Crescita Therpeutc (CTX) AI Stock Analysis

• Market Cap: C$9.88M
• Dividend Yield: N/A
• Average Volume (3M): 17.50K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.24
• Revenue Growth: 1.14%
• EPS Growth: -36.66%
• Country: CA
• Employees: 80
• Sector: Healthcare
• Sector Strength: 38
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): -0.05
• Shares Outstanding: 19,005,491
• 10 Day Avg. Volume: 10,413
• 30 Day Avg. Volume: 17,500
• PEG Ratio: -0.58
• Price to Book (P/B): 0.66
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -13.77
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

Crescita Therapeutics faces significant challenges with declining revenues and profitability, which impact its stock score. While the balance sheet is strong with low financial leverage, the overall financial performance is mixed. Technical analysis suggests a neutral to slightly bearish trend, and valuation is unattractive due to a negative P/E ratio. These factors contribute to a relatively low overall score.

Crescita Therpeutc Business Overview & Revenue Model

Company Description

Crescita Therapeutics Inc. (CTX) is a Canadian commercial dermatology company that operates in the pharmaceutical and healthcare sectors. The company is focused on the development and commercialization of topical dermatology treatments, offering a range of prescription and over-the-counter skin care products. Crescita Therapeutics leverages its patented transdermal delivery technologies to enhance the efficacy and safety of its dermatological solutions.

How the Company Makes Money

Crescita Therapeutics Inc. generates revenue through multiple streams, primarily from the sale of its dermatological products in both prescription and over-the-counter markets. The company also earns income through licensing agreements and partnerships, where it licenses its patented transdermal delivery technologies and formulations to other pharmaceutical companies. Additionally, Crescita benefits from contract manufacturing services, producing dermatological products for third parties. Key factors contributing to its earnings include its proprietary technologies, strategic collaborations, and the expanding market for skincare solutions.

Crescita Therpeutc Financial Statement Overview

Summary

Crescita Therapeutic faces significant financial challenges, particularly in terms of profitability and revenue growth. While the balance sheet is stable with low leverage, negative profitability metrics weigh down the overall financial health. Improvements in operational efficiency and profitability are needed.

Income Statement

Crescita Therapeutic's income statement indicates a decline in revenue and profitability. The TTM (Trailing-Twelve-Months) revenue fell slightly compared to the previous year, and the company has experienced negative EBIT and net income margins, suggesting ongoing operational challenges. The revenue growth rate is negative, reflecting a contraction from prior periods.

Balance Sheet

The balance sheet reflects a moderate level of stability with a healthy equity base. Although the debt-to-equity ratio is low, indicating conservative leverage, the return on equity is negative due to recent losses. Despite this, the company maintains a strong equity ratio, highlighting a solid asset base relative to liabilities.

Cash Flow

The cash flow analysis shows a mixed picture. Operating cash flow remains positive, which is a good sign of operational cash generation. However, the free cash flow is negative in the TTM, indicating that capital expenditures may exceed operating cash flow. This could signal potential liquidity challenges if sustained.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
17.40M	17.52M	23.52M	16.77M	15.64M	22.34M
	Gross Profit
8.91M	10.36M	13.18M	10.01M	11.27M	16.54M
	EBIT
-3.06M	-1.96M	732.00K	-529.00K	2.51M	3.97M
	EBITDA
-1.26M	45.00K	2.09M	598.00K	2.26M	5.59M
	Net Income Common Stockholders
-2.74M	-1.99M	862.00K	-1.10M	37.00K	1.85M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
8.59M	9.38M	8.24M	11.33M	14.28M	9.27M
	Total Assets
27.57M	24.60M	28.48M	28.92M	26.83M	26.84M
	Total Debt
4.41M	1.25M	1.61M	2.87M	1.23M	1.55M
	Net Debt
-4.18M	-8.13M	-6.63M	-8.46M	-13.05M	-7.72M
	Total Liabilities
8.56M	5.78M	7.39M	8.40M	5.70M	5.73M
	Stockholders Equity
19.01M	18.82M	21.10M	20.53M	21.13M	21.11M
Cash Flow		Free Cash Flow
-761.00K	1.94M	-1.25M	-1.94M	5.55M	5.09M
	Operating Cash Flow
1.09M	2.08M	-1.02M	-1.60M	5.61M	5.31M
	Investing Cash Flow
-1.77M	-133.00K	-290.00K	-846.00K	-59.00K	-215.00K
	Financing Cash Flow
-879.00K	-782.00K	-1.85M	-500.00K	-476.00K	-4.39M

Crescita Therpeutc Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.52
• 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 TSE:CTX, the sentiment is Negative. The current price of 0.52 is below the 20-day moving average (MA) of 0.56, below the 50-day MA of 0.56, and below the 200-day MA of 0.59, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 33.61 is Neutral, neither overbought nor oversold. The STOCH value of 4.17 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:CTX.

Crescita Therpeutc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	52 Neutral	$5.04B	3.15	-44.58%	2.85%	16.08%	-0.27%
MPH	52 Neutral	C$9.08M	―	-5.11%	―	0.98%	-13.31%
CTX	51 Neutral	C$9.88M	―	-18.52%	―	1.14%	-36.66%
RVV	46 Neutral	C$10.46M	―	-66.49%	―	―	-4.84%
MVMD	35 Underperform	C$8.81M	―	-44.58%	―	-48.33%	47.56%
AQS	21 Underperform	C$663.17K	―	43.02%	―	129.21%	26.79%

Crescita Therpeutc Corporate Events

Crescita Therapeutics Reports Decline in Q1 2025 Financial Results

Crescita Therapeutics reported a decline in its financial performance for the first quarter of 2025, with revenue dropping to $3,537,000 from $4,996,000 in the same period the previous year. The decrease was attributed to the timing of order fulfillment in the Manufacturing segment. Despite the current downturn, the company anticipates improved performance in upcoming quarters due to larger scheduled orders. Crescita is maintaining a disciplined approach to capital deployment, balancing growth investments with financial stability.

Spark’s Take on TSE:CTX Stock

According to Spark, TipRanks’ AI Analyst, TSE:CTX is a Neutral.

Crescita Therapeutics faces significant challenges with declining revenues and profitability, which impact its stock score. While the balance sheet is strong with low financial leverage, the overall financial performance is mixed. Technical analysis suggests a neutral to slightly bearish trend, and valuation is unattractive due to a negative P/E ratio. These factors contribute to a relatively low overall score.

To see Spark’s full report on TSE:CTX stock, click here.

Crescita Therapeutics Reports 2024 Financial Results and Strategic Developments

Crescita Therapeutics reported its financial results for Q4 and fiscal year 2024, highlighting a revenue increase but a net loss due to higher operating expenses. Despite financial challenges, the company made strategic moves such as acquiring Aquafolia, securing a U.S. distribution agreement for Pliaglis, and amending a supply agreement with a major client, which are expected to enhance future profitability and market presence.