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Creative Media & Community Trust Corporation (CMCT)
NASDAQ:CMCT
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Creative Media
(NASDAQ:CMCT)
47Neutral
Creative Media (CMCT) vs. S&P 500 (SPY)
Market Cap
$4.61M
Dividend Yield632.18%
Average Volume (3M)76.88K
Price to Earnings (P/E)―
Beta (1Y)1.62
Revenue Growth-1.62%
EPS Growth-19.71%
CountryUS
Employees5
SectorReal Estate
Sector Strength81
IndustryREIT - Office
Share Statistics
EPS (TTM)-20.73
Shares Outstanding754,607
10 Day Avg. Volume167,059
30 Day Avg. Volume76,875
Financial Highlights & Ratios
PEG Ratio<0.01
Price to Book (P/B)<0.01
Price to Sales (P/S)0.00
P/FCF Ratio-0.67
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
Creative Media Business Overview & Revenue Model
Company DescriptionCreative Media (CMCT) is a dynamic company operating in the media and entertainment sector, specializing in digital content production, distribution, and marketing solutions. The company provides a wide range of services including video production, graphic design, social media management, and digital advertising, catering to businesses seeking innovative ways to engage their audiences and enhance their brand presence.
How the Company Makes MoneyCreative Media makes money primarily through service fees charged for its digital content creation and marketing solutions. The company generates revenue by offering customized packages to businesses that include video production, graphic design, and social media management. Additionally, CMCT earns income from digital advertising campaigns managed on behalf of clients. Significant partnerships with advertising platforms and media agencies further contribute to its earnings, allowing the company to reach broader audiences and optimize its marketing strategies.
Creative Media Financial Statement Overview
Summary
Creative Media exhibits a mixed financial outlook with positive revenue growth and a solid equity position, but struggles with profitability and cash flow management. The absence of debt is a significant advantage, yet persistent net losses and negative free cash flow highlight challenges. Improving operational efficiency and profitability is crucial for future success.Income Statement
Creative Media's income statement shows a mixed performance. The gross profit margin is strong with 100% in 2024, but the company has been struggling with profitability, as evidenced by negative net income for several years. Revenue has shown growth, especially from 2020 to 2024, with a notable growth rate of 4.4% from 2023 to 2024. However, the negative EBITDA in 2024 indicates potential operational inefficiencies. Overall, while revenue growth is a positive sign, consistent net losses are a concern for financial health.45
Neutral
Balance Sheet
The balance sheet of Creative Media shows a strong equity position with a debt-to-equity ratio of 0 in 2024, indicating no debt burden. The equity ratio improved significantly from 2023 to 2024, reaching about 34.2%. This suggests a solid capital structure. However, the decline in stockholders' equity over the years raises concerns about value erosion. The company needs to focus on improving its net income to enhance shareholder value.60
Neutral
Cash Flow
The cash flow statement reveals mixed dynamics. While operating cash flow has been positive, free cash flow has fluctuated, turning negative in recent years, indicating potential issues with capital expenditure management. The operating cash flow to net income ratio is positive, suggesting operational efficiency, but the free cash flow to net income ratio is negative, reflecting challenges in generating excess cash flow after investments.50
Neutral
| Breakdown | ||||
| Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|
| Income Statement | Total Revenue | |||
| 124.51M | 119.26M | 101.91M | 90.93M | 77.21M | Gross Profit |
| 51.70M | -3.27M | 47.53M | 47.68M | 33.93M | EBIT |
| 0.00 | -15.81M | 16.90M | 11.70M | -4.04M | EBITDA |
| 39.65M | 37.54M | 37.25M | 30.62M | 17.36M | Net Income Common Stockholders |
| -25.18M | -48.48M | 5.92M | -851.00K | -15.02M |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | |||
| 20.26M | 19.29M | 46.19M | 22.31M | 33.64M | Total Assets |
| 889.55M | 891.20M | 690.25M | 660.87M | 685.62M | Total Debt |
| 505.73M | 471.56M | 184.27M | 201.15M | 324.31M | Net Debt |
| 485.47M | 452.27M | 138.08M | 178.83M | 290.68M | Total Liabilities |
| 562.49M | 514.43M | 312.52M | 249.53M | 361.67M | Stockholders Equity |
| 325.31M | 374.40M | 377.36M | 410.99M | 323.50M |
| Cash Flow | Free Cash Flow | |||
| -6.24M | -1.33M | 23.59M | 42.23M | -1.90M | Operating Cash Flow |
| 17.03M | 12.00M | 32.41M | 46.28M | 12.83M | Investing Cash Flow |
| -22.29M | -88.69M | -22.27M | -12.70M | -38.32M | Financing Cash Flow |
| 13.90M | 63.45M | 13.69M | -43.58M | 33.20M |
Creative Media Technical Analysis
Neutral
6.59
Price Trends
8.05
Negative
17.41
Negative
148.57
Negative
Market Momentum
-0.33
Negative
50.10
Neutral
57.83
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CMCT, the sentiment is Neutral. The current price of 6.59 is above the 20-day moving average (MA) of 5.59, below the 50-day MA of 8.05, and below the 200-day MA of 148.57, indicating a neutral trend. The MACD of -0.33 indicates Negative momentum. The RSI at 50.10 is Neutral, neither overbought nor oversold. The STOCH value of 57.83 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for CMCT.
Creative Media Risk Analysis
Creative Media disclosed 107 risk factors in its most recent earnings report. Creative Media reported the most risks in the “Finance & Corporate” category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Creative Media Peers Comparison
Overall Rating
UnderperformOutperform
Sector (60)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
60 Neutral | $2.81B | 11.04 | 0.20% | 8508.34% | 6.12% | -16.66% | |
52 Neutral | $154.31M | ― | -9.96% | 2.63% | -18.97% | -14.57% | |
51 Neutral | $110.66M | ― | -10.71% | 15.92% | -18.92% | -15.81% | |
47 Neutral | $4.61M | ― | -8.06% | 632.18% | -1.62% | -19.71% | |
42 Neutral | $20.01M | ― | -15.03% | 14.60% | -11.91% | -80.43% | |
40 Underperform | $29.32M | ― | -96.16% | ― | -6.57% | -26.04% |
* Real Estate Sector Average
Performance Comparison
CMCT
Creative Media
6.59
-149.21
-95.77%
FSP
Franklin Street Properties
1.52
-0.36
-19.15%
OPI
Office Properties Income
0.27
-1.93
-87.73%
NYC
New York City REIT
11.46
3.23
39.25%
ONL
Orion Office REIT
2.01
-1.40
-41.06%
Creative Media Earnings Call Summary
Earnings Call Date:May 09, 2025
(Q1-2025)
| % Change Since: 0.61%|
Next Earnings Date:Aug 07, 2025
Earnings Call Sentiment Neutral
The earnings call presented a mixed picture. While there were notable achievements such as the full repayment of the credit facility and an increase in hotel NOI, the company also faced challenges with declining multifamily and lending NOI, and negative core FFO. Office leasing activity showed some positive trends, but overall segment NOI decreased. The sentiment of the call can be considered balanced.Q1-2025 Updates
Positive Updates
Full Repayment of Credit Facility
The company has fully repaid and retired its recourse corporate level credit facility, which had a balance of approximately $169 million, demonstrating progress on strategic initiatives.
Increase in Hotel Net Operating Income
The Sheraton Grand Sacramento hotel reported a 15% increase in net operating income on a year-over-year basis, driven by increased occupancy and average daily rate.
Office Leasing Activity Improvement
Leasing activity picked up in Los Angeles and Austin, with approximately 30,000 square feet of leases executed in the quarter and an office lease percentage of 71.4%.
Completion of Financing Program
The company successfully completed a refinancing program in a challenging environment, securing a floating rate mortgage on its creative office campus, contributing to financial flexibility.
Negative Updates
Decrease in Multifamily Net Operating Income
Multifamily NOI decreased by $1.5 million from the prior quarter, primarily due to lower occupancy in seasonally slower winter months.
Decline in Lending Net Operating Income
Lending NOI declined approximately $390,000 due to a decrease in interest income from loan payoffs and lower interest rates.
Negative Core FFO
The company reported a negative core FFO of $5.1 million or negative $8.85 per diluted share, affected by reductions in segment NOI and increased interest expense.
Decrease in Overall Segment NOI
Segment NOI was $11.8 million in Q1 2025, down from $13.6 million in the prior year, with decreases driven by office, multifamily, and lending segment performances.
Company Guidance
In the first quarter of 2025, Creative Media & Community Trust Corporation focused on improving its financial stability and expanding its multifamily portfolio. The company successfully repaid and retired a $169 million recourse corporate credit facility and secured a floating rate mortgage on its Austin creative office campus. With 12 unencumbered assets, they aim to enhance financial flexibility. The multifamily portfolio now includes four operating assets, with a fifth set to launch in the third quarter, and there is potential for significant growth in net operating income through improved occupancy and rental rates. In terms of financial performance, the company's core FFO increased by $1.9 million from the prior quarter, driven by a $2.6 million rise in net operating income, primarily from the hotel segment, which saw a 15% year-over-year NOI increase. However, the multifamily segment's NOI decreased by $1.5 million, and the lending NOI dropped by $390,000 due to loan payoffs and lower interest rates. Additionally, the company executed new office leases totaling 30,000 square feet, with an office lease percentage of 71.4%.Creative Media Corporate Events
Private Placements and FinancingBusiness Operations and StrategyFinancial Disclosures
Creative Media Reports Q1 2025 Financial Results
Negative
May 9, 2025
Creative Media & Community Trust Corporation reported its first-quarter 2025 results, highlighting a net loss of $11.9 million and a strategic shift towards multifamily assets. The company executed significant leases in its office segment and completed property-level financing to retire a corporate credit facility, indicating a focus on strengthening its financial position and enhancing operational efficiency.
Spark’s Take on CMCT Stock
According to Spark, TipRanks’ AI Analyst, CMCT is a Neutral.
Creative Media’s overall stock score reflects a challenging financial and operational environment. While the company has shown progress in strategic debt reduction and equity strengthening, persistent profitability issues and negative cash flow weigh heavily on its prospects. Technical indicators also suggest a bearish trend. Valuation metrics further complicate the outlook, with a troubling P/E ratio and unsustainable dividend yield. Improvements in core FFO and strategic asset restructuring offer some hope for recovery, but significant challenges remain on the path to stability and growth.
To see Spark’s full report on CMCT stock, click here.
Private Placements and Financing
Creative Media Secures $35.5M Mortgage Loan
Neutral
Apr 9, 2025
On April 3, 2025, Creative Media & Community Trust Corporation secured a $35.5 million mortgage loan from Comerica Bank for its subsidiary, CIM Urban REIT Properties IX, L.P. The loan, secured by the Penn Field office campus in Austin, Texas, includes a $32 million initial advance for corporate purposes and debt repayment, and a $3.5 million future advance for tenant allowance costs. This new loan replaces the company’s previous credit agreement and features a floating interest rate with a three-year term, extendable by two years. The agreement includes customary guaranties and indemnities, reflecting standard industry practices.
Spark’s Take on CMCT Stock
According to Spark, TipRanks’ AI Analyst, CMCT is a Neutral.
Creative Media’s overall score reflects its mixed financial performance, with strengths in revenue growth and equity position offset by profitability and cash flow challenges. Technical indicators suggest a bearish trend, and valuation metrics highlight concerns about financial stability. The earnings call provides a mixed sentiment, with improvements in debt reduction countered by operational struggles.
To see Spark’s full report on CMCT stock, click here.
Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.