Cricut Inc: 2Q26 Earnings – Green Shoots

Research evidence excerpt

M

Update

August 5, 2026 01:13 AM GMT

Morgan Stanley & Co. LLC

Cricut Inc | North America

Erik W Woodring

Equity Analyst

2Q26 Earnings – Green Shoots

Rauf Ural

Research Associate

What’s Changed

Cricut Inc (CRCT.O)

From

To

Price Target

$3.10

$3.70

Maya C Neuman

Research Associate

Dylan Liu

Research Associate

AlphaSignals Earnings Reaction

Unchanged

Modest upside

Modest revision higher

Impact to our thesis

Financial results versus consensus

Direction of next 12-month

consensus EPS

Source: Company data, Morgan Stanley Research

2Q revs missed due to weak A&M trends, but mgmt is confident

in a return to growth in 2H thanks to new products. Stabilization

in engagement is a plus. 2Q was mixed, but our numbers move

higher on lower tariff rates. Sustainable inflection in

fundamentals still a show me story, keeping us UW.

Key Takeaways

2Q revenue missed on persistent Accessories & Materials weakness, though

management remains confident in a 2H return to growth.

Cricut Inc (CRCT.O, CRCT US)

IT Hardware | United States of America

Stock Rating

Industry View

Price target

Shr price, close (Aug 4, 2026)

Mkt cap, curr (mm)

52-Week Range

Fiscal Year Ending

0.36

13.8

0.35

19.2

improvement in financials remains a key proof point.

Quarter

2025

Q1

Q2

Q3

Q4

0.11

0.10

0.04

Lower tariff rate assumptions drive our CY27 EPS higher, but remain UW w/ a

0.32

0.14

15.2

0.19

4.1

0.22

0.18

22.5

0.19

4.1

0.25

0.21

20.1

0.20

4.0

Unless otherwise noted, all metrics are based on Morgan Stanley ModelWare

framework

** = Based on consensus methodology

§ = Consensus data is provided by Refinitiv Estimates

e = Morgan Stanley Research estimates

Quarterly EPS ($)

trends and converting engagement into revenue growth.

Underweight

Cautious

$3.70

$4.94

$1,042

$6.93-3.74

12/25 12/26e 12/27e 12/28e

EPS ($)**

Prior EPS ($)**

P/E

EPS ($)§

Div yld (%)

Engagement metrics stabilized for the first time in years, but sustained

Green shoots are emerging. A sustainable recovery depends on better A&M

2026e 2026e

Prior Current

0.04

0.01

0.10a

0.19a

0.03

0.01

2027e 2027e

Prior Current

0.06

0.05

0.02

0.07

0.06

0.02

e = Morgan Stanley Research estimates, a = Actual Company reported data

new $3.70 PT.

…