📊 CMCT Key Takeaways
Is Creative Media & Community Trust Corp (CMCT) a Good Investment?
Despite impressive 194% revenue growth, CMCT faces critical financial distress with negative interest coverage (-0.9x), severe cash burn (-26M operating cash flow), and minimal liquidity (15.8M cash against 535.5M liabilities). The company cannot service its 500.1M debt load from operations and is deeply unprofitable with -28.2% net margins, presenting substantial solvency risk.
CMCT's fundamentals remain weak despite a sharp revenue increase, because the company is still deeply unprofitable with negative operating and net margins and inadequate interest coverage. Leverage is elevated, cash is thin relative to debt, and the positive free cash flow appears too small to offset balance-sheet and earnings pressure. Unless profitability and debt service capacity improve materially, the current fundamental profile points to high financial risk rather than durable operating strength.
Creative Media & Community Trust Corp Key Strengths (CMCT)
- Strong revenue growth of 194.3% year-over-year indicating market expansion
- Net loss improved 36.7% YoY showing operational trajectory improvement
- Substantial asset base of 792.3M provides foundation for restructuring or asset sales
- Revenue grew sharply year over year, indicating meaningful top-line improvement
- Operating cash flow and free cash flow remained positive in the latest period
- Equity remains positive, providing some residual balance-sheet cushion
CMCT Stock Risks: Creative Media & Community Trust Corp Investment Risks
- Negative interest coverage ratio of -0.9x; unable to cover debt service from operating income, creating immediate solvency risk
- Severe cash burn with -26.0M operating cash flow and only 15.8M cash against 535.5M liabilities; insufficient runway for debt obligations
- High leverage at 1.95x debt-to-equity with 500.1M long-term debt; vulnerable to liquidity events or refinancing challenges
- Persistent unprofitability despite revenue growth; -28.2% net margin indicates business model does not generate profit at scale
- Negative free cash flow of -26.0M indicates fundamental operational weakness beyond revenue recognition
- Persistent losses and negative margins show the business is not generating sustainable earnings
- High leverage with debt-to-equity of 1.92x and long-term debt of $509.77M increases refinancing and solvency risk
- Interest coverage of -1.0x and cash of only $15.44M signal weak debt-servicing flexibility
Key Metrics to Watch
- Interest coverage ratio recovery toward positive 2.0x+ threshold for financial stability
- Operating cash flow path to positive territory and cash position sustainability
- Debt-to-equity ratio reduction and refinancing success on expiring maturities
- Operating income and interest coverage
- Operating cash flow relative to debt maturities
Creative Media & Community Trust Corp (CMCT) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
CMCT Profit Margin, ROE & Profitability Analysis
CMCT vs Real Estate Sector: How Creative Media & Community Trust Corp Compares
How Creative Media & Community Trust Corp compares to Real Estate sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Creative Media & Community Trust Corp Stock Overvalued? CMCT Valuation Analysis 2026
Based on fundamental analysis, Creative Media & Community Trust Corp shows some fundamental concerns relative to the Real Estate sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Creative Media & Community Trust Corp Balance Sheet: CMCT Debt, Cash & Liquidity
CMCT Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Creative Media & Community Trust Corp's revenue has grown significantly by 137% over the 5-year period, indicating strong business expansion. The most recent EPS of $-431.43 indicates the company is currently unprofitable.
CMCT Revenue Growth, EPS Growth & YoY Performance
CMCT Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $11.9M | -$6.1M | $-70.52 |
| Q3 2025 | $6.8M | -$10.4M | $-23.52 |
| Q2 2025 | $11.2M | -$796.0K | $-18.94 |
| Q1 2025 | $11.3M | -$3.7M | $-20.73 |
| Q3 2024 | $6.8M | -$10.4M | $-0.94 |
| Q2 2024 | $11.2M | -$796.0K | $-0.43 |
| Q1 2024 | $10.9M | -$3.7M | $-0.54 |
| Q3 2023 | $7.5M | -$237.0K | $-0.50 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Creative Media & Community Trust Corp Dividends, Buybacks & Capital Allocation
CMCT SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Creative Media & Community Trust Corp (CIK: 0000908311)
📋 Recent SEC Filings
❓ Frequently Asked Questions about CMCT
What is the AI rating for CMCT?
Creative Media & Community Trust Corp (CMCT) has a Combined AI Grade of D from Claude (D) and ChatGPT (D) with 86% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are CMCT's key strengths?
Claude: Strong revenue growth of 194.3% year-over-year indicating market expansion. Net loss improved 36.7% YoY showing operational trajectory improvement. ChatGPT: Revenue grew sharply year over year, indicating meaningful top-line improvement. Operating cash flow and free cash flow remained positive in the latest period.
What are the risks of investing in CMCT?
Claude: Negative interest coverage ratio of -0.9x; unable to cover debt service from operating income, creating immediate solvency risk. Severe cash burn with -26.0M operating cash flow and only 15.8M cash against 535.5M liabilities; insufficient runway for debt obligations. ChatGPT: Persistent losses and negative margins show the business is not generating sustainable earnings. High leverage with debt-to-equity of 1.92x and long-term debt of $509.77M increases refinancing and solvency risk.
What is CMCT's revenue and growth?
Creative Media & Community Trust Corp reported revenue of $29.4M.
Does CMCT pay dividends?
Creative Media & Community Trust Corp does not currently pay dividends.
Where can I find CMCT SEC filings?
Official SEC filings for Creative Media & Community Trust Corp (CIK: 0000908311) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is CMCT's EPS?
Creative Media & Community Trust Corp has a diluted EPS of $-70.52.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is CMCT's fundamental grade?
Based on our AI fundamental analysis in June 2026, Creative Media & Community Trust Corp has a D grade with 86% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is CMCT stock overvalued or undervalued?
Valuation metrics for CMCT: ROE of -3.2% (sector avg: 8%), net margin of -28.2% (sector avg: 20%). Compare these metrics with sector averages to assess valuation.
What is CMCT's AI grade for 2026?
Our dual AI analysis gives Creative Media & Community Trust Corp a combined D grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is CMCT's free cash flow?
Creative Media & Community Trust Corp's operating cash flow is $-26.0M, with capital expenditures of $10.0K. FCF margin is -88.4%.
How does CMCT compare to other Real Estate stocks?
Vs Real Estate sector averages: Net margin -28.2% (avg: 20%), ROE -3.2% (avg: 8%), current ratio N/A (avg: 1.5).
Is Creative Media & Community Trust Corp carrying too much debt?
CMCT has a debt-to-equity ratio of 1.95x, which is above the Real Estate sector average of 1.5x. Combined with a current ratio below 1, this warrants careful monitoring of the balance sheet.