Crexendo (NASDAQ:CXDO) vs. Trade Desk (NASDAQ:TTD) Financial Comparison

Crexendo (NASDAQ:CXDO) and Trade Desk (NASDAQ:TTD) are both computer and technology companies, but which is the superior stock? We will compare the two companies based on the strength of their analyst recommendations, profitability, earnings, valuation, dividends, institutional ownership and risk.

Volatility & Risk

Crexendo has a beta of 0.83, meaning that its share price is 17% less volatile than the S&P 500. Comparatively, Trade Desk has a beta of 1.38, meaning that its share price is 38% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of current ratings and recommmendations for Crexendo and Trade Desk, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Crexendo	0	1	5	0	2.83
Trade Desk	4	12	21	0	2.46

Crexendo presently has a consensus price target of $8.60, suggesting a potential upside of 35.65%. Trade Desk has a consensus price target of $84.48, suggesting a potential upside of 57.59%. Given Trade Desk’s higher possible upside, analysts plainly believe Trade Desk is more favorable than Crexendo.

Institutional and Insider Ownership

9.5% of Crexendo shares are held by institutional investors. Comparatively, 67.8% of Trade Desk shares are held by institutional investors. 47.2% of Crexendo shares are held by company insiders. Comparatively, 10.0% of Trade Desk shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Profitability

This table compares Crexendo and Trade Desk’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Crexendo	4.75%	11.33%	9.14%
Trade Desk	15.57%	15.19%	7.17%

Valuation & Earnings

This table compares Crexendo and Trade Desk”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Crexendo	$60.84 million	3.20	$1.68 million	$0.10	63.40
Trade Desk	$2.68 billion	9.78	$393.08 million	$0.83	64.59

Trade Desk has higher revenue and earnings than Crexendo. Crexendo is trading at a lower price-to-earnings ratio than Trade Desk, indicating that it is currently the more affordable of the two stocks.

Summary

Trade Desk beats Crexendo on 11 of the 14 factors compared between the two stocks.

About Crexendo

Crexendo, Inc. provides cloud communication platform and services, video collaboration, and managed IT services for businesses in the United States and internationally. It operates through two segments, Cloud Telecommunications Services and Software Solutions. The Cloud Telecommunications segment provides telecommunications services that transmit calls using Internet protocol (IP) or cloud technology, which converts voice signals into digital data packets for transmission over the Internet or cloud; and broadband Internet services, as well as develops end user portals for account and license management, and billing and customer support. This segment is also involved in the sale and lease of cloud telecommunications equipment. In addition, it offers hardware, software, and unified communication solutions for businesses using IP or cloud technology over high-speed internet connection through various devices and user interfaces, such as desktop phones and/or mobile, and desktop applications under the Crexendo brand name. The Software Solutions segment provides a suite of unified communications, collaboration, video conferencing, and contact center solutions. This segment also offers SNAPsolution, an IP-based platform; SNAPaccel, a software-as-a-service based software; subscription maintenance and support services; and professional services, including consulting, technical support, resident engineer, design, and installation services. The company was formerly known as iMergent, Inc. and changed its name to Crexendo, Inc. in May 2011. Crexendo, Inc. was incorporated in 1995 and is based in Tempe, Arizona.

About Trade Desk

The Trade Desk, Inc. operates as a technology company in the United States and internationally. The company offers a self-service cloud-based platform that allows buyers to plan, manage, optimize, and measure data-driven digital advertising campaigns across various ad formats and channels, including video, display, audio, digital-out-of-home, native, and social on various devices, such as computers, mobile devices, televisions, and streaming devices. It provides data and other value-added services. The company serves advertising agencies, brands, and other service providers for advertisers. The Trade Desk, Inc. was incorporated in 2009 and is headquartered in Ventura, California.