CREX Stock Price: Over 55% Increase Pre-Market Explanation

By Amit Chowdhry ● May 24, 2021
  • The stock price of Creative Realities Inc (NASDAQ: CREX) increased by over 55% pre-market. This is why it happened.

The stock price of Creative Realities Inc (NASDAQ: CREX) increased by over 55% pre-market. There is no direct news from the company or notable SEC reports so it appears that there are external factors at play.

One catalyst could be PennyStocks featuring CREX in an article over the weekend titled “3 Robinhood Penny Stocks Under $2 to Watch Next Week.” PennyStocks pointed out that during the first quarter, CRI had generated about $5 million of revenue and achieved breakeven operating results, which are in line with the expectations communicated in the most recent earnings call. 

During the recent earnings call, CRI CEO Rick Mills said this:

“I want to take a moment and talk about an important pending contract, which we first discussed on the prior earnings call. This contract has now been on hold for about 16 months, and we are now moving to the execution phase of the contract. The additional delays over the last quarter were driven by the continued facemask mandates and occupancy limitations. With these constraints removed, we expect to announce the details of this contract later this quarter. Once launched, this contract is expected to deliver an additional $6 million in revenue for each quarter for four to six consecutive quarters. As we stated on our prior call, these results are contingent upon getting the contract executed and the decision by the customer to launch. We currently believe this contract will begin fulfillment in Q3, and we will keep you updated. Due to the supply constraints, we anticipate a slower initial rollout of the contract.”

Disclaimer: This content is intended for informational purposes. Before making any investment, you should do your own analysis.