Freightos Limited (CRGO) AI Stock Analysis

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Freightos Limited

(NASDAQ:CRGO)

Rating:54Neutral

Price Target:

$3.00

▲(0.00%Upside)

The overall stock score of 54 reflects strong technical momentum, which is the most significant positive factor. However, financial performance limitations, particularly in profitability and cash flow, and low valuation due to losses weigh down the score.

Freightos Limited (CRGO) vs. SPDR S&P 500 ETF (SPY)

Market Cap

$150.13M

Dividend YieldN/A

Average Volume (3M)72.71K

Price to Earnings (P/E)―

Beta (1Y)1.85

Revenue Growth49.48%

EPS Growth80.17%

CountryUS

Employees378

SectorIndustrials

Sector Strength94

IndustryIntegrated Freight & Logistics

Share Statistics

EPS (TTM)-0.09

Shares Outstanding50,042,740

10 Day Avg. Volume101,469

30 Day Avg. Volume72,711

Financial Highlights & Ratios

PEG RatioN/A

Price to Book (P/B)2.27

Price to Sales (P/S)0.00

P/FCF Ratio-11.61

Enterprise Value/Market Cap0.55

Enterprise Value/Revenue0.89

Enterprise Value/Gross Profit4.92

Enterprise Value/Ebitda-1.22

Forecast

1Y Price Target

$2.50

Price Target Upside-16.67% Downside

Rating ConsensusModerate Buy

Number of Analyst Covering1

Freightos Limited Business Overview & Revenue Model

Company DescriptionFreightos Limited (CRGO) is a global freight booking and management platform that operates within the logistics and supply chain sectors. It provides a digital marketplace that connects freight forwarders, carriers, and importers/exporters, offering real-time pricing, booking, and shipment management services. The platform aims to bring transparency and efficiency to the freight industry by digitizing traditional logistics processes.

How the Company Makes MoneyFreightos Limited generates revenue primarily through transaction fees charged on bookings made via its platform. The company earns money by taking a percentage of the freight costs for each booking processed through its marketplace. Additionally, Freightos may earn from providing premium services or software solutions to logistics companies and shippers, enhancing their operational efficiency and data analytics capabilities. Strategic partnerships with major freight companies and carriers also contribute to its revenue by expanding its network and service offerings.

Freightos Limited Earnings Call Summary

Earnings Call Date:May 20, 2025

(Q1-2025)

% Change Since: 34.53%|

Next Earnings Date:Aug 18, 2025

Earnings Call Sentiment Positive

The earnings call presents a generally positive outlook with record transactions, revenue growth, platform expansion, and strong financial performance. However, there are some challenges related to trade tariffs and macroeconomic sensitivities. Despite these challenges, the company seems well-positioned for continued growth.

Q1-2025 Updates

Positive Updates

Record Transactions and Revenue Growth

Q1 2025 saw record revenues and the 21st consecutive quarter of record transactions, with 370,000 transactions facilitated, a 25% increase from Q1 of last year.

Platform Expansion with New Carriers

Added 4 new carriers to the platform, bringing the total to 71, which strengthens the platform's value proposition.

Strong Performance in Solutions Segment

Solutions revenue grew by 33% year-on-year, driven by new enterprise customer wins and 100% customer retention in data solutions.

Enterprise Suite Launch

Launched a comprehensive Freightos Enterprise Suite designed to serve the complex needs of multinational shippers.

Financial Performance Exceeding Guidance

Revenue of $6.9 million, representing a 30% growth year-on-year, with gross margin improving to 66.8% from 62.6% in Q1 last year.

Negative Updates

Impact of Tariffs on China-U.S. Trade Lane

Significant tariffs on China-U.S. lanes led to a dip in transactions, though this lane represents less than 2% of total transactions.

Macroeconomic Sensitivity

Platform is sensitive to fluctuations in trade volumes and Solutions segment is sensitive to macroeconomic uncertainties, potentially impacting revenue.

Company Guidance

During the Freightos Q1 2025 earnings call, the company provided guidance for the upcoming quarter and the full year. For Q2 2025, Freightos expects to process 380,000 to 385,000 transactions, reflecting 20% to 22% year-over-year growth, and anticipates generating $7.0 million to $7.1 million in revenue. The company projects a gross booking value (GBV) of $278 million to $285 million, representing a 37% to 40% increase year-on-year. Despite market uncertainties, Freightos reiterated its full-year guidance, emphasizing resilience in its business model and focusing on growth opportunities. The company aims to achieve breakeven adjusted EBITDA by the end of 2026, with a strong balance sheet, ending Q1 with $36.4 million in cash and cash equivalents.

Freightos Limited Financial Statement Overview

Summary

Freightos Limited shows strong revenue growth but struggles with profitability and cash flow management. Despite a strong equity base, the company faces significant operational and financial challenges, impacting its overall financial health.

Income Statement

Neutral

Freightos Limited shows a consistent revenue growth trend, with a 17.28% increase from 2023 to 2024. However, the company faces challenges in profitability, reflected in negative EBIT and EBITDA margins. Despite a positive gross profit margin of 65.17% in 2024, the net profit margin remains negative at -94.57%, indicating significant operational and financial difficulties.

Balance Sheet

Neutral

The company maintains a strong equity base with a debt-to-equity ratio of 0.02, suggesting modest leverage. The equity ratio is high at 74.38%, indicating financial stability. However, the return on equity is negative due to persistent losses, highlighting the need for effective cost management to enhance shareholder value.

Cash Flow

Negative

Freightos Limited faces negative free cash flow, although there is an improvement in operating cash flow from -27.1 million in 2023 to -12.1 million in 2024. The free cash flow to net income ratio remains unfavorable, indicating challenges in converting revenues into cash. The company must enhance cash flow management to support its growth and operational needs.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	23.79M	20.28M	19.09M	11.12M	8.51M
Gross Profit	15.50M	11.80M	11.23M	6.52M	4.24M
EBITDA	-19.86M	-62.38M	-20.56M	-15.25M	-12.47M
Net Income	-22.49M	-65.47M	-24.70M	-16.36M	-14.17M
Balance Sheet
Total Assets	73.78M	87.69M	41.81M	54.08M	31.17M
Cash, Cash Equivalents and Short-Term Investments	37.27M	51.69M	6.69M	25.08M	21.89M
Total Debt	954.00K	1.30M	3.51M	1.74M	2.35M
Total Liabilities	18.89M	15.64M	20.15M	19.16M	12.70M
Stockholders Equity	54.89M	72.04M	21.66M	34.92M	18.47M
Cash Flow
Free Cash Flow	-12.15M	-27.18M	-15.16M	-17.50M	-8.33M
Operating Cash Flow	-12.10M	-27.10M	-14.91M	-17.32M	-8.27M
Investing Cash Flow	2.08M	-32.16M	-4.97M	-4.55M	66.00K
Financing Cash Flow	85.00K	73.18M	1.89M	25.23M	-273.00K

Freightos Limited Technical Analysis

Technical Analysis Sentiment

Positive

Last Price3.00

Price Trends

50DMA

2.35

Positive

100DMA

2.29

Positive

200DMA

2.44

Positive

Market Momentum

MACD

0.10

Negative

RSI

69.61

Neutral

STOCH

77.73

Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CRGO, the sentiment is Positive. The current price of 3 is above the 20-day moving average (MA) of 2.43, above the 50-day MA of 2.35, and above the 200-day MA of 2.44, indicating a bullish trend. The MACD of 0.10 indicates Negative momentum. The RSI at 69.61 is Neutral, neither overbought nor oversold. The STOCH value of 77.73 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CRGO.

Freightos Limited Peers Comparison

Overall Rating

UnderperformOutperform

Sector (65)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SFWL	76 Outperform	$81.26M	7.47	9.67%	―	24.75%	5.52%
Sector *	65 Neutral	$11.18B	15.79	5.49%	1.92%	3.14%	-24.90%
AIRT	59 Neutral	$61.35M	―	-790.22%	―	1.75%	5.85%
CRGO	54 Neutral	$150.13M	―	-23.18%	―	49.48%	80.17%
GVH	52 Neutral	$9.14M	118.62	44.81%	―	-11.88%	11.17%
FLX	48 Neutral	$216.84M	124.65	-53.71%	―	-7.95%	-83128.57%

* Industrials Sector Average

Performance Comparison

CRGO

Freightos Limited

3.10

1.35

77.14%

AIRT

Air T

23.23

-1.07

-4.40%

SFWL

Shengfeng Development Limited Class A

0.98

-0.31

-24.03%

GVH

Globavend Holdings Ltd.

7.20

-132.90

-94.86%

FLX

BingEx Ltd. ADR

3.17

-13.32

-80.78%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 26, 2025