Cricut is a profitable consumer-hardware brand with a perfect 4-quarter earnings beat streak and high returns on equity, but revenue is shrinking, free cash flow is negative, insiders are selling heavily, and the price of $6.25 is far above the $3.46 analyst target.
Thesis pillars
- Declining Revenue→Stable
- Analyst Target Far Below Price↑Improving
- Perfect Beat Streak High Roe↑Improving
- +2 more pillars — see the Why tab for full reasoning
Pillars as of Oct 24, 2026, based on the 10-K filed Mar 4, 2026
Cricut, Inc. (CRCT) Stock Analysis
Technology · Computer Hardware
Sell if holding. At $6.07, A.R:R is negative (-6.3) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Supplier: three contract manufacturers (connected machines); Concentration risk — Product: online sales channels (69.0%).
Cricut is a creativity platform company that designs connected cutting machines, a cloud-based design app (Design Space), accessories, and materials for DIY crafting, serving nearly 5.9 million Active Users and over 3.09 million Cricut Access subscribers as of December 31, 2025.... Read more
Sell if holding. At $6.07, A.R:R is negative (-6.3) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Supplier: three contract manufacturers (connected machines); Concentration risk — Product: online sales channels (69.0%). Chart setup: No clear chart pattern; technical signals are mixed. Score 5.7/10, moderate confidence.
Passes 5/9 gates (positive momentum, no SEC red flags, news events none recent, semi cycle peak clear, materials cycle peak clear). Fails on favorable risk/reward ratio and clean insider activity and earnings proximity 5d<=7d. Suitability: aggressive.
About Cricut, Inc.
About Cricut, Inc.
Cricut generated $708.8 million in revenue for 2025, down 1% from $712.5 million in 2024, while net income grew 22% to $76.7 million, serving nearly 5.9 million Active Users and just over 3.09 million Cricut Access subscribers as of December 31, 2025. The company's connected-machine revenue held flat at $192.4 million, while accessories and materials revenue declined 8.8% to $188.9 million, and 69% of total revenue came through online channels, up from 62% in 2023.
Cricut sells connected cutting machines (the Joy, Explore, Maker, and Venture families), the Cricut Design Space app, Cricut Access subscriptions ($9.99-$119.88 depending on tier), and accessories and materials, distributed through Cricut.com and retail partners including Amazon, Best Buy, Costco, Hobby Lobby, HSN, Michaels, Target, and Walmart. Approximately 94% of users identify as women, and 23% of users make projects to sell. The company depends on three contract manufacturers to produce its connected machines, alongside limited sources of supply for components, accessories, and materials, and faces exposure to tariffs that the 10-K says have materially increased its costs. Cricut has expanded internationally into Australia, Canada, France, Germany, the UK, Latin America, the Middle East/Turkey/Africa, and most of Asia including India, Japan, and South Korea. In January 2025, retail partner JOANN, Inc. filed for Chapter 11 bankruptcy and liquidated by May 2025, though Cricut says the impact was not material to its results.
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Cricut's own risk factors quantify a retail-channel concentration that has held steady: its top seven brick-and-mortar and online retail partners accounted for 31% of total revenue for the twelve months ended December 31, 2025, up slightly from 30% in 2024, and the company states it anticipates a similar level of concentration will continue for the foreseeable future. On the supply side, Cricut depends on just three contract manufacturers to produce its connected machines, the hardware that anchors platform and accessories revenue, so a disruption at any one manufacturer or the loss of a top retailer, such as the JOANN bankruptcy in early 2025, carries outsized weight relative to Cricut's broader user base of nearly 5.9 million.
See also: Technology · Computer Hardware
From Cricut, Inc.'s most recent 10-K filing, extracted July 6, 2026.
Recent developments
updated 2026-10-29Recent Developments — Cricut, Inc.
Latest news
- NEWS Cricut Inc (CRCT) Risk Assessment: Volatility, Financial Risk & Investment Risk - TradingKey — TradingKey neutral
- NEWS Cricut Inc (CRCT) Risk Assessment: Volatility, Financial Risk & Investment Risk - tradingkey.com — tradingkey.com neutral
- NEWS Cricut earnings beat by $0.14, revenue fell short of estimates - Investing.com UK — Investing.com UK neutral
- NEWS Cricut earnings beat by $0.14, revenue fell short of estimates - Investing.com — Investing.com positive
- NEWS Cricut Unveils AutoPress 2, Its Most Powerful and Affordable Automatic Heat Press Yet - Quiver Quantitative — Quiver Quantitative positive
Generated 2026-10-29T11:14:31Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Concentration Risks(10-K Item 1A)
- MEDIUMCustomertop-seven brick-and-mortar and online retail partners31%10-K Item 1A: 'For the twelve months ended December 31, 2025, our top seven brick-and-mortar and online retail partners accounted for 31% of total revenue.'
- HIGHSupplierthree contract manufacturers (connected machines)10-K Item 1A: 'supply chain, manufacturing, distribution and fulfillment risks, including our being dependent on three contract manufacturers to produce connected machines'
- HIGHProductonline sales channels69%10-K Item 1A: 'For the twelve months ended December 31, 2025, 69% of our revenue was generated from these online channels.'
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. How we score · Editorial policy
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Rating Breakdown
1 ceiling hit
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Sell if holding. At $6.07, A.R:R is negative (-6.3) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Supplier: three contract manufacturers (connected machines); Concentration risk — Product: online sales channels (69.0%). Chart setup: No clear chart pattern; technical signals are mixed. Prior stop was $5.79. Score 5.7/10, moderate confidence.
Analyst target $3.46 reached (−43.1% from $6.07); no take-profit level is published. Prior stop was $5.79. Stop-loss: $5.79.
Concentration risk — Supplier: three contract manufacturers (connected machines); Concentration risk — Product: online sales channels (69.0%); Analyst target reached - limited upside remaining.
Cricut, Inc. trades at a P/E of 14.8 (forward 25.7). TrendMatrix value score: 6.6/10. Verdict: Sell.
8 analysts cover CRCT with a consensus score of 2.0/5. Average price target: $4.
What does Cricut, Inc. do?Cricut is a creativity platform company that designs connected cutting machines, a cloud-based design app (Design...
Cricut is a creativity platform company that designs connected cutting machines, a cloud-based design app (Design Space), accessories, and materials for DIY crafting, serving nearly 5.9 million Active Users and over 3.09 million Cricut Access subscribers as of December 31, 2025. The company generated $708.8 million in 2025 revenue, with 69% from online channels and its top seven brick-and-mortar and online retail partners, including Amazon, Target, Walmart, and Michaels, accounting for 31% of total revenue; connected-machine manufacturing depends on three contract manufacturers.