Craig-Hallum bullish on Creative Realities, initiates with a Buy

As previously reported, Craig-Hallum analyst Jason Kreyer initiated coverage of Creative Realities with a Buy rating and $10 price target as it believes the firm is “facilitating a technology revolution to an industry that time forgot.” While the company boasts nearly a $110M sales pipeline with a 300K screen footprint, the inflection point is ahead, says the firm. Craig-Hallum believes CRI is capable of delivering 1M screens in the next four years, suggesting $100M in ARR, even assuming degradation in ARPU. At that run-rate, the firm expects Creative Realities can deliver greater than $30M in EBITDA. At just 10-times EBITDA, this indicates a $30 stock opportunity, it adds.