8.64 USD
+0.61 (+7.6%)
8.64 USD
0 (0%)
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 not overvalued while it is showing excellent growth. This is an interesting combination. These ratings would make CERT suitable for growth investing!
1. Profitability
1.1 Basic Checks
In the past year CERT was profitable.
CERT had a positive operating cash flow in the past year.
In the past 5 years CERT reported 4 times negative net income.
In the past 5 years CERT always reported a positive cash flow from operatings.
1.2 Ratios
With a decent Return On Assets value of 0.71%, CERT is doing good in the industry, outperforming 77.14% of the companies in the same industry.
With a decent Return On Equity value of 1.02%, CERT is doing good in the industry, outperforming 77.14% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 1.48%, CERT is in the better half of the industry, outperforming 71.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.71% | ||
| ROE | 1.02% | ||
| ROIC | 1.48% |
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's Profit Margin of 2.62% is amongst the best of the industry. CERT outperforms 85.71% of its industry peers.
Looking at the Operating Margin, with a value of 6.30%, CERT is in the better half of the industry, outperforming 74.29% of the companies in the same industry.
The Gross Margin of CERT (61.44%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of CERT has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.3% | ||
| PM (TTM) | 2.62% | ||
| GM | 61.44% |
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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CERT is destroying value.
The number of shares outstanding for CERT has been increased compared to 1 year ago.
The number of shares outstanding for CERT has been increased compared to 5 years ago.
CERT has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.08 indicates that CERT is not a great score, but indicates only limited risk for bankruptcy at the moment.
CERT has a Altman-Z score of 2.08. This is in the better half of the industry: CERT outperforms 65.71% of its industry peers.
The Debt to FCF ratio of CERT is 3.21, which is a good value as it means it would take CERT, 3.21 years of fcf income to pay off all of its debts.
CERT has a Debt to FCF ratio of 3.21. This is in the better half of the industry: CERT outperforms 68.57% of its industry peers.
A Debt/Equity ratio of 0.27 indicates that CERT is not too dependend on debt financing.
CERT has a Debt to Equity ratio (0.27) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 3.21 | ||
| Altman-Z | 2.08 |
ROIC/WACC0.14
WACC10.77%
2.3 Liquidity
A Current Ratio of 2.09 indicates that CERT has no problem at all paying its short term obligations.
The Current ratio of CERT (2.09) is comparable to the rest of the industry.
CERT has a Quick Ratio of 2.09. This indicates that CERT is financially healthy and has no problem in meeting its short term obligations.
CERT's Quick ratio of 2.09 is in line compared to the rest of the industry. CERT outperforms 45.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.09 | ||
| Quick Ratio | 2.09 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 28.21% 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
CERT shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 11.47%.
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)28.21%
EPS 3Y38.33%
EPS 5YN/A
EPS Q2Q%7.69%
Revenue 1Y (TTM)11.47%
Revenue growth 3Y10.42%
Revenue growth 5Y13.06%
Sales Q2Q%10.33%
3.2 Future
CERT is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 19.16% yearly.
The Revenue is expected to grow by 9.01% 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 5Y19.16%
Revenue Next Year9.9%
Revenue Next 2Y8.96%
Revenue Next 3Y9.05%
Revenue Next 5Y9.01%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 17.28, the valuation of CERT can be described as rather expensive.
Based on the Price/Earnings ratio, CERT is valued cheaply inside the industry as 88.57% of the companies are valued more expensively.
CERT's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 25.47.
Based on the Price/Forward Earnings ratio of 15.58, the valuation of CERT can be described as correct.
85.71% of the companies in the same industry are more expensive than CERT, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.42, CERT is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.28 | ||
| Fwd PE | 15.58 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CERT is valued a bit cheaper than 77.14% of the companies in the same industry.
88.57% of the companies in the same industry are more expensive than CERT, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.04 | ||
| EV/EBITDA | 14.9 |
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 |
8.64
+0.61 (+7.6%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Technology
Earnings (Last)
Earnings (Next)
Inst Owners81.56%
Inst Owner Change10.12%
Ins Owners2.42%
Ins Owner Change-0.08%
Market Cap1.38B
Revenue(TTM)415.55M
Net Income(TTM)10.88M
Analysts75.56
Price Target14.23 (64.7%)
Short Float %14.83%
Short Ratio8.2
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)-3.68%
Min EPS beat(2)-33.18%
Max EPS beat(2)25.82%
EPS beat(4)3
Avg EPS beat(4)8.05%
Min EPS beat(4)-33.18%
Max EPS beat(4)25.82%
EPS beat(8)4
Avg EPS beat(8)-0.69%
EPS beat(12)5
Avg EPS beat(12)0.42%
EPS beat(16)6
Avg EPS beat(16)-5.81%
Revenue beat(2)0
Avg Revenue beat(2)-2.25%
Min Revenue beat(2)-2.39%
Max Revenue beat(2)-2.12%
Revenue beat(4)1
Avg Revenue beat(4)-1.35%
Min Revenue beat(4)-2.39%
Max Revenue beat(4)0%
Revenue beat(8)2
Avg Revenue beat(8)-1.5%
Revenue beat(12)3
Avg Revenue beat(12)-1.53%
Revenue beat(16)5
Avg Revenue beat(16)-2.04%
PT rev (1m)-3.42%
PT rev (3m)-9.68%
EPS NQ rev (1m)-2.06%
EPS NQ rev (3m)-5.13%
EPS NY rev (1m)0%
EPS NY rev (3m)-5.89%
Revenue NQ rev (1m)-3.05%
Revenue NQ rev (3m)-3.87%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.28 | ||
| Fwd PE | 15.58 | ||
| P/S | 3.31 | ||
| P/FCF | 15.04 | ||
| P/OCF | 11.77 | ||
| P/B | 1.29 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.9 |
EPS(TTM)0.5
EY5.79%
EPS(NY)0.55
Fwd EY6.42%
FCF(TTM)0.57
FCFY6.65%
OCF(TTM)0.73
OCFY8.49%
SpS2.61
BVpS6.69
TBVpS-1.05
PEG (NY)N/A
PEG (5Y)N/A
Graham Number8.67
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.71% | ||
| ROE | 1.02% | ||
| ROCE | 1.87% | ||
| ROIC | 1.48% | ||
| ROICexc | 1.68% | ||
| ROICexgc | N/A | ||
| OM | 6.3% | ||
| PM (TTM) | 2.62% | ||
| GM | 61.44% | ||
| FCFM | 22.02% |
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 Turnover0.27
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 3.21 | ||
| Debt/EBITDA | 2.89 | ||
| Cap/Depr | 34.15% | ||
| Cap/Sales | 6.1% | ||
| Interest Coverage | 1.19 | ||
| Cash Conversion | 116.35% | ||
| Profit Quality | 841.35% | ||
| Current Ratio | 2.09 | ||
| Quick Ratio | 2.09 | ||
| Altman-Z | 2.08 |
F-Score7
WACC10.77%
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)28.21%
EPS 3Y38.33%
EPS 5YN/A
EPS Q2Q%7.69%
EPS Next Y-0.92%
EPS Next 2Y11.01%
EPS Next 3Y12.25%
EPS Next 5Y19.16%
Revenue 1Y (TTM)11.47%
Revenue growth 3Y10.42%
Revenue growth 5Y13.06%
Sales Q2Q%10.33%
Revenue Next Year9.9%
Revenue Next 2Y8.96%
Revenue Next 3Y9.05%
Revenue Next 5Y9.01%
EBIT growth 1Y261.61%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year16.77%
EBIT Next 3Y12.28%
EBIT Next 5Y10.77%
FCF growth 1Y13.27%
FCF growth 3Y4.89%
FCF growth 5Y15.82%
OCF growth 1Y23.15%
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 6 / 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 17.28 and the Price/Book (PB) ratio is 1.29.