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CXApp (CXAI)
NASDAQ:CXAI
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CXApp (CXAI) AI Stock Analysis

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CXAI

CXApp

(NASDAQ:CXAI)

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Neutral 47 (OpenAI - 4o)
Rating:47Neutral
Price Target:
$1.00
▲(38.89% Upside)
The overall stock score is primarily impacted by the company's weak financial performance and valuation, which are significant risks. However, positive sentiment from the earnings call, highlighting strategic partnerships and product adoption, provides some optimism. Technical indicators suggest bearish momentum, further weighing on the score.
Positive Factors
Strategic Partnerships
The partnership with Google Cloud enhances CXApp's AI capabilities, providing a competitive edge in workplace solutions and driving innovation.
Product Adoption
High product adoption and deployment of advanced analytics improve client retention and operational efficiency, supporting long-term growth.
Recurring Revenue Model
A high percentage of subscription revenue ensures a steady income stream, enhancing financial stability and predictability.
Negative Factors
Declining Revenue
Declining revenue indicates challenges in market expansion and competitive positioning, potentially impacting long-term financial health.
Negative Cash Flow
Negative cash flow highlights sustainability concerns, as the company relies on external financing, which may not be viable long-term.
Operating Expenses
Rising operating expenses, while supporting innovation, strain profitability and may hinder financial recovery if not matched by revenue growth.

CXApp (CXAI) vs. SPDR S&P 500 ETF (SPY)

CXApp Business Overview & Revenue Model

Company DescriptionCXApp (CXAI) is a technology company specializing in workplace experience solutions designed to enhance employee engagement and productivity. Operating in the software and services sector, the company offers a comprehensive platform that integrates various workplace applications, including employee communication tools, meeting room booking systems, and event management solutions. CXApp aims to streamline office operations and foster a connected workplace environment through innovative digital experiences.
How the Company Makes MoneyCXApp generates revenue primarily through subscription-based pricing models for its software-as-a-service (SaaS) platform. Companies pay recurring fees based on the number of users and the specific features they wish to access, ensuring a steady income stream for CXApp. Additionally, CXApp may earn revenue through professional services such as implementation, customization, and support, allowing clients to optimize the use of their platform. Strategic partnerships with other technology providers and enterprise clients also contribute to its revenue, enabling CXApp to expand its market reach and enhance product offerings.

CXApp Earnings Call Summary

Earnings Call Date:Aug 12, 2025
(Q2-2025)
|
% Change Since: |
Next Earnings Date:Nov 18, 2025
Earnings Call Sentiment Positive
The earnings call highlighted significant growth in product adoption, strong financial performance, strategic partnerships, and innovative product features. However, increased operating expenses due to R&D investments were noted as a lowlight. Overall, the company's positive developments and strategic direction outweigh the challenges.
Q2-2025 Updates
Positive Updates
High Employee Engagement and Product Adoption
Two of the largest customers renewed and expanded their adoption of CXAI products, with over 150% usage at some sites, driven by return-to-office mandates and ease of use.
Strong Financial Performance
ARR expansion with large Fortune 1000 renewals, subscription revenue increased to 96% of total revenue from 87% last year, and gross margin improved to 86% from 80%.
Strategic Partnerships and Product Development
Successful deployment of CXAI Kiosk, expansion of strategic partnership with Google Cloud, and a new patent granted for 3D mapping and augmented reality.
Innovative Product Features and Adoption
Deployment of new predictive models and analytics across clients, resulting in significant cost savings and productivity improvements.
Negative Updates
Increased Operating Expenses
Operating expenses increased due to R&D investments and expanded partnership with Google, resulting in a higher loss from operations.
Company Guidance
During the CXAI Second Quarter 2025 Earnings Call, the company provided detailed guidance and insights into its performance and strategic direction. Key metrics highlighted include a 96% subscription revenue as part of the total revenue, a gross margin improvement to 86% from 80%, and an EPS increase to negative $0.16 per share. CXAI reported significant ARR expansion, notably through renewals with two large Fortune 1000 clients. The company also emphasized its strong R&D investments, bolstered by its strategic partnership with Google, showcased through the use of Gemini for enhanced AI capabilities. CXAI's platform, bolstered by 39 patents, 19 of which are granted, is transforming workplace experiences, with deployments in over 200 cities across 50 countries. The company also highlighted its compliance credentials with ISO 27001 and SOC 2 certifications, and a noted increase in usage with a leading Fortune 50 client seeing over 150% usage at some sites. The call also included a discussion on strategic initiatives such as the deployment of the CXAI Kiosk and advancements in spatial intelligence and analytics, all aimed at enhancing employee experiences and driving operational efficiencies.

CXApp Financial Statement Overview

Summary
CXApp is facing significant financial challenges with declining revenues, substantial net losses, and negative cash flows. While the company maintains a manageable debt level, its lack of profitability and negative cash flow trends pose significant risks to financial stability.
Income Statement
40
Negative
CXApp's income statement reflects significant financial challenges. The company has seen declining revenues over the past two years, with a revenue growth rate of -3.04% from 2023 to 2024. Gross profit margin is relatively healthy at 81.98% for 2024, yet the net profit margin remains highly negative at -271.73%, indicating substantial net losses. EBIT and EBITDA margins are also negative, showcasing operational inefficiencies and high costs relative to revenue.
Balance Sheet
50
Neutral
The balance sheet shows a stable but weak financial position. The debt-to-equity ratio is 0.32 for 2024, indicating a manageable level of debt relative to equity. However, the return on equity is significantly negative at -124.49%, reflecting poor profitability. The equity ratio stands at 49.03%, suggesting a moderate level of equity financing relative to total assets, but the overall financial health is undermined by consistent losses.
Cash Flow
35
Negative
CXApp's cash flow statement indicates severe cash flow issues. The free cash flow growth rate is negative, and both the operating cash flow to net income ratio and the free cash flow to net income ratio are negative, highlighting that the company is not generating sufficient cash from operations to support its losses. The high reliance on financing activities for cash inflows underscores sustainability concerns.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue6.00M7.14M7.37M8.47M0.000.00
Gross Profit4.40M5.86M5.62M6.41M0.000.00
EBITDA-7.88M-10.54M-53.58M-18.67M9.21M-4.08M
Net Income-13.74M-19.41M-53.62M-29.18M9.21M-4.08M
Balance Sheet
Total Assets29.57M31.80M36.58M4.15M279.37M280.24M
Cash, Cash Equivalents and Short-Term Investments4.85M4.88M6.28M6.31M406.13K1.02M
Total Debt7.96M5.59M3.56M710.00K0.000.00
Total Liabilities15.26M16.21M11.18M3.95M21.70M9.87M
Stockholders Equity14.31M15.59M25.40M23.39M257.67M248.46M
Cash Flow
Free Cash Flow-8.77M-7.36M-17.98M-1.24M-595.32K-514.70K
Operating Cash Flow-8.76M-7.33M-17.91M-761.10K-595.32K-514.70K
Investing Cash Flow-45.00K-30.00K9.89M-482.00K0.00-278.76M
Financing Cash Flow7.49M5.98M16.51M20.73M-17.58K280.29M

CXApp Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.72
Price Trends
50DMA
0.84
Negative
100DMA
0.93
Negative
200DMA
1.17
Negative
Market Momentum
MACD
-0.02
Negative
RSI
45.75
Neutral
STOCH
36.70
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CXAI, the sentiment is Negative. The current price of 0.72 is below the 20-day moving average (MA) of 0.73, below the 50-day MA of 0.84, and below the 200-day MA of 1.17, indicating a neutral trend. The MACD of -0.02 indicates Negative momentum. The RSI at 45.75 is Neutral, neither overbought nor oversold. The STOCH value of 36.70 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CXAI.

CXApp Risk Analysis

CXApp disclosed 55 risk factors in its most recent earnings report. CXApp 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

CXApp Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
67
Neutral
55.50M226.799.18%
55
Neutral
54.49M-42.74-2.54%-36.35%-153.77%
47
Neutral
$17.82M-89.23%-15.10%74.63%
44
Neutral
22.04M-0.20-342.70%
41
Neutral
14.16M-0.72118.87%19.01%44.24%
28
Underperform
18.98M-0.2535.33%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
CXAI
CXApp
0.74
-0.94
-55.95%
NTWK
Netsol Technologies
4.74
1.89
66.32%
MTC
MMTec
0.87
-3.26
-78.93%
HKIT
Hitek Global
1.86
0.46
32.86%
CNTM
ConnectM Technology Solutions
0.26
-0.89
-77.39%
AIXI
Xiao-I Corp. ADR
1.33
-4.17
-75.82%

CXApp Corporate Events

Private Placements and FinancingRegulatory Filings and Compliance
CXApp Announces At The Market Offering Agreement
Neutral
Aug 11, 2025

On August 8, 2025, CXApp Inc. entered into an At The Market Offering Agreement with Maxim Group LLC, allowing the company to offer and sell shares of its Class A common stock up to $7,959,040. The proceeds from this offering are intended for working capital and general corporate purposes. Additionally, CXApp Inc. reached waiver agreements with Streeterville Capital, LLC and Avondale Capital, LLC concerning registration rights related to previous securities purchase agreements, facilitating the filing of a new registration statement with the SEC.

Legal ProceedingsRegulatory Filings and Compliance
CXApp Validates Incorporation Amendments Amid Clerical Error
Neutral
Aug 4, 2025

On August 4, 2025, CXApp Inc.’s Board of Directors filed a Certificate of Validation with the Delaware Secretary of State to ratify the Second Amended and Restated Certificate of Incorporation, which was not filed due to a clerical error on March 14, 2023. This filing retroactively validates all corporate actions taken since that date, including the issuance of Class C Common Stock, ensuring they are no longer void or voidable. The Certificate has been filed but awaits approval, and stockholders have been notified of the ratification process, with a deadline for any claims against the failure to file set for 120 days from August 4, 2025.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

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.Date of analysis: Aug 19, 2025