(CXDO) Crexendo - Overview
Sector: Communication Services | Industry: Telecom Services | Exchange: NASDAQ (USA) | Market Cap: 310m USD | Total Return: 68.7% in 12m
Industry Rotation: +5.6
Avg Turnover: 3.64M
EPS Trend: 61.7%
Qual. Beats: 1
Rev. Trend: 98.6%
Qual. Beats: 1
Warnings
Earnings expected to drop: P/E 68.4 → Forward 196.1
Altman Z'' -6.85 < 1.0 - financial distress zone
Choppy
Tailwinds
Leader, Confidence
Crexendo, Inc. (CXDO) is a cloud communications provider specializing in Unified Communications as a Service (UCaaS) and platform software for domestic and international business markets. The company operates through two primary segments: Cloud Telecommunications Services and Software Solutions. Its core offerings include the SNAPsolution platform, which integrates hosted Private Branch Exchange (PBX), video conferencing, and contact center capabilities into a single IP-based infrastructure.
The business model relies on a mix of recurring subscription revenue from software-as-a-service (SaaS) licenses and hardware sales or leases of telecommunications equipment. In the UCaaS sector, companies like Crexendo benefit from the structural shift away from legacy on-premise hardware toward scalable, cloud-native collaboration tools. This transition allows small and mid-sized enterprises to access enterprise-grade communication features without significant upfront capital expenditures.
To better understand how this small-cap firm compares to its industry peers, consider reviewing the detailed performance metrics available on ValueRay. Founded in 1995 and headquartered in Tempe, Arizona, the firm also provides professional services such as network design, installation, and technical support to ensure platform integration.
- Software Solutions segment scales as licensee seat count exceeds 4.5 million
- High-margin recurring revenue growth drives sustained positive GAAP net income
- Strategic acquisitions expand UCaaS market share and platform feature capabilities
- Cloud Telecommunications segment benefits from legacy hardware-to-software migration trends
| Net Income: 4.48m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.11 > 0.02 and ΔFCF/TA -0.32 > 1.0 |
| NWC/Revenue: 3.22% < 20% (prev 30.40%; Δ -27.18% < -1%) |
| CFO/TA 0.11 > 3% & CFO 10.1m > Net Income 4.48m |
| Net Debt (-5.32m) to EBITDA (9.14m): -0.58 < 3 |
| Current Ratio: 1.14 > 1.5 & < 3 |
| Outstanding Shares: last quarter (32.7m) vs 12m ago 5.12% < -2% |
| Gross Margin: 64.46% > 18% (prev 0.63%; Δ 6.38k% > 0.5%) |
| Asset Turnover: 91.75% > 50% (prev 92.82%; Δ -1.07% > 0%) |
| Interest Coverage Ratio: 544.5 > 6 (EBITDA TTM 9.14m / Interest Expense TTM 10.0k) |
| A: 0.03 (Total Current Assets 19.1m - Total Current Liabilities 16.8m) / Total Assets 91.3m |
| B: -0.89 (Retained Earnings -81.1m / Total Assets 91.3m) |
| C: 0.07 (EBIT TTM 5.45m / Avg Total Assets 79.4m) |
| D: -4.36 (Book Value of Equity -80.9m / Total Liabilities 18.6m) |
| Altman-Z'' = -6.85 = D |
| DSRI: 1.53 (Receivables 9.35m/5.24m, Revenue 72.8m/62.6m) |
| GMI: 0.97 (GM 64.46% / 62.56%) |
| AQI: 1.47 (AQ_t 0.78 / AQ_t-1 0.53) |
| SGI: 1.16 (Revenue 72.8m / 62.6m) |
| TATA: -0.06 (NI 4.48m - CFO 10.1m) / TA 91.3m) |
| Beneish M = -2.28 (Cap -4..+1) = BBB |
Over the past week, the price has changed by -0.21%, over one month by +45.90%, over three months by +71.43% and over the past year by +68.72%.
- StrongBuy: 6
- Buy: 0
- Hold: 0
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 11.2 | 16.4% |
P/E Forward = 196.0784
P/S = 4.2615
P/B = 4.2842
Revenue TTM = 72.8m USD
EBIT TTM = 5.45m USD
EBITDA TTM = 9.14m USD
Long Term Debt = 400k USD (estimated: total debt 1.02m - short term 624k)
Short Term Debt = 624k USD (from shortTermDebt, last quarter)
Debt = 1.93m USD (from shortLongTermDebtTotal, last quarter) + Leases 905k
Net Debt = -5.32m USD (calculated: Debt 1.93m - CCE 7.25m)
Enterprise Value = 305.0m USD (310.3m + Debt 1.93m - CCE 7.25m)
Interest Coverage Ratio = 544.5 (Ebit TTM 5.45m / Interest Expense TTM 10.0k)
EV/FCF = 30.26x (Enterprise Value 305.0m / FCF TTM 10.1m)
FCF Yield = 3.30% (FCF TTM 10.1m / Enterprise Value 305.0m)
FCF Margin = 13.84% (FCF TTM 10.1m / Revenue TTM 72.8m)
Net Margin = 6.15% (Net Income TTM 4.48m / Revenue TTM 72.8m)
Gross Margin = 64.46% ((Revenue TTM 72.8m - Cost of Revenue TTM 25.9m) / Revenue TTM)
Gross Margin QoQ = 56.50% (prev 60.38%)
Tobins Q-Ratio = 3.34 (Enterprise Value 305.0m / Total Assets 91.3m)
Interest Expense / Debt = 0.52% (Interest Expense 10.0k / Debt 1.93m)
Taxrate = 4.78% (29.0k / 607k)
NOPAT = 5.18m (EBIT 5.45m * (1 - 4.78%))
Current Ratio = 1.14 (Total Current Assets 19.1m / Total Current Liabilities 16.8m)
Debt / Equity = 0.03 (Debt 1.93m / totalStockholderEquity, last quarter 72.7m)
Debt / EBITDA = -0.58 (Net Debt -5.32m / EBITDA 9.14m)
Debt / FCF = -0.53 (Net Debt -5.32m / FCF TTM 10.1m)
Total Stockholder Equity = 64.0m (last 4 quarters mean from totalStockholderEquity)
RoA = 5.64% (Net Income 4.48m / Total Assets 91.3m)
RoE = 3.08% (Net Income TTM 4.48m / Total Stockholder Equity 145.2m)
RoCE = 3.74% (EBIT 5.45m / Capital Employed (Equity 145.2m + L.T.Debt 400k))
RoIC = 7.64% (NOPAT 5.18m / Invested Capital 67.9m)
WACC = 12.42% (E(310.3m)/V(312.3m) * Re(12.49%) + D(1.93m)/V(312.3m) * Rd(0.52%) * (1-Tc(0.05)))
Discount Rate = 12.49% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 86.67 | Cagr: 9.20%
[DCF] Terminal Value 68.54% ; FCFF base≈9.11m ; Y1≈11.2m ; Y5≈19.2m
[DCF] Fair Price = 5.42 (EV 170.5m - Net Debt -5.32m = Equity 175.8m / Shares 32.4m; r=12.42% [WACC]; 5y FCF grow 25.0% → 3.0% )
EPS Correlation: 61.66 | EPS CAGR: 11.53% | SUE: 1.25 | # QB: 1
Revenue Correlation: 98.63 | Revenue CAGR: 15.79% | SUE: 4.0 | # QB: 1
EPS current Quarter (2026-06-30): EPS=0.10 | Chg30d=+12.44% | Revisions=N/A | Analysts=6
EPS next Quarter (2026-09-30): EPS=0.11 | Chg30d=+6.89% | Revisions=N/A | Analysts=6
EPS current Year (2026-12-31): EPS=0.42 | Chg30d=+13.36% | Revisions=+20% | GrowthEPS=+17.1% | GrowthRev=+44.3%
EPS next Year (2027-12-31): EPS=0.52 | Chg30d=+18.47% | Revisions=+20% | GrowthEPS=+22.9% | GrowthRev=+13.8%
[Analyst] Revisions Ratio: +20%