6.945 USD
-0.17 (-2.32%)
We assign a fundamental rating of 6 out of 10 to CXDO. CXDO was compared to 88 industry peers in the IT Services industry. While CXDO has a great health rating, its profitability is only average at the moment. CXDO is not overvalued while it is showing excellent growth. This is an interesting combination. These ratings would make CXDO suitable for growth investing!
1. Profitability
1.1 Basic Checks
- In the past year CXDO was profitable.
- CXDO had a positive operating cash flow in the past year.
- The reported net income has been mixed in the past 5 years: CXDO reported negative net income in multiple years.
- In multiple years CXDO reported negative operating cash flow during the last 5 years.
1.2 Ratios
- Looking at the Return On Assets, with a value of 5.74%, CXDO is in the better half of the industry, outperforming 73.86% of the companies in the same industry.
- CXDO has a better Return On Equity (7.11%) than 61.36% of its industry peers.
- CXDO has a Return On Invested Capital of 5.96%. This is in the better half of the industry: CXDO outperforms 62.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.74% | ||
| ROE | 7.11% | ||
| ROIC | 5.96% |
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
- CXDO has a Profit Margin of 6.57%. This is in the better half of the industry: CXDO outperforms 65.91% of its industry peers.
- In the last couple of years the Profit Margin of CXDO has declined.
- Looking at the Operating Margin, with a value of 6.31%, CXDO is in the better half of the industry, outperforming 62.50% of the companies in the same industry.
- In the last couple of years the Operating Margin of CXDO has declined.
- CXDO's Gross Margin of 74.40% is amongst the best of the industry. CXDO outperforms 93.18% of its industry peers.
- 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 | 6.31% | ||
| PM (TTM) | 6.57% | ||
| GM | 74.4% |
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
- CXDO has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it 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.
- The debt/assets ratio for CXDO has been reduced compared to a year ago.
2.2 Solvency
- An Altman-Z score of 8.90 indicates that CXDO is not in any danger for bankruptcy at the moment.
- CXDO has a Altman-Z score of 8.90. This is amongst the best in the industry. CXDO outperforms 88.64% of its industry peers.
- CXDO has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.03 | ||
| Altman-Z | 8.9 |
ROIC/WACC0.65
WACC9.18%
2.3 Liquidity
- CXDO has a Current Ratio of 2.89. This indicates that CXDO is financially healthy and has no problem in meeting its short term obligations.
- Looking at the Current ratio, with a value of 2.89, CXDO is in the better half of the industry, outperforming 76.14% of the companies in the same industry.
- A Quick Ratio of 2.84 indicates that CXDO has no problem at all paying its short term obligations.
- The Quick ratio of CXDO (2.84) is better than 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.89 | ||
| Quick Ratio | 2.84 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 32.00% over the past year.
- 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 12.91%.
- The Revenue has been growing by 33.40% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)32%
EPS 3Y52.86%
EPS 5Y-4.4%
EPS Q2Q%66.67%
Revenue 1Y (TTM)12.91%
Revenue growth 3Y29.37%
Revenue growth 5Y33.4%
Sales Q2Q%11.97%
3.2 Future
- CXDO is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 27.63% yearly.
- The Revenue is expected to grow by 12.91% on average over the next years. This is quite good.
EPS Next Y42.26%
EPS Next 2Y20.12%
EPS Next 3Y17.74%
EPS Next 5Y27.63%
Revenue Next Year13.21%
Revenue Next 2Y12.36%
Revenue Next 3Y12.23%
Revenue Next 5Y12.91%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- 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
- Based on the Price/Earnings ratio of 21.05, the valuation of CXDO can be described as rather expensive.
- CXDO's Price/Earnings ratio is a bit cheaper when compared to the industry. CXDO is cheaper than 62.50% of the companies in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 28.82, CXDO is valued a bit cheaper.
- Based on the Price/Forward Earnings ratio of 19.25, the valuation of CXDO can be described as rather expensive.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of CXDO indicates a somewhat cheap valuation: CXDO is cheaper than 60.23% of the companies listed in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.95, CXDO is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.05 | ||
| Fwd PE | 19.25 |
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.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of CXDO is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.5 | ||
| EV/EBITDA | 25.44 |
4.3 Compensation for Growth
- CXDO's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- CXDO's earnings are expected to grow with 17.74% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.5
PEG (5Y)N/A
EPS Next 2Y20.12%
EPS Next 3Y17.74%
5. Dividend
5.1 Amount
- CXDO has a yearly dividend return of 0.63%, which is pretty low.
- CXDO's Dividend Yield is rather good when compared to the industry average which is at 0.44. CXDO pays more dividend than 80.68% of the companies in the same industry.
- With a Dividend Yield of 0.63, CXDO pays less dividend than the S&P500 average, which is at 1.82.
| 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 2Y20.12%
EPS Next 3Y17.74%
CREXENDO INC / CXDO FAQ
What is the ChartMill fundamental rating of CREXENDO INC (CXDO) stock?
ChartMill assigns a fundamental rating of 6 / 10 to CXDO.
Can you provide the valuation status for CREXENDO INC?
ChartMill assigns a valuation rating of 4 / 10 to CREXENDO INC (CXDO). This can be considered as Fairly Valued.
How profitable is CREXENDO INC (CXDO) stock?
CREXENDO INC (CXDO) has a profitability rating of 5 / 10.
How financially healthy is CREXENDO INC?
The financial health rating of CREXENDO INC (CXDO) is 8 / 10.
Is the dividend of CREXENDO INC sustainable?
The dividend rating of CREXENDO INC (CXDO) is 3 / 10 and the dividend payout ratio is 0%.