Freightos Limited (CRGO) AI Stock Analysis

• Market Cap: $78.47M
• Dividend Yield: N/A
• Average Volume (3M): 98.85K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.57
• Revenue Growth: 27.55%
• EPS Growth: -42.84%
• Country: US
• Employees: 378
• Sector: Industrials
• Sector Strength: 72
• Industry: Integrated Freight & Logistics
• EPS (TTM): -0.07
• Shares Outstanding: 51,285,847
• 10 Day Avg. Volume: 102,169
• 30 Day Avg. Volume: 98,852
• PEG Ratio: 0.28
• Price to Book (P/B): 2.69
• Price to Sales (P/S): 3.91
• P/FCF Ratio: -36.52
• Enterprise Value/Market Cap: 0.97
• Enterprise Value/Revenue: 2.59
• Enterprise Value/Gross Profit: 3.87
• Enterprise Value/Ebitda: -4.89
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): -0.22
• Revenue Forecast (FY): $33.58M

• Rating: 45 Neutral
• Price Target: $1.50 ▼(-7.41% Downside)
• Action: Reiterated Date: 03/17/26
• Date: Action: Reiterated 03/17/26

The score is held down primarily by ongoing losses and consistently negative cash flow, despite strong gross margins and revenue/transaction growth. Technicals remain bearish with the stock below key moving averages and negative MACD. The earnings call adds partial support via clear breakeven targets and operational traction, but modest 2026 guidance, continued EBITDA losses, and expected cash decline keep risk elevated.

Positive Factors

Sustained Revenue Growth

Freightos has scaled revenue materially over multiple years, reaching $29.5M in 2025 with continued quarterly gains. This durable top‑line growth indicates expanding market adoption of its platform and solutions, creating a larger base to drive operating leverage and support future margin improvement.

High & Improving Gross Margins

Sustained high gross margins (~74% FY2025) reflect software/marketplace economics and favorable unit economics. These margins provide structural capacity to absorb sales and G&A investments while enabling a realistic path to profitability if revenue growth and cost discipline continue as management plans.

Marketplace Scale & Network Effects

Consistent record transactions, rising GBV and an expanding carrier network enhance liquidity and stickiness on both supply and demand sides. Integrated carrier capacity (~80% for airlines) and growing transaction volumes reinforce competitive advantages and structural barriers to entry for rivals over the medium term.

Negative Factors

Persistent Negative Cash Flow

Despite progress reducing burn, Freightos continues to generate negative operating and free cash flow and sizable adjusted EBITDA losses. Ongoing cash consumption and a projected decline in cash reserves increase funding risk and potential dilution unless structural profitability is achieved on schedule.

Eroding Equity and Negative Returns

Material equity erosion driven by recurring losses reduces the company’s capital buffer and financial flexibility. Deeply negative returns on equity signal that current capital is not producing shareholder value, limiting ability to invest organically or withstand adverse cycles without external financing.

Solutions Revenue Concentration & Sales Lag

Heavy reliance on solutions—which have elongated enterprise sales cycles—weakens revenue visibility and compresses near‑term growth despite robust transaction trends. This mix and timing mismatch slows conversion of marketplace momentum into predictable cash flows and lengthens the timeline to sustained profitability.

Freightos Limited Business Overview & Revenue Model

Company Description

Freightos Ltd., owns and operates an online freight marketplace. It connects importers and exporters, providing instant comparison, booking, and management of air, ocean, and land shipments from forwarders. Further, the company offers freight software solutions, such as Freightos AcceleRate that offers freight rate management, instant freight quotes, and business intelligence; Enterprise Shipper that offers freight tariff control, real-time landed pricing, routing, and spend analytics; Freightos WebCargo; and Freightos Shipping Calculator which integrates with the e-commerce platform, providing instant international air or ocean pricing for oversized goods and e-commerce. Additionally, the company offers freight shipping tools, including HS Code lookup, an interactive airport and seaport directory; and a freight density calculator. The company caters to forwarders, carriers, enterprise shippers, logistics providers, and e-commerce retailers for automating freight and sales. The company was formerly known as Tradeos Limited and changed its name to Freightos Ltd. in March 2016. The company was founded in 2011 and is based in North Point, Hong Kong with operations in Hong Kong, China, Germany, Israel, and Palestine.

How the Company Makes Money

Freightos primarily generates revenue from fees tied to transactions and software usage across its digital freight booking and rate-management platforms. A core revenue stream is marketplace/transaction revenue earned when freight bookings are executed through its platform, typically structured as platform fees charged in connection with those shipments. The company also earns subscription and SaaS revenue from logistics-facing software products that help customers digitize quoting, pricing, and procurement workflows (e.g., tools used by freight forwarders and/or carriers to manage and publish rates, respond to tenders, and automate sales/quoting processes). In addition, Freightos can generate revenue from enterprise/commercial agreements and API/integration-based arrangements that embed its pricing/booking capabilities into partners’ or customers’ systems, with economics commonly tied to seat/subscription commitments, usage, and/or transaction volumes. Significant factors influencing earnings include overall global freight volumes, the level of freight rate volatility (which can increase demand for real-time pricing/booking tools), customer adoption by forwarders and carriers, and distribution/integration partnerships that expand supply and demand liquidity on its marketplace.

Freightos Limited Financial Statement Overview

Summary

Revenue growth and strong/improving gross margins are positive, and leverage is low. However, the company remains unprofitable with significant net losses and consistently negative operating/free cash flow, which continues to erode equity and increases funding/dilution risk.

Income Statement

Revenue has scaled meaningfully over the period (from $8.5M in 2020 to $29.5M in 2025), and gross margin is strong and improving (about 67% in 2025 vs ~50% in 2020). However, profitability remains weak: 2025 still shows a sizable net loss (net margin ~-59%) and negative operating profitability, even though losses narrowed substantially from 2023’s unusually large loss year. Overall, the top-line and gross profit profile is encouraging, but the business has not yet converted that into sustainable earnings.

Balance Sheet

Leverage is low (debt-to-equity ~0.10 in 2025), which reduces financial risk and provides flexibility. That said, equity has declined from 2023 to 2025 ($72.0M to $42.9M), consistent with ongoing losses, and returns on equity remain deeply negative (around -41% in 2025). The balance sheet is not highly levered, but continued losses are pressuring the capital base over time.

Cash Flow

Cash generation remains a key concern: operating cash flow and free cash flow are negative across all reported years, including 2025 (roughly -$3.1M free cash flow). There is improvement versus 2024 (cash burn reduced materially), but the 2025 free cash flow decline versus 2024 highlights volatility. Until operations consistently produce positive cash flow, funding needs and dilution risk remain central.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	29.46M	23.79M	20.28M	19.09M	11.12M
Gross Profit	19.68M	15.50M	11.80M	11.23M	6.52M
EBITDA	-15.71M	-17.29M	-62.38M	-20.56M	-15.25M
Net Income	-17.52M	-22.49M	-65.47M	-24.70M	-16.36M
Balance Sheet
Total Assets	62.70M	73.78M	87.69M	41.81M	54.08M
Cash, Cash Equivalents and Short-Term Investments	30.78M	37.27M	51.69M	6.69M	25.08M
Total Debt	4.12M	954.00K	1.30M	3.51M	1.74M
Total Liabilities	19.77M	18.89M	15.64M	20.15M	19.16M
Stockholders Equity	42.92M	54.89M	72.04M	21.66M	34.92M
Cash Flow
Free Cash Flow	-3.16M	-12.15M	-27.18M	-15.16M	-17.50M
Operating Cash Flow	-3.14M	-12.10M	-27.10M	-14.91M	-17.32M
Investing Cash Flow	-93.00K	2.08M	-32.16M	-4.97M	-4.55M
Financing Cash Flow	-78.00K	85.00K	73.18M	1.89M	25.23M

Freightos Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1.62
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CRGO, the sentiment is Neutral. The current price of 1.62 is above the 20-day moving average (MA) of 1.42, below the 50-day MA of 1.92, and below the 200-day MA of 2.73, indicating a neutral trend. The MACD of -0.13 indicates Negative momentum. The RSI at 51.05 is Neutral, neither overbought nor oversold. The STOCH value of 65.18 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for CRGO.

Freightos Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HUBG	68 Neutral	$2.13B	18.11	6.30%	1.14%	-5.79%	-1.57%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
RLGT	63 Neutral	$317.02M	13.99	6.24%	―	16.42%	79.46%
PBI	58 Neutral	$1.53B	12.64	-22.82%	2.82%	-35.52%	―
PAL	58 Neutral	$173.66M	-7.95	-10.08%	―	―	―
FLX	49 Neutral	$177.34M	4.81	13.49%	―	-13.66%	-746.83%
CRGO	45 Neutral	$78.47M	-6.58	-37.28%	―	27.55%	-42.84%