Criteo: Amazon Risks Are Real, But Cheap Multiples Warrant A Buy
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Gary Alexander32.85K FollowersFollow5ShareSavePlay(12min)CommentsSummaryCriteo is rated a buy, offering a rebound play amid SMID-cap underperformance and discounted valuation.CRTO's retail media segment leverages deep partnerships with 70% of top U.S. retailers, countering Amazon's DSP threat.Despite flat revenue, client media spend grew 4% y/y and adjusted EBITDA expanded 28% y/y, with margins improving 450 bps.CRTO trades at just 2.0x EV/FY25 adjusted EBITDA; the upcoming NASDAQ direct listing could catalyze institutional interest. Saksit Sangtong/iStock via Getty Images Of the many themes that have moved the stock markets this year, one of the most prominent is the vast underperformance of small- and mid-cap stocks versus large caps. The general consensus among these stocks appears toThis article was written byGary Alexander32.85K FollowersFollowWith combined experience of covering technology companies on Wall Street and working in Silicon Valley, and serving as an outside adviser to several seed-round startups, Gary Alexander has exposure to many of the themes shaping the industry today. He has been a regular contributor on Seeking Alpha since 2017. He has been quoted in many web publications and his articles are syndicated to company pages in popular trading apps like Robinhood.Analyst’s Disclosure:I/we have a beneficial long position in the shares of CRTO either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.