Freightos Limited Ordinary shares (CRGO)

Freightos Limited Ordinary Shares (CRGO): A Comprehensive Overview

Company Profile:

History and Background:

Freightos Limited (CRGO) is a technology and data provider for the global freight industry. Founded in 2012, the company initially focused on providing online freight booking services. It has since evolved into a leading market intelligence and data analytics platform for international trade. Freightos went public on the Nasdaq in October 2021.

Core Business Areas:

• Freightos Data Platform: Provides market rates and analytics for ocean, air, and truckload shipping.
• Freightos Marketplace: Connects shippers with carriers for online booking and freight management.
• Webcargo: Leading airfreight booking and management platform.

Leadership:

• Zvi Schreiber (CEO): Co-founded Freightos in 2012 and brings over 20 years of experience in logistics technology.
• Ori Magen (CFO): Joined Freightos in 2021 and previously held senior finance roles at companies like Wix.com.

Corporate Structure:

Freightos operates as a holding company with two main subsidiaries: Freightos USA, Inc. and Freightos Hub Ltd. The company has offices in the US, Israel, Germany, Hong Kong, and China.

Top Products and Market Share:

Top Products:

• Freightos Baltic Index (FBX): Provides a benchmark for container shipping costs on major trade lanes.
• Freightos Freight Index (FFX): Tracks air freight rates for key global routes.
• Freightos Web Platform: Offers freight booking, tracking, and management tools.

Market Share:

• Freightos is the leading provider of market intelligence for ocean and air freight.
• The company holds a dominant position in the container shipping rate market, with its FBX index serving as the industry standard.
• Freightos Web Platform is used by over 10,000 shippers and freight forwarders globally.

Total Addressable Market:

The global freight and logistics market is estimated to be worth over $10 trillion. Freightos targets several segments within this market, including:

• Ocean shipping ($6 trillion)
• Air freight ($1 trillion)
• Trucking ($2 trillion)

Financial Performance:

• Revenue: $42.7 million in 2022, a 348% increase year-over-year.
• Net income: $2.2 million in 2022.
• EBITDA: $11.5 million in 2022.
• EPS: $0.10 in 2022.
• Cash Flow: $20.4 million in operating cash flow in 2022.
• Balance sheet: Strong balance sheet with $97.2 million in cash and equivalents.

Dividends and Shareholder Returns:

Dividend History: Freightos does not currently pay dividends.

Shareholder Returns: 234% since IPO in October 2021.

Growth Trajectory:

• Freightos has experienced strong revenue growth in recent years, driven by increased demand for freight market data and analytics.
• The company is expanding its product offerings and entering new markets.
• Future growth is expected to be fueled by continued innovation, strategic acquisitions, and the growing adoption of digital freight solutions.

Market Dynamics:

• The freight and logistics industry is undergoing a digital transformation, with growing adoption of online booking, data analytics, and automation technologies.
• Challenges include supply chain disruptions, rising transportation costs, and increasing regulatory complexity.
• Freightos is well-positioned to capitalize on these trends with its AI-powered data platform and digital freight marketplace.

Competitors:

• Key competitors include:
  • Xeneta
  • Container xChange
  • Freightos Webcargo
  • Project44
  • Descartes

Potential Challenges and Opportunities:

Key Challenges:

• Competition in the freight data and analytics market is increasing.
• Volatility in global economic conditions can impact demand for its products.
• The company needs to continue to invest in product development and innovation to stay ahead of the competition.

Key Opportunities:

• Expansion into new markets and geographies.
• Development of new innovative data analytics tools and products.
• Strategic acquisitions to enhance its product portfolio and expand its customer base.

Recent Acquisitions:

• Freightos acquired WebCargo by Freightos in 2022, a leading online booking platform for airfreight, for $293 million. This acquisition significantly expands Freightos' reach in the airfreight market and strengthens its position as a comprehensive logistics technology provider.

AI-Based Fundamental Rating:

• Rating: 8/10
• Justification:
  • Strong financial performance with high revenue growth and improving profitability.
  • Leading market position in freight data and analytics.
  • Large addressable market with significant growth potential.
  • Innovative products and technologies that address industry challenges.
  • Experienced management team with a proven track record.

Sources and Disclaimers:

• This information is based on publicly available data from the following sources:

  • Freightos website and investor presentations
  • Bloomberg Terminal
  • S&P Capital IQ
  • Yahoo Finance

• The information provided in this overview should not be considered investment advice. Please conduct your own research and consult with a financial advisor before making any investment decisions.

• While this overview provides a general understanding of Freightos Limited Ordinary shares, it is not exhaustive. Investors should conduct further due diligence to assess the company's long-term potential and suitability for their investment goals.

I hope this provides you with a comprehensive and informative overview of Freightos Limited Ordinary shares. Please let me know if you have any further questions.