Creative Media & Community Trust Up 3.57% To $4.64 After Earnings Miss

Creative Media & Community Trust Corp (CMCT) reported less than expected earnings this morning for Q1 2023.

Creative Media & Community Trust's earnings came in at an EPS loss of $0.56 per share, 250% lower than estimates for an EPS loss of $0.16 per share. The firm's loss per share expanded by 367% since reporting a loss of $0.12 per share a year ago. Remember, earnings reported were on an adjusted basis, so they may not be comparable to prior reports and/or analyst estimates.

Analyst projections for Creative Media & Community Trust revenue came in at a consensus of $26.1 million. First-Quarter revenues surpassed estimates for $28.9 million by $2.8 million (11%). The company achieved 17% growth year-over-year compared to the firm's revenue of $24.8 million from the year-ago quarter. The lower earnings growth relative to revenue signals Creative Media & Community Trust has not been able to improve its profit margin.

The stock is up 3.57% to $4.64 after the report.

The firm's higher revenue growth to earnings signals that the firm has not been able to reduce costs and has seen its profit margin decrease.

The average recommendation from Wall Street analysts was a Strong Buy which may get revised based on this new data.

Trading in the five days leading up to the report earned Creative Media & Community Trust a Bearish Sentiment Rank from InvestorsObserver.

Creative Media & Community Trust has performed poorly during the past few months, garnering a low Long-Term Technical Rank by InvestorsObserver of 7, putting Creative Media & Community Trust in the bottom 25% of stocks. The firm was recently trading at a 52-week low of $3.89 on March 29, 2023 and set a 52-week high on June 6, 2022 at $7.68.

Creative Media & Community Trust (CMCT) is a real estate investment trust with an investment strategy that complements these trends. CMCT is leader in acquiring and developing office properties that cater to growing industries such as technology, media and entertainment. CMCT also seeks to invest in top-tier multifamily communities with characteristics similar to its creative office investments.