Criteo SA (CRTO) AI Stock Analysis

• Market Cap: $1.03B
• Dividend Yield: N/A
• Average Volume (3M): 510.88K
• Price to Earnings (P/E): 6.8
• Beta (1Y): 0.84
• Revenue Growth: 0.32%
• EPS Growth: 69.78%
• Country: US
• Employees: 3,507
• Sector: Communication Services
• Sector Strength: 97
• Industry: Advertising Agencies
• EPS (TTM): 1.31
• Shares Outstanding: 53,141,870
• 10 Day Avg. Volume: 572,179
• 30 Day Avg. Volume: 510,884
• PEG Ratio: 0.17
• Price to Book (P/B): 2.07
• Price to Sales (P/S): 1.12
• P/FCF Ratio: 12.04
• Enterprise Value/Market Cap: 1.06
• Enterprise Value/Revenue: 0.56
• Enterprise Value/Gross Profit: 1.04
• Enterprise Value/Ebitda: 3.15
• 1Y Price Target: $35.00
• Price Target Upside: 71.65% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 8
• EPS Forecast (FY): 4.68
• Revenue Forecast (FY): $1.17B

• Rating: 77 Outperform
• Price Target: $24.00 ▲(17.70% Upside)

Criteo SA's overall stock score reflects strong financial performance and positive earnings call insights, particularly in Retail Media growth and strategic partnerships. The stock's undervaluation adds appeal, though technical indicators suggest caution. Challenges in specific segments and the absence of a dividend yield are notable risks.

Positive Factors

Revenue Growth

The significant revenue growth indicates robust expansion and market demand for Criteo's services, supporting long-term business sustainability.

Retail Media Expansion

Strong growth in Retail Media demonstrates Criteo's ability to capitalize on digital advertising trends, enhancing its competitive position.

Strategic Partnerships

These partnerships are likely to expand Criteo's market reach and improve its service offerings, contributing to sustained competitive advantage.

Negative Factors

Challenges in Retail Media

Scope changes and client-specific challenges could impact revenue expectations, posing a risk to the stability of Retail Media growth.

Decline in Fashion Segment

A decline in the fashion segment may indicate sector-specific challenges, potentially affecting overall revenue diversification and growth.

Slower Ramp-Up with New Clients

Slower client onboarding can delay revenue realization and growth, impacting short-term financial performance and long-term client relationships.

Criteo SA Business Overview & Revenue Model

Company Description

Criteo SA (CRTO) is a global technology company specializing in digital advertising and marketing solutions. Founded in 2005 and headquartered in Paris, France, Criteo provides a suite of services that leverage data and advanced algorithms to deliver personalized ad experiences across various online platforms. The company primarily operates in the digital marketing sector, focusing on performance marketing, retargeting, and customer acquisition strategies for retailers and brands worldwide. Criteo's core products include its advertising platform, which enables advertisers to target consumers effectively by utilizing comprehensive data analytics and machine learning technology.

How the Company Makes Money

Criteo generates revenue primarily through its performance-based advertising model, where clients pay for ads based on the outcomes they achieve, such as clicks or conversions. Key revenue streams include the sale of advertising inventory across various digital channels, including desktop, mobile, and social media platforms. Criteo also earns revenue from its data-driven marketing solutions, which offer insights and analytics to help clients optimize their advertising campaigns. The company has significant partnerships with various retailers, e-commerce platforms, and publishers, allowing it to access a wide array of inventory and consumer data, enhancing its advertising effectiveness. Additionally, Criteo's innovative use of machine learning and AI in targeting and personalization contributes to its competitive edge and revenue growth.

Criteo SA Financial Statement Overview

Summary

Criteo SA exhibits strong financial performance with significant revenue growth and improved profitability metrics. The balance sheet is stable with low leverage, and cash flow generation is robust. However, attention to revenue consistency and asset management is necessary for sustained growth.

Income Statement

Criteo SA demonstrates strong financial performance with a notable improvement in gross profit margin and net profit margin over the TTM period. The company has achieved a significant revenue growth rate of 55.3% in the TTM, indicating robust expansion. EBIT and EBITDA margins have also improved, reflecting enhanced operational efficiency. However, past annual reports show fluctuations in revenue growth, which could pose a risk if not managed effectively.

Balance Sheet

The balance sheet of Criteo SA is stable, with a low debt-to-equity ratio of 0.096 in the TTM, indicating conservative leverage. The return on equity has improved to 15.7%, showcasing effective use of equity to generate profits. The equity ratio remains healthy, ensuring financial stability. However, the company should continue to monitor its asset management to maintain this stability.

Cash Flow

Criteo SA's cash flow statement reveals strong free cash flow growth of 45.2% in the TTM, highlighting efficient cash management. The operating cash flow to net income ratio is robust, indicating good cash conversion. The free cash flow to net income ratio above 1 suggests that the company generates more cash than its net income, which is a positive indicator of financial health. Nonetheless, maintaining this growth trajectory is crucial for future sustainability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.96B	1.93B	1.95B	2.02B	2.25B	2.07B
Gross Profit	1.05B	982.97M	863.04M	795.20M	781.94M	688.02M
EBITDA	347.47M	245.84M	154.60M	199.05M	247.02M	215.86M
Net Income	168.06M	111.57M	53.26M	8.95M	134.46M	71.68M
Balance Sheet
Total Assets	2.06B	2.27B	2.43B	2.35B	1.98B	1.85B
Cash, Cash Equivalents and Short-Term Investments	278.76M	316.94M	342.31M	398.30M	565.83M	488.01M
Total Debt	109.31M	107.02M	118.45M	108.83M	128.96M	132.90M
Total Liabilities	891.35M	1.19B	1.32B	1.27B	785.27M	700.72M
Stockholders Equity	1.13B	1.05B	1.08B	1.05B	1.16B	1.12B
Cash Flow
Free Cash Flow	222.94M	180.05M	131.75M	171.19M	165.93M	118.07M
Operating Cash Flow	320.00M	257.70M	224.25M	255.99M	220.91M	185.36M
Investing Cash Flow	-108.06M	-97.90M	-108.71M	-166.12M	-76.37M	-101.09M
Financing Cash Flow	-230.53M	-270.50M	-147.25M	-113.04M	-80.12M	-57.75M

Criteo SA Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 20.39
• 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 CRTO, the sentiment is Neutral. The current price of 20.39 is above the 20-day moving average (MA) of 20.13, below the 50-day MA of 20.68, and below the 200-day MA of 25.03, indicating a neutral trend. The MACD of -0.17 indicates Negative momentum. The RSI at 50.25 is Neutral, neither overbought nor oversold. The STOCH value of 22.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for CRTO.

Criteo SA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IAS	78 Outperform	$1.74B	37.03	4.48%	―	15.51%	39.60%
CRTO	77 Outperform	$1.03B	6.85	15.37%	―	0.32%	69.78%
ZD	69 Neutral	$1.41B	14.06	6.26%	―	5.70%	97.88%
MGNI	68 Neutral	$2.36B	43.77	7.56%	―	6.27%	226.16%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
ADV	41 Neutral	$293.42M	-1.12	-29.47%	―	-7.12%	-7.75%
VSME	31 Underperform	$4.41M	-1.05	-194.72%	―	-11.51%	74.52%

Criteo SA Corporate Events

Criteo SA Announces New Chief Customer Officer

On October 29, 2025, Criteo S.A. announced the appointment of Edouard Dinichert as Chief Customer Officer, effective December 1, 2025, and reported strong financial results for the third quarter of 2025. The company also revealed plans to transfer its legal domicile from France to Luxembourg and list its ordinary shares on Nasdaq, aiming to complete this transition by the third quarter of 2026, pending shareholder approval. These strategic moves, including a 2% increase in revenue and a significant rise in net income, underscore Criteo’s commitment to innovation and expanding its market influence, potentially enhancing shareholder value and operational efficiency.