Reviewing Creative Realities (NASDAQ:CREX) & Nexxen International (NASDAQ:NEXN)

Nexxen International (NASDAQ:NEXN) and Creative Realities (NASDAQ:CREX) are both small-cap communication services companies, but which is the superior investment? We will compare the two companies based on the strength of their profitability, dividends, risk, institutional ownership, valuation, analyst recommendations and earnings.

Valuation and Earnings

This table compares Nexxen International and Creative Realities”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Nexxen International	$364.78 million	1.38	$25.04 million	$0.22	40.27
Creative Realities	$57.23 million	0.51	-$8.28 million	($2.11)	-1.02

Nexxen International has higher revenue and earnings than Creative Realities. Creative Realities is trading at a lower price-to-earnings ratio than Nexxen International, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Nexxen International and Creative Realities’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Nexxen International	3.41%	7.03%	4.38%
Creative Realities	-29.29%	-88.21%	-13.51%

Volatility & Risk

Nexxen International has a beta of 1.61, indicating that its share price is 61% more volatile than the S&P 500. Comparatively, Creative Realities has a beta of 1.52, indicating that its share price is 52% more volatile than the S&P 500.

Insider & Institutional Ownership

54.2% of Nexxen International shares are owned by institutional investors. Comparatively, 41.3% of Creative Realities shares are owned by institutional investors. 26.8% of Creative Realities shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Nexxen International and Creative Realities, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Nexxen International	0	2	9	0	2.82
Creative Realities	1	1	2	0	2.25

Nexxen International presently has a consensus target price of $12.89, indicating a potential upside of 45.47%. Creative Realities has a consensus target price of $8.00, indicating a potential upside of 272.09%. Given Creative Realities’ higher probable upside, analysts clearly believe Creative Realities is more favorable than Nexxen International.

Summary

Nexxen International beats Creative Realities on 12 of the 14 factors compared between the two stocks.

About Nexxen International

Tremor International Ltd provides end-to-end software platform that enables advertisers to reach relevant audiences and publishers. The company's demand side platform (DSP) offers full-service and self-managed marketplace access to advertisers and agencies to execute their digital marketing campaigns in real time across various ad formats. Its sell supply side platform (SSP) provides access to data and a comprehensive product suite to drive inventory management and revenue optimization. The company also offers data management platform solution, which integrates DSP and SSP solutions enabling advertisers and publishers to use data from various sources in order to optimize results of their advertising campaigns. It serves ad buyers, advertisers, brands, agencies, and digital publishers in Israel, the United States, the Asia-Pacific, Europe, the Middle East, and Africa. The company was formerly known as Taptica International Ltd. and changed its name to Tremor International Ltd in September 2015. Tremor International Ltd was incorporated in 2007 and is headquartered in Tel Aviv-Yafo, Israel.

About Creative Realities

Creative Realities, Inc., together with its subsidiaries, provides digital marketing technology and solutions in the United States and internationally. It offers digital signage and media solutions to enhance communications in a wide-ranging variety of out-of-home environments. The company’s solutions include digital merchandising systems and omni-channel customer engagement systems; interactive digital shopping assistants; advisors and kiosks; and other interactive marketing technologies, such as mobile, social media, point-of-sale transactions, beaconing, and web-based media that enables its customers to engage with their consumers. It also provides hardware system design/engineering, hardware installation, content development, content scheduling, post-deployment network and field support, and media sales, as well as media management and distribution software platforms and networks; device and product management; and customized software service layers, systems, experiences, workflows, and integrated solutions. The company sells its solutions to the automotive, retail, digital out of home comprising advertising networks and retail media networks, foodservice/quick-serve restaurants, financial services, gaming, and sports and entertainment venues. Creative Realities, Inc. is headquartered in Louisville, Kentucky.