Creative Realities (CREX) AI Stock Analysis

• Market Cap: $29.45M
• Dividend Yield: N/A
• Average Volume (3M): 86.11K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.26
• Revenue Growth: -18.37%
• EPS Growth: -1304.71%
• Country: US
• Employees: 146
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): -0.75
• Shares Outstanding: 10,518,932
• 10 Day Avg. Volume: 32,319
• 30 Day Avg. Volume: 86,114
• PEG Ratio: 2.55
• Price to Book (P/B): 1.00
• Price to Sales (P/S): 0.50
• P/FCF Ratio: 44.10
• Enterprise Value/Market Cap: 0.00
• Enterprise Value/Revenue: 0.00
• Enterprise Value/Gross Profit: 0.00
• Enterprise Value/Ebitda: 0.00
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 56 Neutral
• Price Target: $3.00 ▲(7.14% Upside)

Creative Realities' overall stock score is primarily impacted by financial performance challenges, including declining revenues and profitability. However, strategic acquisitions and positive technical indicators provide some optimism for future growth. The valuation remains a concern due to negative earnings, but corporate events and strategic initiatives offer potential upside.

Positive Factors

Strategic Acquisition

The acquisition of Cineplex Digital Media is expected to double the company's size, significantly improving revenue and EBITDA margins, enhancing market position and growth prospects.

Expansion into Canadian Market

Expansion into the Canadian market through CDM increases geographic diversification and recurring revenue, strengthening the company's competitive position.

New Business Developments

New partnerships with major clients like a large QSR chain and c-store customer indicate potential for significant SaaS revenue growth, enhancing long-term revenue streams.

Negative Factors

Revenue Decline

A decline in quarterly revenue indicates ongoing challenges in maintaining sales momentum, which could affect financial stability if not addressed.

Increased Debt Levels

Rising debt levels due to acquisition financing could strain cash flow and limit financial flexibility, impacting long-term operational efficiency.

Decreased Annual Recurring Revenue

A decrease in annual recurring revenue suggests potential challenges in customer retention and contract renewals, affecting predictable income streams.

Creative Realities Business Overview & Revenue Model

Company Description

Creative Realities (CREX) is a leading provider of digital signage and marketing solutions, specializing in creating immersive customer experiences through innovative technology. The company operates primarily in the retail, hospitality, and corporate sectors, offering a range of products and services including interactive displays, content management systems, and data analytics tools. CREX focuses on enhancing brand engagement and driving customer interactions through its cutting-edge solutions.

How the Company Makes Money

Creative Realities generates revenue through multiple streams including the sale of hardware and software solutions, service contracts for installation and maintenance, and subscription fees for its content management platform. The company also earns income from consulting services that assist clients in developing effective digital marketing strategies. Significant partnerships with technology providers and advertising agencies enhance its offerings and expand its market reach, contributing to a diversified revenue model.

Creative Realities Financial Statement Overview

Summary

Creative Realities faces challenges with declining revenues and profitability, as reflected in negative margins and net income. While leverage is moderate, the negative return on equity and cash flow issues highlight operational inefficiencies. The company needs to improve revenue growth and operational efficiency to enhance financial stability.

Income Statement

Creative Realities has shown a decline in revenue growth with a TTM revenue decrease of 8.08%. The gross profit margin remains relatively stable at 45.14%, but the net profit margin is negative at -2.56%, indicating profitability challenges. EBIT and EBITDA margins are also negative, reflecting operational inefficiencies.

Balance Sheet

The company maintains a moderate debt-to-equity ratio of 0.75, suggesting manageable leverage. However, the return on equity is negative at -4.36%, indicating inefficiencies in generating returns from equity. The equity ratio stands at 35.73%, showing a reasonable proportion of equity financing.

Cash Flow

Free cash flow has grown significantly by 98.5%, but the operating cash flow is negative, indicating cash management issues. The free cash flow to net income ratio is high at 28.21, suggesting reliance on non-operational cash flows.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	44.32M	50.85M	45.17M	43.35M	18.44M	17.46M
Gross Profit	19.12M	24.01M	22.18M	17.74M	8.36M	8.12M
EBITDA	-2.81M	2.45M	3.36M	7.53M	2.42M	-14.51M
Net Income	-9.53M	-3.51M	-2.94M	1.88M	232.00K	-16.84M
Balance Sheet
Total Assets	61.27M	65.21M	70.78M	66.02M	22.88M	20.62M
Cash, Cash Equivalents and Short-Term Investments	314.00K	1.04M	2.91M	1.63M	2.88M	1.83M
Total Debt	5.80M	13.97M	14.56M	19.16M	7.53M	10.84M
Total Liabilities	39.38M	39.75M	41.95M	40.44M	14.15M	16.28M
Stockholders Equity	21.89M	25.46M	28.83M	25.58M	8.73M	4.33M
Cash Flow
Free Cash Flow	-2.91M	580.00K	1.14M	-5.00M	-688.00K	-4.19M
Operating Cash Flow	-2.20M	3.38M	5.17M	-708.00K	471.00K	-3.53M
Investing Cash Flow	-2.47M	-2.80M	-4.03M	-21.48M	-1.16M	-657.00K
Financing Cash Flow	4.12M	-2.45M	137.00K	20.93M	1.75M	3.48M

Creative Realities Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2.80
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CREX, the sentiment is Positive. The current price of 2.8 is below the 20-day moving average (MA) of 2.81, above the 50-day MA of 2.76, and above the 200-day MA of 2.52, indicating a bullish trend. The MACD of 0.03 indicates Negative momentum. The RSI at 53.34 is Neutral, neither overbought nor oversold. The STOCH value of 49.30 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CREX.

Creative Realities Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
CREX	56 Neutral	$29.45M	―	-36.46%	―	-18.37%	-1304.71%
ANY	47 Neutral	$15.21M	―	-52.92%	―	-48.75%	-6.62%
CYN	41 Neutral	$33.09M	>-0.01	-166.00%	―	347.74%	84.88%
CSAI	33 Underperform	$35.81M	-4.06	-216.29%	―	―	―

Creative Realities Corporate Events

Creative Realities Appoints Tamra Koshewa as New CFO

On December 1, 2025, Creative Realities, Inc. appointed Tamra Koshewa as the new Chief Financial Officer, succeeding Richard Mills who served as interim CFO until November 30, 2025. Ms. Koshewa brings over 30 years of financial leadership experience across various industries and has held significant roles in companies such as General Electric and Time Warner Cable. Her appointment includes an employment agreement with a base salary of $350,000 and stock options, reflecting the company’s strategic focus on strengthening its financial leadership.

Creative Realities Completes Financing with North Run Fund

On November 6, 2025, Creative Realities, Inc. completed a financing transaction with North Run Strategic Opportunities Fund I, LP, issuing Series A Convertible Preferred Stock. This transaction led to a temporary change in the company’s Board of Directors, which was later adjusted to comply with Nasdaq rules. The company plans to seek shareholder approval for this change at its annual meeting on December 29, 2025, which could result in the reappointment of a director if approved.

Creative Realities Completes Acquisition of Cineplex Digital Media

On November 6, 2025, Creative Realities, Inc. entered into an amended and restated Credit Agreement, securing a $36 million term loan and a $22.5 million revolving credit facility to finance the acquisition of Cineplex Digital Media (CDM) and refinance certain debts. The acquisition, completed on November 7, 2025, for approximately CAD $70 million, is expected to enhance Creative Realities’ growth trajectory by expanding its customer base and leveraging synergies across a broader media network. Despite a challenging third quarter with a net loss of $7.8 million and a decrease in revenue and gross profit compared to the previous year, the acquisition and new board members are anticipated to strengthen the company’s industry position and financial performance moving forward.

Creative Realities Discusses Cineplex Digital Media Acquisition

On October 16, 2025, Creative Realities, Inc. held a conference call to discuss its upcoming acquisition of Cineplex Digital Media Inc. and its affiliates, contingent upon meeting certain closing conditions. This strategic move is expected to enhance Creative Realities’ market position by expanding its digital media capabilities, potentially impacting stakeholders positively by broadening the company’s operational scope.

Creative Realities Acquires Cineplex Digital Media for Growth

Creative Realities announced the acquisition of Cineplex Digital Media for CAD 70 million, which is expected to double the company’s size and expand its North American footprint. The acquisition will bring significant synergies, including cost savings of at least $10 million annually by the end of 2026, and is anticipated to be accretive to earnings almost immediately. The acquisition includes Canada’s largest mall network, enhancing Creative Realities’ position in the digital out-of-home media sector. The company plans to finance the acquisition through a combination of debt and equity, and expects the transaction to close in October 2025. Preliminary results for the third quarter indicate lower-than-expected revenue, but the acquisition is expected to substantially boost revenue and adjusted EBITDA in the future.

Creative Realities CFO Resignation Announced

On September 26, 2025, Creative Realities, Inc. announced the resignation of their Chief Financial Officer, David Ryan Mudd, effective October 10, 2025. Mudd is leaving to join another company with annual revenues exceeding $2 billion. His departure is not due to any disagreements with Creative Realities’ operations or financial policies. Richard Mills, the company’s CEO, will serve as interim CFO until a permanent replacement is found.