Critical Review: Windstream (OTCMKTS:WINMQ) and Crexendo (OTCMKTS:CXDO)

Share on StockTwits

Windstream (OTCMKTS:WINMQ) and Crexendo (OTCMKTS:CXDO) are both small-cap computer and technology companies, but which is the superior stock? We will compare the two businesses based on the strength of their profitability, institutional ownership, risk, valuation, analyst recommendations, dividends and earnings.

Institutional & Insider Ownership

1.1% of Windstream shares are owned by institutional investors. 1.2% of Windstream shares are owned by insiders. Comparatively, 77.2% of Crexendo shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Profitability

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

Net Margins Return on Equity Return on Assets
Windstream -52.19% N/A -6.78%
Crexendo 0.63% 7.25% 3.02%

Valuation and Earnings

This table compares Windstream and Crexendo’s top-line revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Windstream $5.71 billion 0.00 -$723.00 million ($21.40) -0.01
Crexendo $11.91 million 4.07 -$220,000.00 N/A N/A

Crexendo has lower revenue, but higher earnings than Windstream.

Volatility and Risk

Windstream has a beta of 0.61, indicating that its share price is 39% less volatile than the S&P 500. Comparatively, Crexendo has a beta of 2.28, indicating that its share price is 128% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent recommendations for Windstream and Crexendo, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Windstream 0 0 0 0 N/A
Crexendo 0 0 0 0 N/A

Summary

Crexendo beats Windstream on 8 of the 10 factors compared between the two stocks.

Windstream Company Profile

Windstream Holdings, Inc. provides network communications and technology solutions in the United States. Its Consumer & Small Business segment offers services, including traditional local and long-distance voice services, and high-speed Internet services; and value-added services, such as security and online back-up. It also offers consumer video services; premium broadband and video entertainment services under the Kinetic brand; voice and Web conferencing products; and advanced hosted-voice, network management, and business continuity services, as well as owns and operates cable television franchises. This segment serves approximately 1.4 million residential and small business customers. The company's Enterprise segment offers integrated voice and data services, which deliver voice and broadband services over a single Internet connection, data transport services, and multi-site networking services; and other data services comprising cloud computing, and collocation and managed services as an alternative to traditional information technology infrastructure. Its Wholesale segment provides network bandwidth to other telecommunications carriers, network operators, and content providers; fiber-to-the-tower connections to support the wireless backhaul market; voice and data carrier services to other communications providers and large scale purchasers; and special access services and time division multiplexing private line transport. The company's Consumer CLEC segment offers traditional voice and long-distance services, nationwide Internet access services, and dial-up and high-speed, as well as online backup and various email services. Windstream Holdings, Inc. also leases and sells broadband modems and home networking gateways; and sells computers and phones. The company was incorporated in 2013 and is based in Little Rock, Arkansas. On February 25, 2019, Windstream Holdings, Inc. along with its 202 affiliates, filed a voluntary petition for reorganization under Chapter 11 in the US Bankruptcy Court for the Southern District of New York.

Crexendo Company Profile

Crexendo, Inc. provides unified communications cloud telecom, broadband Internet, and other cloud business services for businesses in North America and internationally. The company operates in two segments, Cloud Telecommunications and Web Services. The Cloud Telecommunications segment provides telecommunications services that transmit calls using IP or cloud technology, which converts voice signals into digital data packets for transmission over the Internet or cloud; and broadband Internet services. This segment is also involved in the sale and lease of cloud telecommunications equipment. 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. The Web Services segment provides Website hosting and other professional services. The company was formerly known as iMergent, Inc. and changed its name to Crexendo, Inc. in May 2011. Crexendo, Inc. was founded in 1995 and is headquartered in Tempe, Arizona.

Receive News & Ratings for Windstream Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Windstream and related companies with MarketBeat.com's FREE daily email newsletter.



Leave a Reply