CERTARA INC (CERT) Stock Fundamental Analysis
USA - NASDAQ:CERT - US15687V1098 - Common Stock
12 USD
-0.51 (-4.08%)
Taking everything into account, CERT scores 5 out of 10 in our fundamental rating. CERT was compared to 35 industry peers in the Health Care Technology industry. CERT has only an average score on both its financial health and profitability. CERT is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! With these ratings, CERT could be worth investigating further for growth investing!.
1. Profitability
1.1 Basic Checks
CERT had positive earnings in the past year.
In the past year CERT had a positive cash flow from operations.
CERT had negative earnings in 4 of the past 5 years.
Each year in the past 5 years CERT had a positive operating cash flow.
1.2 Ratios
With an excellent Return On Assets value of 0.52%, CERT belongs to the best of the industry, outperforming 85.71% of the companies in the same industry.
CERT has a better Return On Equity (0.75%) than 85.71% of its industry peers.
CERT has a better Return On Invested Capital (1.44%) than 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.52% | ||
| ROE | 0.75% | ||
| ROIC | 1.44% |
ROA(3y)-1.12%
ROA(5y)-1.63%
ROE(3y)-1.69%
ROE(5y)-2.47%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
CERT has a Profit Margin of 1.97%. This is amongst the best in the industry. CERT outperforms 85.71% of its industry peers.
Looking at the Operating Margin, with a value of 6.35%, CERT is in the better half of the industry, outperforming 74.29% of the companies in the same industry.
Looking at the Gross Margin, with a value of 61.14%, CERT is in line with its industry, outperforming 54.29% of the companies in the same industry.
CERT's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.35% | ||
| PM (TTM) | 1.97% | ||
| GM | 61.14% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.61%
GM growth 5Y-0.61%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CERT is destroying value.
Compared to 1 year ago, CERT has more shares outstanding
CERT has more shares outstanding than it did 5 years ago.
The debt/assets ratio for CERT is higher compared to a year ago.
2.2 Solvency
CERT has an Altman-Z score of 2.87. This is not the best score and indicates that CERT is in the grey zone with still only limited risk for bankruptcy at the moment.
CERT has a better Altman-Z score (2.87) than 68.57% of its industry peers.
The Debt to FCF ratio of CERT is 3.80, which is a good value as it means it would take CERT, 3.80 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 3.80, CERT is doing good in the industry, outperforming 65.71% of the companies in the same industry.
CERT has a Debt/Equity ratio of 0.27. This is a healthy value indicating a solid balance between debt and equity.
CERT has a Debt to Equity ratio of 0.27. This is comparable to the rest of the industry: CERT outperforms 45.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 3.8 | ||
| Altman-Z | 2.87 |
ROIC/WACC0.14
WACC9.97%
2.3 Liquidity
CERT has a Current Ratio of 2.16. This indicates that CERT is financially healthy and has no problem in meeting its short term obligations.
CERT's Current ratio of 2.16 is in line compared to the rest of the industry. CERT outperforms 48.57% of its industry peers.
CERT has a Quick Ratio of 2.16. This indicates that CERT is financially healthy and has no problem in meeting its short term obligations.
CERT has a Quick ratio (2.16) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.16 | ||
| Quick Ratio | 2.16 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 32.43% over the past year.
The Earnings Per Share has been growing by 38.33% on average over the past years. This is a very strong growth
The Revenue has grown by 11.61% in the past year. This is quite good.
CERT shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 13.06% yearly.
EPS 1Y (TTM)32.43%
EPS 3Y38.33%
EPS 5YN/A
EPS Q2Q%0%
Revenue 1Y (TTM)11.61%
Revenue growth 3Y10.42%
Revenue growth 5Y13.06%
Sales Q2Q%12.06%
3.2 Future
Based on estimates for the next years, CERT will show a quite strong growth in Earnings Per Share. The EPS will grow by 16.82% on average per year.
The Revenue is expected to grow by 8.25% on average over the next years. This is quite good.
EPS Next Y-0.92%
EPS Next 2Y11.01%
EPS Next 3Y12.25%
EPS Next 5Y16.82%
Revenue Next Year9.9%
Revenue Next 2Y8.96%
Revenue Next 3Y9.05%
Revenue Next 5Y8.25%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 24.49 indicates a rather expensive valuation of CERT.
CERT's Price/Earnings ratio is rather cheap when compared to the industry. CERT is cheaper than 91.43% of the companies in the same industry.
When comparing the Price/Earnings ratio of CERT to the average of the S&P500 Index (27.08), we can say CERT is valued inline with the index average.
With a Price/Forward Earnings ratio of 21.64, CERT is valued on the expensive side.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CERT indicates a rather cheap valuation: CERT is cheaper than 82.86% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.09, CERT is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.49 | ||
| Fwd PE | 21.64 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CERT is valued a bit cheaper than the industry average as 77.14% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, CERT is valued cheaper than 82.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 24.88 | ||
| EV/EBITDA | 21.8 |
4.3 Compensation for Growth
A more expensive valuation may be justified as CERT's earnings are expected to grow with 12.25% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y11.01%
EPS Next 3Y12.25%
5. Dividend
5.1 Amount
CERT does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NASDAQ:CERT (10/28/2025, 1:45:39 PM)
12
-0.51 (-4.08%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Technology
Earnings (Last)
Earnings (Next)
Inst Owners81.56%
Inst Owner Change0.78%
Ins Owners2.42%
Ins Owner Change0.24%
Market Cap1.93B
Revenue(TTM)405.75M
Net Income(TTM)7.98M
Analysts75.56
Price Target14.73 (22.75%)
Short Float %13.21%
Short Ratio9.57
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-4.71%
Min EPS beat(2)-33.18%
Max EPS beat(2)23.76%
EPS beat(4)3
Avg EPS beat(4)5.56%
Min EPS beat(4)-33.18%
Max EPS beat(4)23.76%
EPS beat(8)3
Avg EPS beat(8)-4.05%
EPS beat(12)4
Avg EPS beat(12)-2.02%
EPS beat(16)6
Avg EPS beat(16)-6.22%
Revenue beat(2)0
Avg Revenue beat(2)-1.65%
Min Revenue beat(2)-2.39%
Max Revenue beat(2)-0.91%
Revenue beat(4)1
Avg Revenue beat(4)-1.49%
Min Revenue beat(4)-2.66%
Max Revenue beat(4)0%
Revenue beat(8)2
Avg Revenue beat(8)-1.57%
Revenue beat(12)4
Avg Revenue beat(12)-1.19%
Revenue beat(16)5
Avg Revenue beat(16)-1.94%
PT rev (1m)0%
PT rev (3m)-6.47%
EPS NQ rev (1m)1.22%
EPS NQ rev (3m)0.39%
EPS NY rev (1m)0.45%
EPS NY rev (3m)-5.89%
Revenue NQ rev (1m)-0.1%
Revenue NQ rev (3m)0.34%
Revenue NY rev (1m)-0.01%
Revenue NY rev (3m)0.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.49 | ||
| Fwd PE | 21.64 | ||
| P/S | 4.75 | ||
| P/FCF | 24.88 | ||
| P/OCF | 18.98 | ||
| P/B | 1.8 | ||
| P/tB | N/A | ||
| EV/EBITDA | 21.8 |
EPS(TTM)0.49
EY4.08%
EPS(NY)0.55
Fwd EY4.62%
FCF(TTM)0.48
FCFY4.02%
OCF(TTM)0.63
OCFY5.27%
SpS2.53
BVpS6.67
TBVpS-1.06
PEG (NY)N/A
PEG (5Y)N/A
Graham Number8.57
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.52% | ||
| ROE | 0.75% | ||
| ROCE | 1.82% | ||
| ROIC | 1.44% | ||
| ROICexc | 1.63% | ||
| ROICexgc | 222.71% | ||
| OM | 6.35% | ||
| PM (TTM) | 1.97% | ||
| GM | 61.14% | ||
| FCFM | 19.09% |
ROA(3y)-1.12%
ROA(5y)-1.63%
ROE(3y)-1.69%
ROE(5y)-2.47%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.61%
GM growth 5Y-0.61%
F-Score7
Asset Turnover0.26
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 3.8 | ||
| Debt/EBITDA | 2.96 | ||
| Cap/Depr | 33.24% | ||
| Cap/Sales | 5.93% | ||
| Interest Coverage | 1.33 | ||
| Cash Conversion | 103.4% | ||
| Profit Quality | 970.69% | ||
| Current Ratio | 2.16 | ||
| Quick Ratio | 2.16 | ||
| Altman-Z | 2.87 |
F-Score7
WACC9.97%
ROIC/WACC0.14
Cap/Depr(3y)27.38%
Cap/Depr(5y)24.09%
Cap/Sales(3y)4.51%
Cap/Sales(5y)3.98%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)32.43%
EPS 3Y38.33%
EPS 5YN/A
EPS Q2Q%0%
EPS Next Y-0.92%
EPS Next 2Y11.01%
EPS Next 3Y12.25%
EPS Next 5Y16.82%
Revenue 1Y (TTM)11.61%
Revenue growth 3Y10.42%
Revenue growth 5Y13.06%
Sales Q2Q%12.06%
Revenue Next Year9.9%
Revenue Next 2Y8.96%
Revenue Next 3Y9.05%
Revenue Next 5Y8.25%
EBIT growth 1Y204.79%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year16.77%
EBIT Next 3Y12.28%
EBIT Next 5Y14.24%
FCF growth 1Y4.56%
FCF growth 3Y4.89%
FCF growth 5Y15.82%
OCF growth 1Y16.06%
OCF growth 3Y10.04%
OCF growth 5Y16.17%
CERTARA INC / CERT FAQ
What is the fundamental rating for CERT stock?
ChartMill assigns a fundamental rating of 5 / 10 to CERT.
Can you provide the valuation status for CERTARA INC?
ChartMill assigns a valuation rating of 4 / 10 to CERTARA INC (CERT). This can be considered as Fairly Valued.
Can you provide the profitability details for CERTARA INC?
CERTARA INC (CERT) has a profitability rating of 5 / 10.
What are the PE and PB ratios of CERTARA INC (CERT) stock?
The Price/Earnings (PE) ratio for CERTARA INC (CERT) is 24.49 and the Price/Book (PB) ratio is 1.8.