NasdaqGS:CRTO

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

Criteo S.A., a technology company, provides an advertising platform for the open Internet in France and internationally. More Details


Snowflake Analysis

Flawless balance sheet and fair value.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: CRTO is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: CRTO's weekly volatility (8%) has been stable over the past year.


Market Performance


7 Day Return

5.1%

CRTO

2.6%

US Media

2.8%

US Market


1 Year Return

7.5%

CRTO

13.8%

US Media

20.9%

US Market

Return vs Industry: CRTO underperformed the US Media industry which returned 13.9% over the past year.

Return vs Market: CRTO underperformed the US Market which returned 20.7% over the past year.


Shareholder returns

CRTOIndustryMarket
7 Day5.1%2.6%2.8%
30 Day13.2%19.5%11.1%
90 Day40.5%11.9%6.5%
1 Year7.5%7.5%15.5%13.8%23.6%20.9%
3 Year-40.9%-40.9%35.3%29.5%47.3%37.6%
5 Year-52.7%-52.7%65.7%53.6%94.3%72.9%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

17.28x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: CRTO ($19.18) is trading above our estimate of fair value ($8.7)

Significantly Below Fair Value: CRTO is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: CRTO is good value based on its PE Ratio (17.3x) compared to the US Media industry average (22.9x).

PE vs Market: CRTO is good value based on its PE Ratio (17.3x) compared to the US market (19.7x).


Price to Earnings Growth Ratio

PEG Ratio: CRTO's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: CRTO is good value based on its PB Ratio (1.1x) compared to the US Media industry average (1.8x).


Next Steps

Future Growth

How is Criteo forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?

-4.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CRTO's earnings are forecast to decline over the next 3 years (-4.1% per year).

Earnings vs Market: CRTO's earnings are forecast to decline over the next 3 years (-4.1% per year).

High Growth Earnings: CRTO's earnings are forecast to decline over the next 3 years.

Revenue vs Market: CRTO's revenue is expected to decline over the next 3 years (-5.2% per year).

High Growth Revenue: CRTO's revenue is forecast to decline over the next 3 years (-5.2% 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 (9.2%).


Next Steps

Past Performance

How has Criteo performed over the past 5 years?

5.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CRTO has a large one-off loss of $33.2M impacting its September 30 2020 financial results.

Growing Profit Margin: CRTO's current net profit margins (3.3%) are lower than last year (3.8%).


Past Earnings Growth Analysis

Earnings Trend: CRTO's earnings have grown by 5.9% per year over the past 5 years.

Accelerating Growth: CRTO's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: CRTO had negative earnings growth (-21.1%) over the past year, making it difficult to compare to the Media industry average (-12.2%).


Return on Equity

High ROE: CRTO's Return on Equity (6.5%) is considered low.


Next Steps

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 ($668.4M).

Long Term Liabilities: CRTO's short term assets ($1.1B) exceed its long term liabilities ($113.0M).


Debt to Equity History and Analysis

Debt Level: CRTO's debt to equity ratio (15.7%) 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 (120.1%).

Interest Coverage: CRTO's interest payments on its debt are well covered by EBIT (125.5x coverage).


Balance Sheet


Next Steps

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 (53 yo)

1

Tenure

US$5,450,635

Compensation

Ms. Megan Clarken is CEO 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 at ACNielsen Corporation si...


CEO Compensation Analysis

Compensation vs Market: Megan's total compensation ($USD5.45M) is above average for companies of similar size in the US market ($USD2.56M).

Compensation vs Earnings: Insufficient data to compare Megan's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Megan Clarken
CEO & Director1yrUS$5.45mno data
Ryan Damon
Executive VP2.17yrsUS$719.03k0.11%
$ 1.3m
Sarah Glickman
CFO & Principal Accounting Officer0.17yrno data0.18%
$ 2.1m
Diarmuid Gill
Chief Technology Officer1.17yrsno datano data
Edouard Lassalle
VP and Head of Investor & Analyst Relationsno datano datano data
Denis Collin
Executive Vice President of People1.83yrsno datano data
David Philippson
Managing Director of Mobile Attributionno datano datano data
Francois De Beauregard
Deputy Managing Director for Advertiser Relationsno datano datano data
Nathalie Liscia
Deputy Managing Director for Publisher Relations5.83yrsno data0.017%
$ 196.8k
Ajeet Kandachar
Managing Director of India4.5yrsno datano data
Yuko Saito
Managing Director of Criteo Southeast Asiano datano datano data
Greg Archibald
Executive Vice President of Americas3.67yrsno datano data

2.0yrs

Average Tenure

50yo

Average Age

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


Board Members

NamePositionTenureCompensationOwnership
Megan Clarken
CEO & Director1yrUS$5.45mno data
Stephen Sadove
Member of Advisory Boardno datano datano data
James Warner
Vice Chairman & Lead Independent Director0.33yrUS$322.36k0.012%
$ 139.0k
Gregory Coleman
Member of Advisory Boardno datano datano data
John Costello
Member of Advisory Boardno datano datano data
Edmond Mesrobian
Independent Director3.75yrsUS$280.36k0.026%
$ 305.6k
Hubert de Pesquidoux
Independent Director8.08yrsUS$294.36k0.089%
$ 1.0m
Paul-François Fournier
Member of Advisory Boardno datano datano data
Nathalie Balla
Independent Director3.42yrsUS$284.36kno data
Rachel Picard
Independent Chairwoman of the Board of Director0.33yrUS$346.71k0.034%
$ 395.2k
Marie Lalleman
Independent Director1.58yrsUS$209.68k0.010%
$ 119.8k

1.6yrs

Average Tenure

55yo

Average Age

Experienced Board: CRTO's board of directors are not considered experienced ( 1.6 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: CRTO insiders have only sold shares 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 company bio, 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$1.155b
  • Shares outstanding: 60.24m
  • Website: https://www.criteo.com

Number of Employees


Location

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

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CRTONasdaqGS (Nasdaq Global Select)YesSPONS ADSUSUSDOct 2013
CI5ADB (Deutsche Boerse AG)YesSPONS ADSDEEUROct 2013
0I4TLSE (London Stock Exchange)YesSPONS ADSGBUSDOct 2013
CRTO NBMV (Bolsa Mexicana de Valores)YesSPONS ADSMXMXNOct 2013

Biography

Criteo S.A., a technology company, provides an advertising platform for the open Internet in France and internationally. The company’s Criteo Shopper Graph, which collects clients' proprietary commerce dat...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/11/28 23:52
End of Day Share Price2020/11/27 00:00
Earnings2020/09/30
Annual Earnings2019/12/31


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.