Criteo SA (CRTO) AI Stock Analysis

• Market Cap: $1.03B
• Dividend Yield: N/A
• Average Volume (3M): 458.93K
• Price to Earnings (P/E): 6.6
• Beta (1Y): 0.85
• 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: 406,354
• 30 Day Avg. Volume: 458,930
• 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: 3.14
• 1Y Price Target: $35.00
• Price Target Upside: 77.76% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 8
• EPS Forecast (FY): 4.54
• Revenue Forecast (FY): $1.17B

• Rating: 74 Outperform
• Price Target: $22.00 ▲(11.73% Upside)

Criteo's strong financial performance and positive earnings call are the primary drivers of its overall score. The stock's undervaluation adds to its appeal, although technical indicators suggest caution due to bearish momentum. Strategic growth in Retail Media and partnerships bolster the outlook, despite challenges in specific segments.

Positive Factors

Retail Media Growth

The significant growth in Retail Media indicates strong demand and effective market penetration, enhancing Criteo's competitive position in the digital advertising space.

Strategic Partnerships

These partnerships are likely to expand Criteo's market reach and enhance its service offerings, supporting long-term growth and innovation in its advertising solutions.

Cash Flow Generation

Strong cash flow growth underscores Criteo's ability to fund operations and strategic initiatives, providing financial flexibility and stability for future expansion.

Negative Factors

Challenges in Retail Media

Scope changes with key clients could impact revenue stability in Retail Media, posing a risk to maintaining consistent growth in this segment.

Decline in Fashion Segment

The decline in the fashion segment highlights potential vulnerabilities in specific verticals, which could affect overall revenue diversification and growth.

Slower Ramp-Up with New Clients

A slower ramp-up with new clients may delay expected revenue contributions, impacting short-term growth projections and requiring adjustments in client acquisition strategies.

Criteo SA Business Overview & Revenue Model

Company Description

Criteo S.A., a technology company, provides marketing and monetization services on the open Internet in North and South America, Europe, the Middle East, and Africa, and the Asia-Pacific. The company's Criteo Shopper Graph, which derives clients' proprietary commerce data, such as transaction activity on their digital properties. Its Criteo AI Engine solutions include lookalike finder, recommendation, and predictive bidding algorithms; bidding engine that executes campaigns based on certain objectives set by its clients; dynamic creative optimization+, which assembles customized creative advertising content by optimizing each individual creative component in the advertisement; software systems and processes, which enable data synchronization, storage, and analysis of distributed computing infrastructure in various geographies; and experimentation platform, an offline/online testing platform to enhance the capabilities and effectiveness of prediction models. The company also provides Criteo Marketing Solutions that allow commerce companies to address various marketing goals by engaging their consumers with personalized ads across the web, mobile, and offline store environments; and Criteo Retail Media solutions, which allows retailers to generate advertising revenues from consumer brands, and/or to drive sales for themselves, by monetizing their data and audiences through personalized ads, either on their own digital property or on the open Internet. In addition, it offers real-time access to advertising inventory through its publisher partners; consulting services to companies in distance sales; and business intelligence and analytics services. It serves companies in digital retail, travel, and classifieds industries. Criteo S.A. was incorporated in 2005 and is headquartered in Paris, France.

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, supporting operational and strategic initiatives. However, attention to revenue consistency and asset management is crucial for sustaining long-term 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	348.68M	245.84M	154.60M	137.83M	244.35M	215.86M
Net Income	170.35M	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	255.01M	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: Negative
• Last Price: 19.69
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CRTO, the sentiment is Negative. The current price of 19.69 is below the 20-day moving average (MA) of 21.19, below the 50-day MA of 21.20, and below the 200-day MA of 26.85, indicating a bearish trend. The MACD of -0.49 indicates Positive momentum. The RSI at 37.90 is Neutral, neither overbought nor oversold. The STOCH value of 18.98 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative 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	$1.73B	36.82	4.48%	―	15.51%	39.60%
CRTO	74 Outperform	$1.03B	6.61	15.37%	―	0.32%	69.78%
MGNI	68 Neutral	$2.11B	38.93	7.56%	―	6.27%	226.16%
STGW	65 Neutral	$1.35B	70.01	3.80%	―	6.76%	1841.46%
QNST	65 Neutral	$863.99M	191.84	4.55%	―	43.12%	―
ZD	62 Neutral	$1.31B	13.42	6.26%	―	5.70%	97.88%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%

Criteo SA Corporate Events

Criteo S.A. Reports Strong Q3 2025 Results

Criteo S.A. is a global platform that connects the commerce ecosystem for brands, agencies, retailers, and media owners, leveraging its AI-powered advertising platform to drive performance and growth in the digital commerce sector.

Criteo’s Earnings Call: Robust Growth Amid Challenges

Criteo’s recent earnings call painted a picture of robust financial health, underscored by strong growth in key areas such as Retail Media and Performance Media. The sentiment during the call was largely positive, driven by new product offerings and strategic partnerships. However, the company acknowledged challenges in specific segments, particularly in fashion and due to changes in Retail Media scope with certain clients.

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.

The most recent analyst rating on (CRTO) stock is a Buy with a $42.00 price target. To see the full list of analyst forecasts on Criteo SA stock, see the CRTO Stock Forecast page.

Criteo S.A. Reports Strong Q2 2025 Results

Criteo S.A. is a global platform that connects the commerce ecosystem, providing AI-powered advertising solutions for brands, agencies, retailers, and media owners. The company operates in the digital advertising industry, known for its unique access to over $1 trillion in annual commerce sales.

Criteo’s Earnings Call Highlights Growth Amid Challenges

Criteo’s recent earnings call painted a picture of robust growth and innovation, particularly in Retail Media and product launches, while also acknowledging challenges in the retail sector and broader macroeconomic uncertainties. The sentiment during the call was optimistic about the company’s strategic direction, despite some hurdles in the ad tech services and retail sectors.