SOUTH JORDAN, Utah, Feb. 06, 2026 (GLOBE NEWSWIRE) -- Cricut®, Inc. (NASDAQ: CRCT) has introduced the next evolution of its heat press line, the Cricut EasyPress® SE, announced on Feb. 6, 2026. Designed to remove common pain points from the heat transfer process, Cricut EasyPress SE delivers a simplified, friction-free pressing experience while maintaining the quality and reliability that makers have come to expect from the Cricut brand. Trusted Performance and VersatilityEngineered for consistent, long-la ...

As part of our ongoing series at The Acquirer’s Multiple, we highlight stocks from our Stock Screeners that may represent mispriced opportunities relative to their underlying cash-generation ability.This week’s spotlight is Cricut, Inc. (CRCT) — a design-focused consumer hardware/software ecosystem business with recurring platform participation, positive operating profitability, and a valuation profile suggesting meaningful embedded value for patient investors.Business OverviewCricut designs and sells consu ...

If you like to see more ideas, please subscribe to the premium service "Value in Corporate Events" here and try the free trial. In this service we cover major earnings events, M&A, IPOs and other significant corporate events with actionable ideas. Furthermore, we provide coverage of situations and names on request!In the summer of 2023, I concluded that Cricut ( CRCT ) was more creative than appealing. A prime beneficiary of the pandemic was hit hard soon thereafter, yet the company maintained prudent finan ...

Core Viewpoint - The article discusses a selection of stocks with high dividend yields that are currently viewed unfavorably by Wall Street analysts, suggesting potential investment opportunities in these "hated" stocks. Group 1: Real Estate Investment Trusts (REITs) - National Storage Affiliates Trust (NSA) has a yield of 7.9% and operates 1,069 properties across 37 states and Puerto Rico, benefiting from a recession-resistant business model, although it is currently facing a 20% pullback in performance [3][4] - NSA's recent quarter showed declines in earnings, core FFO, same store net operating income, and occupancy, reflecting broader challenges in the self-storage sector rather than unique issues for NSA [3][4] - Alexander's (ALX) has an 8.5% yield and is highly concentrated, with 60% of its revenues coming from tenant Bloomberg. The company is in discussions for loan restructuring after failing to repay a $300 million loan [5][6] - Despite challenges, ALX has shown double-digit total returns in 2025, outperforming the broader real estate sector, but Wall Street remains skeptical due to dividend concerns [7] Group 2: Talent Solutions and Consulting - Robert Half (RHI) has a yield of 9.0% and operates in contract talent solutions, permanent placement, and consulting services. The company has seen its stock price drop 80% since its peak in 2022, leading to more Sell and Hold ratings than Buys [10][11] - The decline in RHI's stock is attributed to a post-COVID hiring moderation, with significant job losses reported, although the company believes the impact of AI on its business is overstated [12][13] - RHI's earnings are expected to drop by 45% this year, raising concerns about dividend coverage as the payout is projected to exceed earnings through at least the end of 2026 [14] Group 3: Crafting and Creativity Platform - Cricut (CRCT) boasts a high yield of 20.6% and operates as a creativity platform, offering machines and software for crafting. The company initiated a new semiannual dividend program despite declining profits [16][17] - The stock has seen a significant decline, leading to a yield increase above 20%, with analysts recommending selling the stock [19] - Despite a loyal user base and expected profit growth of over 20% in 2025, Cricut faces challenges with flat or declining revenues projected in the coming years, particularly if economic conditions affect holiday shopping [20][21]

Core Viewpoint - The article discusses four high dividend yield stocks, ranging from 7.9% to 20.6%, that are currently being overlooked by Wall Street analysts despite their potential for income generation [1][2]. Group 1: National Storage Affiliates Trust (NSA) - NSA is a self-storage REIT with a yield of 7.9%, operating 1,069 properties across 37 states and Puerto Rico, and is considered recession-resistant [3][4]. - The stock has experienced a 20% decline in 2025, attributed to lower earnings and occupancy rates, although similar trends are seen in competitors, indicating broader industry challenges [4][5]. - NSA's payout coverage is tightening, with expected earnings of $2.20 per share against a dividend payout of $2.28, leading to concerns about sustainability [5]. Group 2: Alexanders (ALX) - ALX, yielding 8.5%, is a concentrated landlord with significant reliance on a single tenant, Bloomberg, which accounts for 60% of its revenue [6][7]. - The company is facing financial difficulties, including a loan restructuring discussion after failing to repay a $300 million loan [7]. - Despite these issues, ALX has delivered double-digit total returns in 2025, outperforming the broader real estate sector [8]. Group 3: Robert Half (RHI) - RHI has a yield of 9.0% and operates in talent solutions and consulting, but its stock has plummeted 80% since its peak in 2022, leading to more Sell and Hold ratings than Buys [10][11]. - The company is facing challenges from AI's impact on job placements, although its CEO argues that the effects are overstated for experienced roles [14][15]. - RHI's dividend payout is projected to exceed earnings significantly, with expected profits dropping by 45% this year [15]. Group 4: Cricut (CRCT) - Cricut boasts a high yield of 20.6% and operates as a creativity platform, but its profitability is declining despite recent dividend commitments [17][18]. - The company has seen a significant drop in stock price, leading to a yield increase, yet analysts are pessimistic about its future growth prospects [19][20]. - Revenue projections indicate potential stagnation or decline, particularly if economic conditions affect holiday sales, which are crucial for the company [21].

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User Metrics - As of September 30, 2025, Cricut has 5.9 million Active Users, a slight decrease from 5.894 million in 2024[98] - The number of Paid Subscribers increased to 3.004 million as of September 30, 2025, up from 2.838 million in 2024, representing a growth of approximately 5.8%[108] Revenue Performance - Total revenue for Q3 2025 was $170.4 million, a 2% increase from $167.9 million in Q3 2024[125] - For the nine months ended September 30, 2025, total revenue was $505.2 million, a slight increase from $503.2 million in the same period of 2024[125] - Platform revenue increased by $5.1 million, or 7%, to $82.8 million in Q3 2025, driven by an increase in paid subscribers from 2.8 million to 3.0 million[126] - Products revenue decreased by $2.6 million, or 3%, to $87.7 million in Q3 2025, primarily due to fewer units sold at a lower average selling price[127] Profitability - Gross profit for Q3 2025 was $94.1 million, a 22% increase from $77.4 million in Q3 2024[130] - Total cost of revenue decreased by $14.2 million, or 16%, to $76.3 million in Q3 2025, contributing to improved gross margins[130] - Gross margin for Products improved to 23% in Q3 2025, up from 11% in Q3 2024, driven by reduced inventory impairment charges[135] - Operating income for Q3 2025 was $22.7 million, compared to $10.6 million in Q3 2024, indicating strong operational performance[124] - Net income for Q3 2025 was $20.5 million, compared to $11.5 million in Q3 2024, reflecting a significant year-over-year increase[124] Expenses - Research and development expenses are expected to increase in the near term as Cricut refines its product roadmaps[119] - Sales and marketing expenses increased by $2.2 million, or 6%, to $37.5 million for the three months ended September 30, 2025, driven by higher advertising and marketing costs[142] - For the nine months ended September 30, 2025, sales and marketing expenses rose by $8.4 million, or 8%, totaling $110.0 million, primarily due to a $7.8 million increase in advertising costs[143] - General and administrative expenses increased by $0.9 million, or 5%, to $17.1 million for the three months ended September 30, 2025, mainly due to higher professional services expenses[144] - For the nine months ended September 30, 2025, general and administrative expenses rose by $2.1 million, or 4%, to $52.6 million, driven by a $3.8 million increase in professional services expenses[145] - Research and development expenses increased by $1.6 million, or 11%, to $16.9 million in Q3 2025, representing 10% of total revenue[140] Cash Flow and Dividends - Net cash flows provided by operating activities were $117.8 million for the nine months ended September 30, 2025, compared to $161.9 million in 2024[154] - The company paid dividends of $202.1 million to holders of Class A and Class B common stock during the nine months ended September 30, 2025[152] - Cash and cash equivalents totaled $187.9 million, with $19.2 million in marketable securities as of September 30, 2025, along with $300.0 million in available borrowings[151] Market Conditions - The company faces potential impacts from global macroeconomic factors, including trade wars and tariffs, which may affect international expansion[103] - Future capital requirements may vary significantly based on revenue growth, R&D spending, and market conditions, with potential needs for additional equity or debt financing[153] Product Portfolio - Cricut's product portfolio includes connected machines priced between $179 and $999, catering to various user needs[104] Revenue Composition - Cricut generates revenue from both Platform (subscriptions and digital content) and Products (sales of connected machines and accessories)[115][116] Quarterly Performance - In 2024, the fourth quarter accounted for 29% of total annual revenue, with a gross margin of 45%, down from 50% for the entire year[103] - Sales and marketing expenses are anticipated to fluctuate in the near term as a percentage of revenue due to advertising and promotional activities[120] Other Income and Taxes - Other income, net decreased by $0.6 million, or 16%, to $3.0 million for the three months ended September 30, 2025, primarily due to a decrease in interest income[146] - Provision for income taxes increased by $2.4 million, or 91%, to $5.1 million for the three months ended September 30, 2025, attributed to an increase in pre-tax book income[149]

Core Insights - Cricut, Inc. reported quarterly earnings of $0.1 per share, exceeding the Zacks Consensus Estimate of $0.05 per share, marking a 100% earnings surprise [1] - The company achieved revenues of $170.44 million for the quarter ended September 2025, surpassing the Zacks Consensus Estimate by 7.91% and showing a year-over-year increase from $167.89 million [2] Earnings Performance - Cricut has surpassed consensus EPS estimates in all four of the last quarters, indicating strong earnings performance [2] - The company had an earnings surprise of +83.33% in the previous quarter, where it reported earnings of $0.11 per share against an expectation of $0.06 [1][2] Future Outlook - The current consensus EPS estimate for the upcoming quarter is $0.01 on revenues of $197.14 million, while for the current fiscal year, it is $0.28 on revenues of $689.83 million [7] - The earnings outlook and revisions will be crucial for understanding the stock's future performance [4][6] Industry Context - Cricut operates within the Zacks Technology Services industry, which is currently ranked in the top 35% of over 250 Zacks industries, suggesting a favorable industry environment [8] - The performance of Cricut's stock may be influenced by the overall outlook for the industry, as higher-ranked industries tend to outperform lower-ranked ones significantly [8]

Financial Data and Key Metrics Changes - Revenue for Q3 2025 was $170.4 million, a 2% increase year-on-year [16] - Operating income grew 114% to $22.7 million, representing 13.3% of revenue [21] - Earnings per share (EPS) doubled to $0.10 compared to $0.05 in Q3 2024 [22] - Paid subscribers increased by 6% year-on-year to just over 3 million [16][22] - Total gross margin improved to 55.2% from 46.1% in Q3 2024 [19] Business Line Data and Key Metrics Changes - Platform revenue was $82.8 million, up 7% year-on-year, driven by higher paid subscribers [16] - Revenue from products decreased by 3% year-on-year to $87.7 million [16] - Accessories and materials revenue decreased by 17% year-on-year [12][17] - Connected machines revenue increased by 12% due to higher unit sales and average selling prices [16] Market Data and Key Metrics Changes - International revenue was $40.5 million, a 5% increase year-on-year, accounting for 24% of total revenue [17][18] - Positive momentum observed in the UK and Western European markets, with growth in India and Japan [18] Company Strategy and Development Direction - Focus on new user acquisition, user engagement, subscriptions, and accessories and materials [6][12] - Continued investment in hardware product development, materials, engagement, and marketing [5][12] - Emphasis on simplifying user experience and enhancing project-making processes [10][11] - Plans to reclaim market share in accessories and materials through new product offerings [12][13] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in returning to sustainable growth despite tariff-related uncertainties [5][24] - Anticipated negative impact of higher tariff costs on margins in Q4 and 2026 [24][56] - Management remains optimistic about holiday season performance based on recent promotional successes [31][32] Other Important Information - Cash and cash equivalents at the end of Q3 were $207 million, with no debt [23] - The company repurchased 441,000 shares during Q3, with $46.9 million remaining on the stock repurchase program [23] - A recurring semiannual dividend of $0.10 per share was authorized for January 2026 [23] Q&A Session Summary Question: Insights on spending trends and revenue seasonality for Q4 - Management noted that sellout of machines is up, indicating effective marketing efforts, but acknowledged ongoing pressure in accessories and materials [29][30] Question: Clarification on tariff impacts on margins - Management explained that unique factors helped margins this year, but tariff impacts are expected to increase in 2024 [36][39] Question: Current AI strategy and its impact on subscriber growth - Management highlighted that AI tools like Create AI are designed to produce vector images optimized for cutting, which is a competitive advantage [45][48] Question: Channel inventory balance going into the holiday season - Management expressed confidence in channel inventory levels and noted enthusiasm from retail partners [52] Question: Directional thoughts on margins for 2026 - Management anticipates margin pressure due to tariffs and plans to manage pricing and promotional strategies to maintain affordability [56]

NASDAQ : CRCT replace Financial Results Q3 2025 November 4, 2025 Q3 2025 Financial Results 1 Safe Harbor Statement This presentation contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. We intend all forward-looking statements to be covered by the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements generally can be identified by the fact that they do ...