Stock fact sheet · data as of
Crexendo, Inc. (CXDO): fair value, margin of safety and Wheel Score
Communication Services · Telecommunications Services · United States · High Growth
Is CXDO undervalued?
At 5.65 (close of 16 Oct 2026), CXDO trades within a few percent of the GLS average fair value of 6.16 (8.2% below fair value). 7 models produced a value and they split 4 above the price to 3 below. A stock priced at fair value earns about half of the Wheel Score's Value points; the rest of the score comes from health, moat, premium and stability.
The 7 models disagree widely: EPV gives 1.46 while Payback Time gives 12.98. A spread that wide means the average is sensitive to which methods you trust; the model table below shows where each one lands, and the Quote page lets you switch any of them off.
The nightly engine files CXDO under High Growth: revenue and earnings growing fast enough that the growth-based models carry the valuation.
Nine valuation models for CXDO
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | - | - | Present value of the projected free cash flows, discounted at the cost of capital; no value tonight |
| Graham Number | 2.65 | -53% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 7.50 | +33% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 3.28 | -42% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 8.03 | +42% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 7.21 | +28% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 12.98 | +130% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | - | - | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend; no value tonight |
| EPV | 1.46 | -74% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | 0.8430 | -85% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 11.50 | +104% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
Financial health is weak: CXDO passes 4 of the nine Piotroski tests. Our screens drop the stock at the health rule; a low score is often the reason a stock looks cheap on the valuation models. The GLS Moat score is low at 3.4 out of 10, which says the ten-year record of revenue, earnings, margins and returns on capital has been inconsistent - growth and shocks rather than steady compounding.
Returns on capital are moderate - ROIC 7.8%, ROE 7.9%, ROA 6.5% - with debt at 0.02 times equity and a free-cash-flow yield of 6.1%.
Crexendo, Inc. pays no dividend, so the DDM model does not apply and a covered-call holder earns only the premium and any price gain. Revenue comes mainly from Service 84%, Product 16% (quarter Q4 FY2025).
Institutional ownership scores 5/10, insider activity 1/10 and Congressional trading 5/10 on the GLS smart-money scales; the last recorded insider buy was on 4 Oct 2026.
| Piotroski F-score | 4 / 9 | ROIC | 7.8% |
|---|---|---|---|
| GLS Moat | 3.4 / 10 | ROE | 7.9% |
| Debt / equity | 0.02 | ROA | 6.5% |
| Free-cash-flow yield | 6.1% | Payout ratio | 0% |
| Institutions | 5 / 10 | Insiders · Congress | 1 · 5 / 10 |
Wheel Score 51: Fair
CXDO scores 51 out of 100 on the Wheel Score (Fair band, 50-64): a usable but unremarkable fit for the wheel strategy. The parts: Value 16/25, Health 9/20, Moat 5/15, Premium 13/20, Stability 8/20. Moat (5/15) is where the points are missing.
Implied volatility is 87% on the near-the-money contracts 20-60 days out - above the 60% ceiling of the sweet spot. Premiums are large, but the Wheel Score tapers the Premium points (13 of 20) because volatility this high usually comes with a reason. Chain open interest is 25,077 contracts across all expiries - enough for the wheel at normal size.
Volume runs at 178k shares a day on a market cap of $188M, with a beta of 1.15; the Stability part of the Wheel Score gives that 8 of 20.
| Part | Points | From | |
|---|---|---|---|
| Value | 16 / 25 | 8% margin of safety | |
| Health | 9 / 20 | Piotroski 4/9 | |
| Moat | 5 / 15 | moat 3.4/10 | |
| Premium | 13 / 20 | implied volatility 87% | |
| Stability | 8 / 20 | 178k shares/day, $188M cap, beta 1.15 |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls; it is updated nightly and is not a recommendation. The walkthrough lesson shows how the score fits into a trade, start to finish.
Upcoming events
The next earnings report is due on 3 Nov 2026 (after the close), 18 days away; a 30-45-day put sold today would expire after it, which is worth weighing against the premium.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Telecommunications Services
The 12 companies below are the closest to Crexendo, Inc. by market cap within the Telecommunications Services industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| RDCM RADCOM Ltd. | 10.04 | 12.37 | +19% | 45Weak | $168M |
| CHTRP Charter Communications, Inc. Series A Cumulative Redeemable Preferred Stock | 22.10 | 471.70 | +95% | 39No options | $159M |
| LICT LICT Corporation | 13,000.00 | 8,752.47 | -49% | 27No options | $249M |
| OPTU Optimum Communications, Inc. | 0.9583 | 15.10 | +94% | 45Weak | $261M |
| GOGO Gogo Inc. | 2.25 | 14.88 | +85% | 45Weak | $305M |
| TMUSZ T-Mobile US, Inc. 5.5 % Notes 2025-01.03.70 | 17.80 | 79.07 | +77% | 31No options | $356M |
| ATNI ATN International, Inc. | 25.86 | 84.76 | +69% | 67Good | $398M |
| NUVR Nuvera Communications, Inc. | 16.00 | 8.63 | -85% | 20No options | $84M |
| CCOI Cogent Communications Holdings, Inc. | 8.35 | 650.62 | +99% | 45Weak | $428M |
| OOMA Ooma, Inc. | 20.48 | 16.31 | -26% | 50Fair | $565M |
| SHEN Shenandoah Telecommunications Company | 10.42 | 1.62 | -544% | 39Weak | $577M |
| KNIT Kinetic Group Inc. | 2.00 | - | - | 22No options | $53M |
⚖ Compare CXDO with 7 of them All Communication Services stocks →
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Start free See the Sunday ScanQuestions about CXDO
Is CXDO undervalued right now?
Not meaningfully: at 5.65 the stock trades within a few percent of the GLS average fair value of 6.16 (8.2% below fair value, data as of 16 Oct 2026).
What is the Wheel Score of CXDO and what does it mean?
CXDO scores 51 out of 100 (Fair). The Wheel Score blends the margin of safety (25 points), Piotroski health (20), the GLS moat (15), the option premium on offer (20) and trading stability (20) into one number that ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned. 80 and above is Prime, 65-79 Good, 50-64 Fair, under 50 Weak.
What is the GLS fair value for CXDO?
6.16 per share as of 16 Oct 2026 - the simple average of the 7 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Crexendo, Inc. report earnings next?
The next earnings report is due on 3 Nov 2026 (after the close), 18 days from the data date of 16 Oct 2026. The Calendars page lists every upcoming report with its time of day.
Does CXDO have listed options, and how liquid are they?
Yes. The nightly snapshot found 74 listed contracts with 25,077 open interest across all expiries and implied volatility of 87% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.