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CXDO Stock Analysis - Crexendo, Inc. AI Rating

CXDO Nasdaq Telephone Communications (No Radiotelephone) DE CIK: 0001075736
Recently Updated • Analysis: Mar 23, 2026 • SEC Data: 2025-12-31
AI Rating
BUY
72% Confidence

📊 CXDO Key Takeaways

Revenue: $68.2M
Net Margin: 7.4%
Free Cash Flow: $9.3M
Current Ratio: 3.40x
Debt/Equity: 0.00x
EPS: $0.16
AI Rating: BUY with 72% confidence

Investment Thesis

Crexendo demonstrates strong fundamental health with exceptional revenue growth, solid profitability metrics, and a fortress balance sheet with minimal debt and substantial cash reserves. The company generates positive free cash flow and maintains excellent liquidity, though the extraordinarily high revenue growth rate warrants verification of organic vs. acquisition-driven growth.

CXDO Strengths

  • + Exceptional revenue growth of 358,873.7% YoY indicates significant business expansion or major acquisition integration
  • + Strong balance sheet with $31.4M cash, minimal $114K long-term debt, and 0.00x debt-to-equity ratio providing financial flexibility
  • + Solid profitability with 7.4% net margin and positive free cash flow of $9.3M, demonstrating operational efficiency
  • + Excellent liquidity position with 3.40x current ratio and 3.36x quick ratio, well above healthy thresholds
  • + Strong interest coverage ratio of 4,690x indicates virtually no financial stress from debt obligations

CXDO Risks

  • ! Extreme revenue growth rate (358,873.7% YoY) is highly unusual and suggests either acquisition activity or data anomaly requiring clarification on organic growth
  • ! Net income remained essentially flat YoY despite massive revenue increase, raising concerns about margin sustainability and integration effectiveness
  • ! ROE of 7.9% and ROA of 6.5% are moderate, suggesting inefficient capital deployment relative to the asset base and shareholder equity
  • ! High insider trading activity with 31 Form 4 filings in 90 days may indicate informational asymmetry or opportunistic selling
  • ! Telephone communications sector faces structural headwinds from industry consolidation and technology disruption

Key Metrics to Watch

CXDO Financial Metrics

Revenue
$68.2M
Net Income
$5.1M
EPS (Diluted)
$0.16
Free Cash Flow
$9.3M
Total Assets
$77.7M
Cash Position
$31.4M

💡 AI Analyst Insight

Strong liquidity with a 3.40x current ratio provides a solid financial cushion.

CXDO Profitability Ratios

Gross Margin N/A
Operating Margin 6.9%
Net Margin 7.4%
ROE 7.9%
ROA 6.5%
FCF Margin 13.6%

CXDO vs Default Sector

How Crexendo, Inc. compares to Default sector averages

Net Margin
CXDO 7.4%
vs
Sector Avg 12.0%
CXDO Sector
ROE
CXDO 7.9%
vs
Sector Avg 15.0%
CXDO Sector
Current Ratio
CXDO 3.4x
vs
Sector Avg 1.8x
CXDO Sector
Debt/Equity
CXDO 0.0x
vs
Sector Avg 0.7x
CXDO Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

CXDO Balance Sheet & Liquidity

Current Ratio
3.40x
Quick Ratio
3.36x
Debt/Equity
0.00x
Debt/Assets
17.8%
Interest Coverage
4,690.00x
Long-term Debt
$114.0K

CXDO 5-Year Financial Trend

CXDO 5-year financial data: Year 2024: Revenue $16.2M, Net Income -$1.6M, EPS $-0.06. Year 2025: Revenue $18.1M, Net Income $434.0K, EPS $0.01.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Crexendo, Inc.'s revenue has grown significantly by 11% over the 5-year period, indicating strong business expansion. The most recent EPS of $0.01 reflects profitable operations.

CXDO Growth Metrics (YoY)

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
13.6%
Free cash flow / Revenue

CXDO Quarterly Performance

Quarterly financial performance data for Crexendo, Inc. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $15.6M $148.0K $0.00
Q2 2025 $14.7M $434.0K $0.02
Q1 2025 $14.3M $434.0K $0.01
Q3 2024 $13.9M $148.0K $0.00
Q2 2024 $12.7M $434.0K $-0.02
Q1 2024 $12.5M $434.0K $0.01
Q3 2023 $9.1M -$423.0K $-0.02
Q2 2023 $8.8M -$545.0K $-0.02

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

CXDO Capital Allocation

Operating Cash Flow
$9.3M
Cash generated from operations
Capital Expenditures
$18.0K
Investment in assets
Dividends
None
No dividend program

CXDO SEC Filings

Access official SEC EDGAR filings for Crexendo, Inc. (CIK: 0001075736)

📋 Recent SEC Filings

Date Form Document Action
Mar 13, 2026 4 xslF345X05/section16.xml View →
Mar 10, 2026 4 xslF345X05/section16.xml View →
Mar 10, 2026 4 xslF345X05/section16.xml View →
Mar 10, 2026 4 xslF345X05/section16.xml View →
Mar 6, 2026 4 xslF345X05/section16.xml View →

Frequently Asked Questions about CXDO

What is the AI rating for CXDO?

Crexendo, Inc. (CXDO) has an AI rating of BUY with 72% confidence, based on fundamental analysis of SEC EDGAR filings.

What are CXDO's key strengths?

Exceptional revenue growth of 358,873.7% YoY indicates significant business expansion or major acquisition integration. Strong balance sheet with $31.4M cash, minimal $114K long-term debt, and 0.00x debt-to-equity ratio providing financial flexibility.

What are the risks of investing in CXDO?

Extreme revenue growth rate (358,873.7% YoY) is highly unusual and suggests either acquisition activity or data anomaly requiring clarification on organic growth. Net income remained essentially flat YoY despite massive revenue increase, raising concerns about margin sustainability and integration effectiveness.

What is CXDO's revenue and growth?

Crexendo, Inc. reported revenue of $68.2M.

Does CXDO pay dividends?

Crexendo, Inc. does not currently pay dividends.

Where can I find CXDO SEC filings?

Official SEC filings for Crexendo, Inc. (CIK: 0001075736) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is CXDO's EPS?

Crexendo, Inc. has a diluted EPS of $0.16.

How is the AI analysis conducted?

Our AI (Claude) analyzes publicly available SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports to evaluate financial health, profitability ratios, balance sheet strength, and growth metrics.

Disclaimer: This analysis is generated by Claude AI based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Mar 23, 2026 | Data as of: 2025-12-31 | Powered by Claude AI