Freightos Limited (CRGO) AI Stock Analysis

• Market Cap: $68.21M
• Dividend Yield: N/A
• Average Volume (3M): 98.85K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.69
• 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: 0.80
• Enterprise Value/Revenue: 1.86
• Enterprise Value/Gross Profit: 2.78
• Enterprise Value/Ebitda: -3.51
• 1Y Price Target: $3.00
• Price Target Upside: 125.56% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): -0.22
• Revenue Forecast (FY): $33.58M

• Rating: 47 Neutral
• Price Target: $1.50 ▲(12.78% Upside)
• Action: Reiterated Date: 02/26/26
• Date: Action: Reiterated 02/26/26

The score is weighed down primarily by weak financial performance (ongoing losses and negative cash flow) and bearish technicals (downtrend across key moving averages). Earnings call commentary adds some support via improving operating metrics and a clearer profitability plan, but modest growth guidance and expected cash decline temper confidence; valuation remains constrained by losses.

Positive Factors

Sustained Revenue Scale

Freightos has meaningfully scaled revenue from earlier years to $29.5M in 2025, reflecting consistent demand for its booking and solutions stack. Durable top-line growth demonstrates product-market fit and provides a base to leverage operating leverage as solutions embed in customer workflows.

High and Improving Gross Margins

Sustained high gross margins (~73–74%) indicate the business benefits from scalable software/marketplace economics and pricing power. Improving margins reduce the revenue level needed for profitability and support durable operating leverage as platform bookings and solutions adoption grow.

Marketplace Liquidity and Network Expansion

Growing carrier connectivity and record transactions create two-sided liquidity and stronger switching costs. A broader carrier network and rising booking volumes deepen marketplace effects, improving long-term competitiveness and making it harder for new entrants to replicate network value.

Negative Factors

Negative Free Cash Flow

Persistent negative operating and free cash flow creates ongoing funding needs and increases dilution or financing risk. Even with reduced burn versus prior years, continued negative cash generation limits financial flexibility and heightens dependence on external capital until profitable operations are sustained.

Ongoing Adjusted EBITDA Losses

Material adjusted-EBITDA losses show the company has not converted strong gross margins and transaction growth into operating profitability. Meeting the Q4 2026 breakeven target requires consistent execution on cost discipline and revenue mix; failure would prolong cash burn and increase execution risk.

Concentration in Solutions Revenue and Sales Timing

Heavy reliance on solutions (~two-thirds of revenue) combined with elongated enterprise cycles makes top-line sensitive to timing of large deals. This creates revenue volatility and delays the network-driven platform upside, slowing durable revenue expansion and complicating forecasting and margin leverage.

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 generates revenue through various key streams, primarily by charging transaction fees on bookings made through its platform. Each time a shipper books a shipment via the Freightos system, the company earns a commission from the freight forwarders or carriers involved in the transaction. Additionally, Freightos offers subscription services for advanced features and analytics tools, which cater to businesses seeking to optimize their shipping logistics. The company has formed strategic partnerships with numerous freight forwarders and logistics providers, enhancing its service offerings and expanding its market reach, which contributes significantly to its overall earnings.

Freightos Limited Financial Statement Overview

Summary

Revenue growth and strong/improving gross margins are positives, and leverage is low. However, the company remains deeply unprofitable with significant net losses, equity erosion, and consistently negative operating/free cash flow, keeping overall financial quality weak despite recent progress.

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: Negative
• Last Price: 1.33
• 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 CRGO, the sentiment is Negative. The current price of 1.33 is below the 20-day moving average (MA) of 1.89, below the 50-day MA of 2.19, and below the 200-day MA of 2.79, indicating a bearish trend. The MACD of -0.26 indicates Positive momentum. The RSI at 23.26 is Positive, neither overbought nor oversold. The STOCH value of 6.00 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative 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	$2.63B	24.79	6.31%	1.14%	-5.79%	-1.57%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
RLGT	63 Neutral	$356.35M	26.38	6.94%	―	16.42%	79.46%
PBI	58 Neutral	$1.61B	12.83	―	2.82%	-35.52%	―
PAL	58 Neutral	$217.07M	-6.47	-3.26%	―	―	―
FLX	49 Neutral	$180.08M	-6.14	-32.30%	―	-13.66%	-746.83%
CRGO	47 Neutral	$68.21M	-3.84	-43.54%	―	27.55%	-42.84%