| Valuation method | Value, $ | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 583.01 | 17408 |
| Intrinsic value (DCF) | 2.20 | -34 |
| Graham-Dodd Method | n/a | |
| Graham Formula | n/a |
Creative Realities, Inc. (NASDAQ: CREX) is a leading provider of digital marketing technology and solutions, specializing in retail, enterprise, and organizational engagement. The company offers a comprehensive suite of digital merchandising and omni-channel customer engagement systems, including interactive shopping assistants, kiosks, and integrated marketing technologies like mobile, social media, and beaconing. Headquartered in Louisville, Kentucky, CREX serves diverse industries such as automotive, apparel, banking, CPG, and quick-service restaurants. Its solutions combine hardware, software, and professional services to enhance consumer interactions and drive sales. Operating in the competitive Software - Application sector, CREX leverages its expertise in digital out-of-home (DOOH) and retail media to differentiate itself. Despite its niche focus, the company faces challenges from larger tech players and evolving consumer trends. With a market cap of ~$33.5M, CREX remains a small-cap contender in the digital engagement space.
Creative Realities presents a high-risk, high-reward opportunity in the digital marketing technology sector. The company operates in a growing niche (DOOH and retail engagement) but remains unprofitable, with a net loss of $3.5M in its latest fiscal year. Positives include $50.8M in revenue and positive operating cash flow ($3.4M), suggesting potential scalability. However, its small market cap (~$33.5M) and high beta (1.02) indicate volatility and liquidity risks. The lack of dividends and $13.9M in total debt further weigh on its appeal. Investors should monitor its ability to achieve sustained profitability and compete against larger SaaS and digital signage providers.
Creative Realities competes in the fragmented digital signage and retail engagement software market. Its primary competitive advantage lies in its vertical-specific solutions (e.g., automotive, QSR) and integrated hardware-software offerings, which larger SaaS providers often lack. However, CREX faces intense competition from both niche players and broad-based tech firms. Its small scale limits R&D spending compared to giants like Adobe or Salesforce, which offer overlapping marketing tools. CREX’s focus on physical retail differentiates it from pure-play digital ad tech firms, but this also exposes it to cyclical retail spending. The company’s partnerships with hardware vendors and customized workflows provide some defensibility, but its ~$33.5M market cap leaves it vulnerable to consolidation. Success hinges on expanding its SaaS revenue (e.g., media management platforms) to improve margins and reduce reliance on one-time hardware sales.