Creative Media (CMCT) AI Stock Analysis

• Market Cap: $1.46M
• Dividend Yield: N/A
• Average Volume (3M): 2.29M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.79
• Revenue Growth: -8.72%
• EPS Growth: 84.98%
• Country: US
• Employees: 5
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Office
• EPS (TTM): -11.20
• Shares Outstanding: 2,699,686
• 10 Day Avg. Volume: 6,729,590
• 30 Day Avg. Volume: 2,286,183
• PEG Ratio: <0.01
• Price to Book (P/B): 0.01
• Price to Sales (P/S): 0.03
• P/FCF Ratio: -0.23
• Enterprise Value/Market Cap: 339.38
• Enterprise Value/Revenue: 4.24
• Enterprise Value/Gross Profit: -41.30
• Enterprise Value/Ebitda: 27.51
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): $58.04M

• Rating: 46 Neutral
• Price Target: $0.62 ▼(-79.23% Downside)
• Action: Reiterated Date: 03/14/26
• Date: Action: Reiterated 03/14/26

The score is held down primarily by weak profitability and negative free cash flow, reinforced by strongly bearish technical signals. Offsetting these, the earnings call points to meaningful liquidity and debt-reduction actions and expectations for improved 2026 cash flow, but current operating performance remains pressured.

Positive Factors

Leasing Momentum

Significant leasing volume (159k sq ft, +69% YoY) signals improving tenant demand and occupancy traction across properties. Durable leasing success supports stabilization of rental revenue, reduces vacancy risk, and enhances the path to sustainable cash flow as new leases roll into income.

Material Debt Reduction

A materially de-levered balance sheet (debt reported at $0 and retirement of a $169M recourse facility) meaningfully improves financial flexibility. Lower structural leverage reduces refinancing risk and interest burden, enabling capital allocation to leasing, renovations, or opportunistic acquisitions.

Sale of Non-core Lending Business

Divesting the lending division generated ~ $31M net proceeds and sharpens strategic focus toward core multifamily and real estate operations. This structural move boosts liquidity, reduces operational complexity, and reallocates capital toward higher-margin, recurring property income streams.

Negative Factors

Weak Profitability and Negative FCF

Sustained negative net margins and materially negative free cash flow undermine the firm's ability to self-fund growth or distributions. Persistent losses increase reliance on asset sales or external financing and raise the bar for operational improvements to restore durable shareholder returns.

Declining NOI and Segment Disruption

Falling net operating income, weaker office results, and hotel renovation disruptions reduce core recurring cash generation. Given CMCT's exposure to office assets, sustained soft NOI in that segment pressures long-term rental revenue and delays recovery of stabilized property cash flows.

Externally Managed Structure

Being externally managed creates structural agency and fee-related costs that can dilute distributable cash and complicate decision alignment with shareholders. Over time, external management fees and reimbursement mechanics can reduce net property yields and constrain free cash available for reinvestment.

Creative Media Business Overview & Revenue Model

Company Description

Creative Media & Community Trust Corporation is a real estate investment trust that primarily acquires, owns, and operates Class A and creative office assets in vibrant and improving metropolitan communities throughout the United States (including improving and developing such assets). Its properties are primarily located in Los Angeles and the San Francisco Bay Area. Creative Media & Community Trust Corporation is operated by affiliates of CIM Group, L.P., a vertically-integrated owner and operator of real assets with multi-disciplinary expertise and in-house research, acquisition, credit analysis, development, finance, leasing, and onsite property management capabilities.

How the Company Makes Money

CMCT primarily makes money by operating income-producing commercial real estate. Its main revenue stream is rental income collected from tenants under lease agreements for its office properties (including any contractual base rent and other tenant billings that are part of lease economics). It may also generate revenue and income through property-level recoveries and reimbursements from tenants for certain operating costs where leases allow (e.g., common area maintenance, taxes, insurance), and through ancillary property-related income (if disclosed by the company). Beyond recurring property operations, CMCT can earn or realize income from real estate transactions—selling properties and recognizing gains or losses on disposition, and potentially acquiring new assets to grow its rent base. Results can also be affected by financing activities (e.g., interest expense on debt; interest income if applicable), though these are not typically considered core operating revenue. Significant factor/partnership: CMCT is externally managed by CIM Group (manager relationship). The manager typically influences sourcing, acquisitions/dispositions, financing, and day-to-day oversight, and CMCT pays management and other fees/expense reimbursements to the external manager. Specific fee terms and any other significant partnerships: null.

Creative Media Financial Statement Overview

Summary

Despite strong TTM revenue growth (+85.8%), profitability and cash generation are weak: net margin is deeply negative (-38.8%) with a large net loss, and free cash flow is meaningfully negative (-$15.0M) and declining. The balance sheet snapshot looks less levered (total debt reported at $0) versus prior years, but negative ROE (~-15.6%) underscores ongoing earnings pressure.

Income Statement

TTM (Trailing-Twelve-Months) revenue growth is strong (+85.8%), but profitability is weak: net margin is deeply negative (-38.8%) with a large net loss (-$45.3M) despite positive EBIT margin (~2.2%). Margins have deteriorated materially versus 2024 (gross margin ~15% TTM vs ~41.5% in 2024), and earnings have been volatile over time (profit in 2022, losses in most other years), which lowers confidence in the sustainability of the run-rate.

Balance Sheet

Leverage appears to have improved sharply in TTM (total debt reported at $0; debt-to-equity 0.0) versus elevated leverage in 2023–2024 (debt-to-equity ~1.26–1.55). Equity remains sizable ($265.4M TTM) against a large asset base ($859.2M), but returns to shareholders are negative (TTM return on equity about -15.6%), reflecting ongoing losses. Overall: balance sheet looks less levered on the latest snapshot, but profitability pressure remains a key risk to equity value.

Cash Flow

TTM operating cash flow is positive ($5.8M), but free cash flow is meaningfully negative (-$15.0M) and has declined sharply (TTM free cash flow growth -33.4%), indicating heavier cash outflows after investments/capex. Cash generation is inconsistent across years (strong positive free cash flow in 2021–2022, negative from 2023 onward), and the current period shows a wide gap between accounting losses and cash generation (negative net income alongside positive operating cash flow), which is supportive near-term but not a substitute for durable free-cash-flow profitability.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Mar 2023	Dec 2021
Income Statement
Total Revenue	116.67M	124.51M	119.26M	101.91M	90.93M
Gross Profit	-11.98M	51.70M	51.84M	47.53M	47.68M
EBITDA	28.19M	39.65M	37.54M	37.18M	31.74M
Net Income	-39.00M	-25.18M	-48.48M	5.92M	-850.00K
Balance Sheet
Total Assets	859.19M	889.55M	891.20M	690.25M	660.87M
Cash, Cash Equivalents and Short-Term Investments	15.44M	20.26M	19.29M	46.19M	22.31M
Total Debt	509.77M	505.73M	471.56M	184.27M	201.15M
Total Liabilities	592.94M	562.49M	514.43M	312.52M	249.53M
Stockholders Equity	265.36M	325.31M	374.40M	377.36M	410.99M
Cash Flow
Free Cash Flow	-15.00M	-6.24M	-1.33M	23.59M	42.23M
Operating Cash Flow	5.79M	17.03M	12.00M	32.41M	46.28M
Investing Cash Flow	-16.40M	-22.29M	-88.69M	-22.27M	-12.70M
Financing Cash Flow	-4.57M	13.90M	63.45M	13.69M	-43.58M

Creative Media Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.99
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CMCT, the sentiment is Negative. The current price of 2.99 is above the 20-day moving average (MA) of 2.04, above the 50-day MA of 2.71, and below the 200-day MA of 5.70, indicating a bearish trend. The MACD of -0.54 indicates Positive momentum. The RSI at 15.83 is Positive, neither overbought nor oversold. The STOCH value of 5.09 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CMCT.

Creative Media Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
ONL	54 Neutral	$130.37M	-0.91	-20.16%	7.34%	-11.41%	-56.73%
CMCT	46 Neutral	$1.46M	-0.09	-13.44%	―	-8.72%	84.98%
NYC	46 Neutral	$23.17M	0.18	-31.38%	―	-17.00%	89.73%
FSP	45 Neutral	$62.22M	-2.18	-7.30%	4.71%	-14.68%	-13.53%

Creative Media Corporate Events

Creative Media Divests Lending Arm to Refocus on Multifamily

On January 21, 2026, Creative Media & Community Trust Corporation completed the sale of all equity interests in its lending division, First Western SBLC, LLC, to PG FR Holding, LLC, an affiliate of Atlanta-based Peachtree Group, for approximately $44.9 million, net of debt related to a 2023 securitization and subject to post-closing adjustments. After paying other debt and transaction expenses, CMCT realized about $31.2 million in net cash proceeds, a move the company said on January 22, 2026 is aligned with its strategy to strengthen its balance sheet, improve liquidity and sharpen its focus on expanding its core portfolio of multifamily properties, potentially reshaping its business mix away from lending activities toward its primary real estate platform.

The most recent analyst rating on (CMCT) stock is a Hold with a $2.50 price target. To see the full list of analyst forecasts on Creative Media stock, see the CMCT Stock Forecast page.