CERNER CORP (CERN)
US1567821046 - Common Stock
CERN gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 40 industry peers in the Health Care Technology industry. CERN has a bad profitability rating. Also its financial health evaluation is rather negative. CERN is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year CERN was profitable.
Each year in the past 5 years CERN has been profitable.
Each year in the past 5 years CERN had a positive operating cash flow.
1.2 Ratios
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.99% | ||
| ROE | 15.08% | ||
| ROIC | N/A |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.88% | ||
| PM (TTM) | 10.15% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
CERN has less shares outstanding than it did 1 year ago.
The debt/assets ratio for CERN is higher compared to a year ago.
2.2 Solvency
CERN has an Altman-Z score of 7.44. This indicates that CERN is financially healthy and has little risk of bankruptcy at the moment.
CERN has a Debt/Equity ratio of 0.41. This is a healthy value indicating a solid balance between debt and equity.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.41 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 7.44 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
CERN has a Current Ratio of 1.79. This is a normal value and indicates that CERN is financially healthy and should not expect problems in meeting its short term obligations.
A Quick Ratio of 1.77 indicates that CERN should not have too much problems paying its short term obligations.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.79 | ||
| Quick Ratio | 1.77 |
3. Growth
3.1 Past
CERN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 20.42%, which is quite impressive.
CERN shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.72% yearly.
Looking at the last year, CERN shows a small growth in Revenue. The Revenue has grown by 5.93% in the last year.
CERN shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.75% yearly.
EPS 1Y (TTM)20.42%
EPS 3Y10.84%
EPS 5Y7.72%
EPS growth Q2Q17.11%
Revenue 1Y (TTM)5.93%
Revenue growth 3Y2.42%
Revenue growth 5Y3.75%
Revenue growth Q2Q3.03%
3.2 Future
CERN is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.02% yearly.
Based on estimates for the next years, CERN will show a small growth in Revenue. The Revenue will grow by 3.66% on average per year.
EPS Next Y12.81%
EPS Next 2Y11.82%
EPS Next 3Y10.84%
EPS Next 5Y10.02%
Revenue Next Year3.95%
Revenue Next 2Y4.31%
Revenue Next 3Y4.05%
Revenue Next 5Y3.66%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 27.28, which means the current valuation is very expensive for CERN.
Compared to an average S&P500 Price/Earnings ratio of 24.55, CERN is valued at the same level.
CERN is valuated rather expensively with a Price/Forward Earnings ratio of 22.66.
Compared to an average S&P500 Price/Forward Earnings ratio of 20.92, CERN is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.28 | ||
| Fwd PE | 22.66 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 17.46 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates CERN does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)2.13
PEG (5Y)3.53
EPS Next 2Y11.82%
EPS Next 3Y10.84%
5. Dividend
5.1 Amount
CERN has a Yearly Dividend Yield of 1.14%. Purely for dividend investing, there may be better candidates out there.
With a Dividend Yield of 1.14, CERN pays less dividend than the S&P500 average, which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.14% |
5.2 History
CERN has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr YearsN/A
Div Non Decr YearsN/A
5.3 Sustainability
47.36% of the earnings are spent on dividend by CERN. This is a bit on the high side, but may be sustainable.
DP47.36%
EPS Next 2Y11.82%
EPS Next 3Y10.84%
CERNER CORP
NASDAQ:CERN (6/7/2022, 7:00:00 PM)
After market: 94.95 +0.03 (+0.03%)94.92
-0.05 (-0.05%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Technology
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap27.92B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.14% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.28 | ||
| Fwd PE | 22.66 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)2.13
PEG (5Y)3.53
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.99% | ||
| ROE | 15.08% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 15.88% | ||
| PM (TTM) | 10.15% | ||
| GM | N/A | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.79
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.41 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.79 | ||
| Quick Ratio | 1.77 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)20.42%
EPS 3Y10.84%
EPS 5Y
EPS growth Q2Q
EPS Next Y12.81%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)5.93%
Revenue growth 3Y2.42%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y