • France

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/24 22:09
End of Day Share Price2021/10/22 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.