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CrexendoCXDO +0.46%86 Return-on-Tangible-Equity is 19.11% as of Jun. 2026. GuruFocus rates CXDO with a GF Score™ of 86/100 and a GF Value™ of $7.07 (Fairly Valued). The stock has 3 warning signs investors should review. Among 327 Telecommunication Services companies, Crexendo ranks worse than 50.46% on this metric.
Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Crexendo's annualized net income for the quarter that ended in Jun. 2026 was $4.20 Mil. Crexendo's average shareholder tangible equity for the quarter that ended in Jun. 2026 was $22.00 Mil. Therefore, Crexendo's annualized Return-on-Tangible-Equity for the quarter that ended in Jun. 2026 was 19.11%.
The historical rank and industry rank for Crexendo's Return-on-Tangible-Equity or its related term are showing as below:
CXDO'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -586.31 Med: -9.78 Max: 54.97
Current: 15.01
During the past 13 years, Crexendo's highest Return-on-Tangible-Equity was 54.97%. The lowest was -586.31%. And the median was -9.78%.
CXDO's Return-on-Tangible-Equity is ranked worse than 50.46% of 327
companies
in the Telecommunication Services industry
Industry Median: 15.09
vs CXDO: 15.01
Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.
Be Aware
Net Income is used.
Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.
Crexendo Return-on-Tangible-Equity Related Terms
Crexendo Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Crexendo's Return-on-Tangible-Equity can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
CXDO vs CABO, RDCM, KVHI: Return-on-Tangible-Equity Comparison
For the Telecom Services subindustry, Crexendo's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Crexendo Return-on-Tangible-Equity vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, Crexendo's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Crexendo's Return-on-Tangible-Equity falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual Return-on-Tangible-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is four times the quarterly (Jun. 2026) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 19.11% mean?
Crexendo (CXDO) has a Return-on-Tangible-Equity of 19.11% as of Jun. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Crexendo and its competitors. According to the industry distribution chart, Crexendo ranks #165 out of 327 companies in the Telecommunication Services industry, placing it in the top 50.5%.
Is Crexendo's Return-on-Tangible-Equity too high?
Crexendo's current Return-on-Tangible-Equity is 19.11%. The Telecommunication Services industry median Return-on-Tangible-Equity is 15.09. Crexendo's value of 19.11% is 26.6% above this industry median. Based on the distribution chart, Crexendo ranks #165 out of 327 companies in the Telecommunication Services industry, which is below the industry midpoint. Overall, Crexendo has a GF Score™ of 86/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Crexendo's Return-on-Tangible-Equity compare to CABO and RDCM?
According to the Telecommunication Services industry distribution chart, Crexendo ranks #165 out of 327 companies for Return-on-Tangible-Equity. This places Crexendo in the lower half of its industry. The industry median Return-on-Tangible-Equity is 15.09. Crexendo's value of 19.11% is 26.6% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Return-on-Tangible-Equity for a Telecommunication Services company?
The median Return-on-Tangible-Equity among Telecommunication Services companies is 15.09, based on 327 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Equity significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Crexendo's current Return-on-Tangible-Equity of 19.11% is 26.6% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Return-on-Tangible-Equity mean?
A high Return-on-Tangible-Equity can signal that a stock is expensive relative to its fundamentals. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Crexendo and its competitors. For the Telecommunication Services industry, the median Return-on-Tangible-Equity is 15.09 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Crexendo's current Return-on-Tangible-Equity is 19.11%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Crexendo stock overvalued right now?
Based on GuruFocus' analysis, Crexendo (CXDO) is currently considered Fairly Valued. The stock's GF Value™ is $7.07, compared to a current price of $6.58 — trading 6.9% below its estimated fair value. The current Return-on-Tangible-Equity is 19.11% and 26.6% above the Telecommunication Services industry median of 15.09. Crexendo's overall GF Score™ is 86/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Equity calculated?
Return-on-Tangible-Equity is calculated from a company's financial statements. For Crexendo (CXDO), the current Return-on-Tangible-Equity is 19.11% as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Crexendo (CXDO) Overvalued in 2026?
Based on GuruFocus' analysis, Crexendo stock appears to be undervalued.
The current stock price of $6.58 is trading 6.9% below its estimated GF Value™ of $7.07.
GuruFocus considers Crexendo to be Fairly Valued.
Key valuation signals for CXDO:
Return-on-Tangible-Equity: 19.11%
GF Value™: $7.07 vs. price of $6.58 (6.9% below fair value)
Industry Position: 26.6% above the Telecommunication Services median (#165 of 327)
No single metric tells the full story. See the CXDO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Crexendo Inc is a software technology company that provides cloud communication platform software and unified communications as a service (UCaaS) offering, including voice, video, contact center, and managed IT services. The company operates through two segments: Cloud Telecommunications Services and Software Solutions. Its cloud telecommunications segment generates revenue from the provision of broadband Internet services, managed IT services, software license sales, and infrastructure as a service. The software solutions segment derives revenues from three primary sources: software licenses, software maintenance support and professional services. The majority of the company's revenue is derived from the Cloud Telecommunications Services segment.
86GF Score
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