Is Certara Stock a Good Investment?
Certara Investment Advice | CERT |
- Examine Certara's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Certara's leadership team and their track record. Good management can help Certara navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Health Care Technology space and any emerging trends that could impact Certara's business and its evolving consumer preferences.
- Compare Certara's performance and market position to its competitors. Analyze how Certara is positioned in terms of product offerings, innovation, and market share.
- Check if Certara pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Certara's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Certara stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Certara is a good investment.
Sell | Buy |
Strong Hold
Market Performance | Very Weak | Details | |
Volatility | Not too volatile | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Below Average | Details | |
Economic Sensitivity | Actively responds to the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Poor | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine Certara Stock
Researching Certara's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 96.0% of the company shares are held by institutions such as insurance companies. The company has price-to-book (P/B) ratio of 1.58. Some equities with similar Price to Book (P/B) outperform the market in the long run. Certara has Price/Earnings To Growth (PEG) ratio of 0.49. The entity recorded a loss per share of 0.2. The firm had not issued any dividends in recent years.
To determine if Certara is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Certara's research are outlined below:
| Certara generated a negative expected return over the last 90 days | |
| The company reported the previous year's revenue of 354.34 M. Net Loss for the year was (55.36 M) with profit before overhead, payroll, taxes, and interest of 203.07 M. | |
| Certara has a poor financial position based on the latest SEC disclosures | |
| Over 96.0% of the company shares are held by institutions such as insurance companies | |
| Latest headline from news.google.com: CERT Earnings per Share -0.20 - GuruFocus.com |
Certara Quarterly Cash And Short Term Investments |
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Certara uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Certara. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Certara's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 6th of March 2024 Upcoming Quarterly Report | View | |
| 13th of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 6th of March 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact Certara's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Certara's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2021-11-09 | 2021-09-30 | 0.06 | 0.07 | 0.01 | 16 | ||
2024-11-06 | 2024-09-30 | 0.11 | 0.13 | 0.02 | 18 | ||
2024-02-29 | 2023-12-31 | 0.11 | 0.09 | -0.02 | 18 | ||
2022-08-09 | 2022-06-30 | 0.11 | 0.09 | -0.02 | 18 | ||
2022-05-05 | 2022-03-31 | 0.09 | 0.11 | 0.02 | 22 | ||
2021-08-05 | 2021-06-30 | 0.05 | 0.03 | -0.02 | 40 | ||
2021-05-06 | 2021-03-31 | 0.04 | 0.06 | 0.02 | 50 | ||
2024-08-06 | 2024-06-30 | 0.1 | 0.07 | -0.03 | 30 |
Know Certara's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Certara is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Certara backward and forwards among themselves. Certara's institutional investor refers to the entity that pools money to purchase Certara's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Riverbridge Partners Llc | 2024-09-30 | 2.4 M | Arrowmark Colorado Holdings, Llc (arrowmark Partners) | 2024-09-30 | 2.4 M | Brown Brothers Harriman & Co | 2024-09-30 | 2.3 M | Geode Capital Management, Llc | 2024-09-30 | 1.9 M | Morgan Stanley - Brokerage Accounts | 2024-06-30 | 1.9 M | William Blair Investment Management, Llc | 2024-09-30 | 1.6 M | Daventry Group, Lp | 2024-09-30 | 1.5 M | Royal Bank Of Canada | 2024-06-30 | 1.5 M | London Company Of Virginia | 2024-06-30 | 1.4 M | Blackrock Inc | 2024-06-30 | 13.4 M | Vanguard Group Inc | 2024-09-30 | 12.4 M |
Certara's market capitalization trends
The company currently falls under 'Mid-Cap' category with a current market capitalization of 1.67 B.Market Cap |
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Certara's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | (0.15) | (0.16) | |
| Return On Capital Employed | (0.03) | (0.03) | |
| Return On Assets | (0.04) | (0.03) | |
| Return On Equity | (0.05) | (0.05) |
Determining Certara's profitability involves analyzing its financial statements and using various financial metrics to determine if Certara is a good buy. For example, gross profit margin measures Certara's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Certara's profitability and make more informed investment decisions.
Certara's Earnings Breakdown by Geography
Please note, the imprecision that can be found in Certara's accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of Certara. Check Certara's Beneish M Score to see the likelihood of Certara's management manipulating its earnings.
Evaluate Certara's management efficiency
Return On Tangible Assets is likely to drop to -0.16 in 2024. Return On Capital Employed is likely to gain to -0.03 in 2024. Total Current Liabilities is likely to drop to about 97 M in 2024. Liabilities And Stockholders Equity is likely to drop to about 1.5 B in 2024Certara's management efficiency ratios could be used to measure how well Certara manages its routine affairs as well as how well it operates its assets and liabilities.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 6.59 | 4.35 | |
| Tangible Book Value Per Share | (0.98) | (1.03) | |
| Enterprise Value Over EBITDA | 119.90 | 144.46 | |
| Price Book Value Ratio | 2.67 | 2.54 | |
| Enterprise Value Multiple | 119.90 | 144.46 | |
| Price Fair Value | 2.67 | 2.54 | |
| Enterprise Value | 2.9 B | 4.9 B |
The strategic initiatives led by Certara's management are central to its market success. By analyzing these initiatives, we provide a clear picture of the stock's growth prospects.
Beta 1.511 |
Basic technical analysis of Certara Stock
As of the 25th of November, Certara shows the Risk Adjusted Performance of (0.08), mean deviation of 1.88, and Standard Deviation of 2.65. Certara technical analysis gives you the methodology to make use of historical prices and volume patterns to determine a pattern that approximates the direction of the firm's future prices.Certara's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Certara insiders, such as employees or executives, is commonly permitted as long as it does not rely on Certara's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Certara insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Certara's Outstanding Corporate Bonds
Certara issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Certara uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Certara bonds can be classified according to their maturity, which is the date when Certara has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| Boeing Co 2196 Corp BondUS097023DG73 | View | |
| KALLPA 4125 16 AUG 27 Corp BondUS156830AA95 | View | |
| HSBC Holdings PLC Corp BondUS404280DR76 | View | |
| MGM Resorts International Corp BondUS552953CD18 | View | |
| AerCap Global Aviation Corp BondUS00773HAA59 | View |
Understand Certara's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Certara's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | (0.08) | |||
| Market Risk Adjusted Performance | (0.16) | |||
| Mean Deviation | 1.88 | |||
| Coefficient Of Variation | (858.38) | |||
| Standard Deviation | 2.65 | |||
| Variance | 7.04 | |||
| Information Ratio | (0.17) | |||
| Jensen Alpha | (0.55) | |||
| Total Risk Alpha | (0.74) | |||
| Treynor Ratio | (0.17) | |||
| Maximum Drawdown | 15.96 | |||
| Value At Risk | (4.01) | |||
| Potential Upside | 3.48 | |||
| Skewness | 0.8244 | |||
| Kurtosis | 2.83 |
| Risk Adjusted Performance | (0.08) | |||
| Market Risk Adjusted Performance | (0.16) | |||
| Mean Deviation | 1.88 | |||
| Coefficient Of Variation | (858.38) | |||
| Standard Deviation | 2.65 | |||
| Variance | 7.04 | |||
| Information Ratio | (0.17) | |||
| Jensen Alpha | (0.55) | |||
| Total Risk Alpha | (0.74) | |||
| Treynor Ratio | (0.17) | |||
| Maximum Drawdown | 15.96 | |||
| Value At Risk | (4.01) | |||
| Potential Upside | 3.48 | |||
| Skewness | 0.8244 | |||
| Kurtosis | 2.83 |
Consider Certara's intraday indicators
Certara intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Certara stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Certara Corporate Filings
13A | 13th of November 2024 The form used by investors holding more than 5% of a company's stock, to report their beneficial ownership pursuant to Rule 13d-1 or Rule 13d-2 under the Securities Exchange Act of 1934 | ViewVerify |
8K | 6th of November 2024 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
F3 | 18th of October 2024 The report used by insiders such as officers, directors, and major shareholders (beneficial owners holding more than 10% of any class of the company's equity securities) to declare their ownership of a company's stock | ViewVerify |
F4 | 8th of October 2024 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
Certara Stock media impact
Far too much social signal, news, headlines, and media speculation about Certara that are available to investors today. That information is available publicly through Certara media outlets and privately through word of mouth or via Certara internal channels. However, regardless of the origin, that massive amount of Certara data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Certara news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Certara relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Certara's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Certara alpha.
Certara Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Certara can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Certara Historical Investor Sentiment
Investor biases related to Certara's public news can be used to forecast risks associated with an investment in Certara. The trend in average sentiment can be used to explain how an investor holding Certara can time the market purely based on public headlines and social activities around Certara. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Certara's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Certara and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Certara news discussions. The higher the estimate score, the more favorable the investor's outlook on Certara.
Certara Corporate Management
| Richard Traynor | General VP | Profile | |
| Frederic Bois | Head Advisor | Profile | |
| Sheila MBA | Chief Officer | Profile | |
| Ron DiSantis | Senior Development | Profile |
Additional Tools for Certara Stock Analysis
When running Certara's price analysis, check to measure Certara's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Certara is operating at the current time. Most of Certara's value examination focuses on studying past and present price action to predict the probability of Certara's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Certara's price. Additionally, you may evaluate how the addition of Certara to your portfolios can decrease your overall portfolio volatility.