Cricut, Inc. (CRCT)
NASDAQInformation TechnologyComputer HardwareSnapshot 2026-09-09
$5.43-0.37%
Close 2026-09-09 · 1-day change
NASDAQInformation TechnologyComputer HardwareSnapshot 2026-09-09
Intact: The reason to own it still holds.
Cricut keeps making money every quarter. It generated $26.85M cash from operations in Q1 2026. Net income was $20.32M in the same quarter. The stock trades cheap with a PE of 12.4 versus peers at 43.
Revenue is expected to decline slightly by about 1% next year. Profit growth is slow with EPS guidance low at $0.35 for 2026. The company faces elevated risk and weak analyst sentiment.
The price is about 51% below our fair value near $9. Analysts expect about -1% revenue growth. Our view is aligned that growth will be weak but the valuation is cheap.
Breaks if: EPS guidance falls below $0.35 for FY26
Breaks if: cash flow from operations turns negative in any quarter in FY26
This is not a price target or investment advice.
A long-form read on the 1–3 year hold thesis. It updates when the weekly evidence changes.
This investment represents a durable compounder with a focus on growth and profitability. The current thesis state is intact, supported by strong recent financial results and management's commitment to key priorities.
The market currently prices CRCT as cheap compared to its peers, with an expectations gap indicating that the stock is not overly optimistic. The valuation suggests that investors may not be fully factoring in the company's recent strong performance.
Fundamentals are likely to remain strong, as management is on track with priorities like growing platform revenue and maintaining profitability. Recent financial performance shows positive trends, though there is an elevated risk due to the company's smaller size.
The thesis hinges on several factors, including management's ability to meet guidance, potential interest rate cuts by the Fed, and the performance of sector leaders like DELL and SNDK. Any cuts to guidance could negatively impact sentiment.
The most important moves since the prior daily snapshot.
Valuation rose by 12.1 points (from 68.2 to 80.3).
Yes, our read has strengthened. The latest earnings beat supports this improved outlook. There are no new threats impacting the thesis at this time.
as of 2026-09-09
Review the evidence to watch, what would become a concern, and what would make it less concerning.
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
Management aims to generate positive cash flow from operations each quarter in 2026.
Breaks if: net income turns negative in any quarter in FY26
Breaks if: PE rises above 20 without earnings growth
Overall, CRCT appears to be in a solid position for the next 1-3 years, but investors should monitor key developments closely. Not investment advice.