CREXENDO INC (CXDO) Stock Fundamental Analysis
NASDAQ:CXDO - Nasdaq - US2265521078 - Common Stock - Currency: USD
CXDO gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 82 industry peers in the IT Services industry. CXDO has a great financial health rating, but its profitability evaluates not so good. CXDO has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year CXDO was profitable.
In the past year CXDO had a positive cash flow from operations.
In multiple years CXDO reported negative net income over the last 5 years.
The reported operating cash flow has been mixed in the past 5 years: CXDO reported negative operating cash flow in multiple years.
1.2 Ratios
CXDO has a Return On Assets (3.58%) which is in line with its industry peers.
CXDO's Return On Equity of 4.37% is in line compared to the rest of the industry. CXDO outperforms 56.10% of its industry peers.
CXDO's Return On Invested Capital of 3.93% is in line compared to the rest of the industry. CXDO outperforms 53.66% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.58% | ||
| ROE | 4.37% | ||
| ROIC | 3.93% |
ROA(3y)-20.57%
ROA(5y)-7.82%
ROE(3y)-27.64%
ROE(5y)-11.18%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 3.86%, CXDO is in line with its industry, outperforming 56.10% of the companies in the same industry.
In the last couple of years the Profit Margin of CXDO has declined.
CXDO has a Operating Margin (3.98%) which is comparable to the rest of the industry.
CXDO's Operating Margin has declined in the last couple of years.
With an excellent Gross Margin value of 73.57%, CXDO belongs to the best of the industry, outperforming 90.24% of the companies in the same industry.
In the last couple of years the Gross Margin of CXDO has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.98% | ||
| PM (TTM) | 3.86% | ||
| GM | 73.57% |
OM growth 3YN/A
OM growth 5Y-17.06%
PM growth 3YN/A
PM growth 5Y-18.44%
GM growth 3Y-1.46%
GM growth 5Y0.86%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CXDO is destroying value.
CXDO has more shares outstanding than it did 1 year ago.
The number of shares outstanding for CXDO has been increased compared to 5 years ago.
CXDO has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 7.80 indicates that CXDO is not in any danger for bankruptcy at the moment.
CXDO's Altman-Z score of 7.80 is amongst the best of the industry. CXDO outperforms 84.15% of its industry peers.
The Debt to FCF ratio of CXDO is 0.06, which is an excellent value as it means it would take CXDO, only 0.06 years of fcf income to pay off all of its debts.
CXDO has a Debt to FCF ratio of 0.06. This is amongst the best in the industry. CXDO outperforms 95.12% of its industry peers.
CXDO has a Debt/Equity ratio of 0.00. This is a healthy value indicating a solid balance between debt and equity.
CXDO has a better Debt to Equity ratio (0.00) than 86.59% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.06 | ||
| Altman-Z | 7.8 |
ROIC/WACC0.43
WACC9.23%
2.3 Liquidity
CXDO has a Current Ratio of 2.71. This indicates that CXDO is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of CXDO (2.71) is better than 78.05% of its industry peers.
A Quick Ratio of 2.66 indicates that CXDO has no problem at all paying its short term obligations.
CXDO has a Quick ratio of 2.66. This is in the better half of the industry: CXDO outperforms 78.05% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.71 | ||
| Quick Ratio | 2.66 |
3. Growth
3.1 Past
CXDO shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -3.57%.
CXDO shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -4.40% yearly.
CXDO shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 13.73%.
Measured over the past years, CXDO shows a very strong growth in Revenue. The Revenue has been growing by 33.40% on average per year.
EPS 1Y (TTM)-3.57%
EPS 3Y52.86%
EPS 5Y-4.4%
EPS Q2Q%33.33%
Revenue 1Y (TTM)13.73%
Revenue growth 3Y29.37%
Revenue growth 5Y33.4%
Sales Q2Q%12.4%
3.2 Future
The Earnings Per Share is expected to grow by 27.63% on average over the next years. This is a very strong growth
CXDO is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 12.91% yearly.
EPS Next Y15.38%
EPS Next 2Y13.55%
EPS Next 3Y39.82%
EPS Next 5Y27.63%
Revenue Next Year11.81%
Revenue Next 2Y11.36%
Revenue Next 3Y13.98%
Revenue Next 5Y12.91%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 21.30 indicates a rather expensive valuation of CXDO.
63.41% of the companies in the same industry are more expensive than CXDO, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 26.69, CXDO is valued a bit cheaper.
Based on the Price/Forward Earnings ratio of 17.84, the valuation of CXDO can be described as rather expensive.
CXDO's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. CXDO is cheaper than 68.29% of the companies in the same industry.
CXDO is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 21.29, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.3 | ||
| Fwd PE | 17.84 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CXDO is on the same level as its industry peers.
CXDO's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. CXDO is cheaper than 62.20% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.79 | ||
| EV/EBITDA | 25.41 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as CXDO's earnings are expected to grow with 39.82% in the coming years.
PEG (NY)1.38
PEG (5Y)N/A
EPS Next 2Y13.55%
EPS Next 3Y39.82%
5. Dividend
5.1 Amount
CXDO has a yearly dividend return of 0.63%, which is pretty low.
CXDO's Dividend Yield is a higher than the industry average which is at 2.49.
Compared to an average S&P500 Dividend Yield of 2.43, CXDO's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.63% |
5.2 History
CXDO has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DP0%
EPS Next 2Y13.55%
EPS Next 3Y39.82%
5.75
-0.03 (-0.52%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners22.76%
Inst Owner Change26.95%
Ins Owners7.09%
Ins Owner Change3.43%
Market Cap166.92M
Analysts81.67
Price Target8.33 (44.87%)
Short Float %1.31%
Short Ratio1.19
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.63% |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)24.94%
Min EPS beat(2)22.55%
Max EPS beat(2)27.32%
EPS beat(4)4
Avg EPS beat(4)22.25%
Min EPS beat(4)12.04%
Max EPS beat(4)27.32%
EPS beat(8)8
Avg EPS beat(8)103.97%
EPS beat(12)12
Avg EPS beat(12)103.1%
EPS beat(16)14
Avg EPS beat(16)122.02%
Revenue beat(2)1
Avg Revenue beat(2)0.71%
Min Revenue beat(2)-0.4%
Max Revenue beat(2)1.82%
Revenue beat(4)3
Avg Revenue beat(4)1.01%
Min Revenue beat(4)-0.4%
Max Revenue beat(4)1.82%
Revenue beat(8)6
Avg Revenue beat(8)2.09%
Revenue beat(12)9
Avg Revenue beat(12)2.75%
Revenue beat(16)12
Avg Revenue beat(16)2.1%
PT rev (1m)0%
PT rev (3m)11.41%
EPS NQ rev (1m)-11.11%
EPS NQ rev (3m)-11.11%
EPS NY rev (1m)-2.82%
EPS NY rev (3m)13.12%
Revenue NQ rev (1m)0.04%
Revenue NQ rev (3m)-1.06%
Revenue NY rev (1m)0.19%
Revenue NY rev (3m)0.71%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.3 | ||
| Fwd PE | 17.84 | ||
| P/S | 2.67 | ||
| P/FCF | 21.79 | ||
| P/OCF | 21.71 | ||
| P/B | 3.02 | ||
| P/tB | 6.43 | ||
| EV/EBITDA | 25.41 |
EPS(TTM)0.27
EY4.7%
EPS(NY)0.32
Fwd EY5.61%
FCF(TTM)0.26
FCFY4.59%
OCF(TTM)0.26
OCFY4.61%
SpS2.16
BVpS1.9
TBVpS0.89
PEG (NY)1.38
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.58% | ||
| ROE | 4.37% | ||
| ROCE | 4.42% | ||
| ROIC | 3.93% | ||
| ROICexc | 6.3% | ||
| ROICexgc | 37.81% | ||
| OM | 3.98% | ||
| PM (TTM) | 3.86% | ||
| GM | 73.57% | ||
| FCFM | 12.24% |
ROA(3y)-20.57%
ROA(5y)-7.82%
ROE(3y)-27.64%
ROE(5y)-11.18%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5Y-49.16%
OM growth 3YN/A
OM growth 5Y-17.06%
PM growth 3YN/A
PM growth 5Y-18.44%
GM growth 3Y-1.46%
GM growth 5Y0.86%
F-Score7
Asset Turnover0.93
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.06 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 0.83% | ||
| Cap/Sales | 0.04% | ||
| Interest Coverage | 92.26 | ||
| Cash Conversion | 133.64% | ||
| Profit Quality | 317.36% | ||
| Current Ratio | 2.71 | ||
| Quick Ratio | 2.66 | ||
| Altman-Z | 7.8 |
F-Score7
WACC9.23%
ROIC/WACC0.43
Cap/Depr(3y)21.73%
Cap/Depr(5y)85.04%
Cap/Sales(3y)1.58%
Cap/Sales(5y)2.14%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-3.57%
EPS 3Y52.86%
EPS 5Y-4.4%
EPS Q2Q%33.33%
EPS Next Y15.38%
EPS Next 2Y13.55%
EPS Next 3Y39.82%
EPS Next 5Y27.63%
Revenue 1Y (TTM)13.73%
Revenue growth 3Y29.37%
Revenue growth 5Y33.4%
Sales Q2Q%12.4%
Revenue Next Year11.81%
Revenue Next 2Y11.36%
Revenue Next 3Y13.98%
Revenue Next 5Y12.91%
EBIT growth 1Y491.69%
EBIT growth 3YN/A
EBIT growth 5Y10.64%
EBIT Next Year737.11%
EBIT Next 3Y152.03%
EBIT Next 5Y82.3%
FCF growth 1Y503.21%
FCF growth 3YN/A
FCF growth 5Y31.85%
OCF growth 1Y3594.55%
OCF growth 3YN/A
OCF growth 5Y30.82%