CERTARA INC (CERT) Fundamental Analysis & Valuation
NASDAQ:CERT • US15687V1098
7.15 USD
-0.2 (-2.72%)
At close: Mar 5, 2026
6.95 USD
-0.2 (-2.8%)
After Hours: 3/5/2026, 8:00:01 PM
This CERT fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
CERT gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 35 industry peers in the Health Care Technology industry. CERT has only an average score on both its financial health and profitability. CERT has a decent growth rate and is not valued too expensively.
1. CERT Profitability Analysis
1.1 Basic Checks
- CERT had positive earnings in the past year.
- In the past year CERT had a positive cash flow from operations.
- 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 -0.10%, CERT is doing good in the industry, outperforming 74.29% of the companies in the same industry.
- CERT has a Return On Equity of -0.15%. This is in the better half of the industry: CERT outperforms 74.29% of its industry peers.
- CERT has a Return On Invested Capital of 1.18%. This is in the better half of the industry: CERT outperforms 65.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.1% | ||
| ROE | -0.15% | ||
| ROIC | 1.18% |
ROA(3y)-1.47%
ROA(5y)-0.87%
ROE(3y)-2.19%
ROE(5y)-1.3%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- CERT's Operating Margin of 5.02% is fine compared to the rest of the industry. CERT outperforms 68.57% of its industry peers.
- In the last couple of years the Operating Margin of CERT has declined.
- CERT has a Gross Margin of 61.53%. This is comparable to the rest of the industry: CERT outperforms 54.29% of its industry peers.
- 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 | 5.02% | ||
| PM (TTM) | N/A | ||
| GM | 61.53% |
OM growth 3Y-20.25%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.55%
GM growth 5Y0.97%
2. CERT Health Analysis
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CERT is destroying value.
- Compared to 1 year ago, CERT has less shares outstanding
- The number of shares outstanding for CERT has been increased compared to 5 years ago.
- Compared to 1 year ago, CERT has a worse debt to assets ratio.
2.2 Solvency
- CERT has an Altman-Z score of 1.74. This is a bad value and indicates that CERT is not financially healthy and even has some risk of bankruptcy.
- CERT has a Altman-Z score of 1.74. This is comparable to the rest of the industry: CERT outperforms 60.00% of its industry peers.
- CERT has a debt to FCF ratio of 4.20. This is a neutral value as CERT would need 4.20 years to pay back of all of its debts.
- CERT's Debt to FCF ratio of 4.20 is fine compared to the rest of the industry. CERT outperforms 65.71% of its industry peers.
- A Debt/Equity ratio of 0.27 indicates that CERT is not too dependend on debt financing.
- Looking at the Debt to Equity ratio, with a value of 0.27, CERT is doing worse than 62.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 4.2 | ||
| Altman-Z | 1.74 |
ROIC/WACC0.12
WACC9.54%
2.3 Liquidity
- CERT has a Current Ratio of 2.05. This indicates that CERT is financially healthy and has no problem in meeting its short term obligations.
- CERT has a Current ratio (2.05) which is in line with its industry peers.
- CERT has a Quick Ratio of 2.05. This indicates that CERT is financially healthy and has no problem in meeting its short term obligations.
- With a Quick ratio value of 2.05, CERT perfoms like the industry average, outperforming 54.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.05 | ||
| Quick Ratio | 2.05 |
3. CERT Growth Analysis
3.1 Past
- CERT shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -2.22%.
- The Earnings Per Share has been decreasing by -1.47% on average over the past years.
- CERT shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.75%.
- Measured over the past years, CERT shows a quite strong growth in Revenue. The Revenue has been growing by 11.46% on average per year.
EPS 1Y (TTM)-2.22%
EPS 3Y-1.47%
EPS 5YN/A
EPS Q2Q%-40%
Revenue 1Y (TTM)8.75%
Revenue growth 3Y7.67%
Revenue growth 5Y11.46%
Sales Q2Q%3.28%
3.2 Future
- CERT is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 24.30% yearly.
- CERT is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.47% yearly.
EPS Next Y14%
EPS Next 2Y9.78%
EPS Next 3Y15.68%
EPS Next 5Y24.3%
Revenue Next Year3.15%
Revenue Next 2Y4.43%
Revenue Next 3Y6.33%
Revenue Next 5Y9.47%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last 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 stable.
4. CERT Valuation Analysis
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 16.25 indicates a correct valuation of CERT.
- Based on the Price/Earnings ratio, CERT is valued cheaply inside the industry as 82.86% of the companies are valued more expensively.
- Compared to an average S&P500 Price/Earnings ratio of 26.74, CERT is valued a bit cheaper.
- Based on the Price/Forward Earnings ratio of 14.25, the valuation of CERT can be described as correct.
- 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.
- CERT's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 24.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.25 | ||
| Fwd PE | 14.25 |
4.2 Price Multiples
- CERT's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. CERT is cheaper than 74.29% of the companies in the same industry.
- CERT's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. CERT is cheaper than 77.14% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.31 | ||
| EV/EBITDA | 13.24 |
4.3 Compensation for Growth
- The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- CERT's earnings are expected to grow with 15.68% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.16
PEG (5Y)N/A
EPS Next 2Y9.78%
EPS Next 3Y15.68%
5. CERT Dividend Analysis
5.1 Amount
- CERT does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
CERT Fundamentals: All Metrics, Ratios and Statistics
7.15
-0.2 (-2.72%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Technology
Earnings (Last)02-26 2026-02-26/bmo
Earnings (Next)05-04 2026-05-04/amc
Inst Owners93.43%
Inst Owner Change4.58%
Ins Owners0.89%
Ins Owner Change-0.4%
Market Cap1.14B
Revenue(TTM)418.84M
Net Income(TTM)-1.59M
Analysts76
Price Target12.62 (76.5%)
Short Float %18.49%
Short Ratio8.55
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)2.33%
Min EPS beat(2)-21.15%
Max EPS beat(2)25.82%
EPS beat(4)2
Avg EPS beat(4)-1.19%
Min EPS beat(4)-33.18%
Max EPS beat(4)25.82%
EPS beat(8)4
Avg EPS beat(8)-0.95%
EPS beat(12)4
Avg EPS beat(12)-3.08%
EPS beat(16)6
Avg EPS beat(16)-1.6%
Revenue beat(2)0
Avg Revenue beat(2)-1.82%
Min Revenue beat(2)-2.12%
Max Revenue beat(2)-1.53%
Revenue beat(4)0
Avg Revenue beat(4)-1.74%
Min Revenue beat(4)-2.39%
Max Revenue beat(4)-0.91%
Revenue beat(8)2
Avg Revenue beat(8)-1.65%
Revenue beat(12)2
Avg Revenue beat(12)-1.9%
Revenue beat(16)5
Avg Revenue beat(16)-1.43%
PT rev (1m)0%
PT rev (3m)-11.29%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.89%
EPS NY rev (1m)0%
EPS NY rev (3m)2.48%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.32%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.84%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.25 | ||
| Fwd PE | 14.25 | ||
| P/S | 2.72 | ||
| P/FCF | 16.31 | ||
| P/OCF | 11.81 | ||
| P/B | 1.07 | ||
| P/tB | N/A | ||
| EV/EBITDA | 13.24 |
EPS(TTM)0.44
EY6.15%
EPS(NY)0.5
Fwd EY7.02%
FCF(TTM)0.44
FCFY6.13%
OCF(TTM)0.61
OCFY8.47%
SpS2.63
BVpS6.68
TBVpS-0.99
PEG (NY)1.16
PEG (5Y)N/A
Graham Number8.13
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.1% | ||
| ROE | -0.15% | ||
| ROCE | 1.5% | ||
| ROIC | 1.18% | ||
| ROICexc | 1.37% | ||
| ROICexgc | N/A | ||
| OM | 5.02% | ||
| PM (TTM) | N/A | ||
| GM | 61.53% | ||
| FCFM | 16.66% |
ROA(3y)-1.47%
ROA(5y)-0.87%
ROE(3y)-2.19%
ROE(5y)-1.3%
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 3Y-13.68%
ROICexc growth 5YN/A
OM growth 3Y-20.25%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.55%
GM growth 5Y0.97%
F-Score6
Asset Turnover0.27
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 4.2 | ||
| Debt/EBITDA | 3.02 | ||
| Cap/Depr | 35.33% | ||
| Cap/Sales | 6.34% | ||
| Interest Coverage | 1.1 | ||
| Cash Conversion | 100.15% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.05 | ||
| Quick Ratio | 2.05 | ||
| Altman-Z | 1.74 |
F-Score6
WACC9.54%
ROIC/WACC0.12
Cap/Depr(3y)31.2%
Cap/Depr(5y)27.44%
Cap/Sales(3y)5.38%
Cap/Sales(5y)4.59%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-2.22%
EPS 3Y-1.47%
EPS 5YN/A
EPS Q2Q%-40%
EPS Next Y14%
EPS Next 2Y9.78%
EPS Next 3Y15.68%
EPS Next 5Y24.3%
Revenue 1Y (TTM)8.75%
Revenue growth 3Y7.67%
Revenue growth 5Y11.46%
Sales Q2Q%3.28%
Revenue Next Year3.15%
Revenue Next 2Y4.43%
Revenue Next 3Y6.33%
Revenue Next 5Y9.47%
EBIT growth 1Y1314.1%
EBIT growth 3Y-14.14%
EBIT growth 5YN/A
EBIT Next Year20.66%
EBIT Next 3Y9.42%
EBIT Next 5YN/A
FCF growth 1Y17.41%
FCF growth 3Y-4.46%
FCF growth 5Y13.61%
OCF growth 1Y19.71%
OCF growth 3Y1.35%
OCF growth 5Y16.54%
CERTARA INC / CERT FAQ
What is the fundamental rating for CERT stock?
ChartMill assigns a fundamental rating of 5 / 10 to CERT.
What is the valuation status of CERTARA INC (CERT) stock?
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 4 / 10.
What are the PE and PB ratios of CERTARA INC (CERT) stock?
The Price/Earnings (PE) ratio for CERTARA INC (CERT) is 16.25 and the Price/Book (PB) ratio is 1.07.
Can you provide the financial health for CERT stock?
The financial health rating of CERTARA INC (CERT) is 5 / 10.