Cerence Net Worth
Cerence Net Worth Breakdown | CRNC |
Cerence Net Worth Analysis
Cerence's net worth analysis, or its valuation, is the process of determining the total value of the company. This involves assessing a range of factors, including Cerence's financial performance, assets, liabilities, and potential for growth. The ultimate goal is to provide a clear understanding of Cerence's overall worth, which can help investors make informed investment decisions. There are several methods that can be used to perform Cerence's net worth analysis. One common approach is to calculate Cerence's market capitalization.Another approach is to use the price-to-earnings ratio (P/E ratio), which compares Cerence's stock price to its earnings per share (EPS). Discounted cash flow (DCF) analysis is another popular method for assessing Cerence's net worth. This approach calculates the present value of Cerence's future cash flows, taking into account factors such as growth rate, profitability, and risk. By comparing the present value of Cerence's cash flows to its current stock price, investors can gain a better understanding of the company's overall value. Finally, investors may use comparable company analysis to evaluate Cerence's net worth. This involves comparing Cerence's financial metrics to similar companies in the same industry. By identifying companies with similar financial characteristics, investors can gain insight into Cerence's net worth relative to its peers.
To determine if Cerence 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 Cerence's net worth research are outlined below:
| Cerence is way too risky over 90 days horizon | |
| Cerence appears to be risky and price may revert if volatility continues | |
| Cerence has high likelihood to experience some financial distress in the next 2 years | |
| The company reported the previous year's revenue of 331.5 M. Net Loss for the year was (588.08 M) with profit before overhead, payroll, taxes, and interest of 233.71 M. | |
| Over 83.0% of the company shares are held by institutions such as insurance companies | |
| Latest headline from seekingalpha.com: Disposition of 5000 shares by Thomas Beaudoin of Cerence at 7.98 subject to Rule 16b-3 |
Cerence Quarterly Good Will |
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Cerence 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 Cerence. 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 Cerence'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 February 2024 Upcoming Quarterly Report | View | |
| 14th of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 25th of November 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 30th of September 2023 Last Financial Announcement | View |
Cerence Target Price Consensus
Cerence target price is determined by taking all analyst projections and averaging them out. There is no one specific way to measure analysts' performance other than comparing it to past results via a very sophisticated attribution analysis. Cerence's target price projections below should be used in combination with other traditional price prediction techniques such as stock price forecasting, investor sentiment analysis, technical analysis, earnings estimate, and various momentum models.
| 7 | Buy |
Most Cerence analysts issue ratings four times a year, at intervals of three months. Ratings are usually accompanied by a target price to help potential investors understand Cerence stock's fair price compared to its market value. Analysts arrive at stock ratings after researching the public financial statements of Cerence, talking to its executives and customers, or listening to those companies' conference calls.
Macroaxis Advice Exposure ValuationCerence Target Price Projection
Cerence's current and average target prices are 19.33 and 31.50, respectively. The current price of Cerence is the price at which Cerence is currently trading. On the other hand, Cerence's target price is what analysts think the stock is worth or could sell for in the future. The more significant the discrepancy between the two prices, the more it stimulates investors to act.Target Price
Analyst Consensus On Cerence Target Price
Know Cerence's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Cerence is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Cerence backward and forwards among themselves. Cerence's institutional investor refers to the entity that pools money to purchase Cerence'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 | Jacobs Levy Equity Management, Inc. | 2024-09-30 | 823.4 K | Two Sigma Investments Llc | 2024-09-30 | 798 K | Jane Street Group Llc | 2024-09-30 | 752.5 K | Bank Of America Corp | 2024-09-30 | 665 K | Morgan Stanley - Brokerage Accounts | 2024-09-30 | 625.8 K | Mirae Asset Global Etfs Holdings Ltd. | 2024-09-30 | 530 K | Millennium Management Llc | 2024-09-30 | 513.3 K | Two Sigma Advisers, Llc | 2024-09-30 | 510.3 K | Raymond James Finl Svs Advisors, Inc. | 2024-09-30 | 486.4 K | American Capital Management Inc | 2024-09-30 | 3.9 M | Blackrock Inc | 2024-06-30 | 3.3 M |
Follow Cerence's market capitalization trends
The company currently falls under 'Small-Cap' category with a current market capitalization of 337.46 M.Market Cap |
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Project Cerence's profitablity
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | (1.67) | (1.59) | |
| Return On Capital Employed | (1.37) | (1.30) | |
| Return On Assets | (0.96) | (0.91) | |
| Return On Equity | (4.79) | (4.55) |
When accessing Cerence's net worth, it's important to look at multiple sources and consider different scenarios. For example, gross profit margin measures Cerence'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 Cerence's profitability and make more informed investment decisions.
Please note, the presentation of Cerence's financial position, as portrayed in its financial statements, is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, Cerence's management is honest, while the outside auditors are strict and uncompromising. Please utilize our Beneish M Score to check the likelihood of Cerence's management manipulating its earnings.
Evaluate Cerence's management efficiency
Cerence has return on total asset (ROA) of 0.0377 % which means that it generated a profit of $0.0377 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of (1.3517) %, meaning that it created substantial loss on money invested by shareholders. Cerence's management efficiency ratios could be used to measure how well Cerence manages its routine affairs as well as how well it operates its assets and liabilities. The current year's Return On Tangible Assets is expected to grow to -1.59. The current year's Return On Capital Employed is expected to grow to -1.3. At present, Cerence's Other Assets are projected to increase significantly based on the last few years of reporting. The current year's Other Current Assets is expected to grow to about 91.5 M, whereas Non Current Assets Total are forecasted to decline to about 373.5 M.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 3.90 | 3.70 | |
| Tangible Book Value Per Share | (4.35) | (4.57) | |
| Enterprise Value Over EBITDA | (0.23) | (0.24) | |
| Price Book Value Ratio | 0.84 | 1.04 | |
| Enterprise Value Multiple | (0.23) | (0.24) | |
| Price Fair Value | 0.84 | 1.04 | |
| Enterprise Value | 565.1 M | 502.3 M |
Leadership effectiveness at Cerence is a strong indicator of its financial stability. We analyze various metrics to provide insights into the stock's investment viability.
Enterprise Value Revenue 1.5255 | Revenue | Quarterly Revenue Growth 0.144 | Revenue Per Share | Return On Equity |
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Cerence insiders, such as employees or executives, is commonly permitted as long as it does not rely on Cerence'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 Cerence 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.
Cerence Corporate Filings
F4 | 2nd of January 2025 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 |
| 31st of December 2024 Other Reports | ViewVerify | |
8K | 23rd of December 2024 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
| 13th of December 2024 Other Reports | ViewVerify |
Cerence Earnings Estimation Breakdown
The calculation of Cerence's earning per share is based on the data from the past 12 consecutive months, used for reporting the company's financial figures. The next projected EPS of Cerence is estimated to be -0.0571 with the future projection ranging from a low of -0.3 to a high of -0.17. Please be aware that this consensus of annual earnings estimates for Cerence is based on EPS before non-recurring items and includes expenses related to employee stock options.Last Reported EPS
-0.3 Lowest | Expected EPS | -0.17 Highest |
Cerence Earnings Projection Consensus
Suppose the current estimates of Cerence's value are higher than the current market price of the Cerence stock. In this case, investors may conclude that Cerence is overpriced and will exhibit bullish sentiment. On the other hand, if the present value is lower than the stock price, analysts may conclude that the market undervalues the equity. These scenarios may suggest that the market is not as efficient as it should be at the estimation time, and Cerence's stock will quickly adjusts to the new information provided by the consensus estimate.
| Number of Analysts | Historical Accuracy | Last Reported EPS | Estimated EPS for 31st of December 2024 | Current EPS (TTM) | |
| 7 | 38.16% | -0.07 | -0.0571 | -14.12 |
Cerence Earnings History
Earnings estimate consensus by Cerence analysts from Wall Street is used by the market to judge Cerence's stock performance. Investors also use these earnings estimates to evaluate and project the stock performance into the future in order to make their investment decisions. However, we recommend analyzing not only Cerence's upcoming profit reports and earnings-per-share forecasts but also comparing them to our different valuation methods.Cerence Quarterly Gross Profit |
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Cerence Earnings per Share Projection vs Actual
Actual Earning per Share of Cerence refers to what the company shows during its earnings calls or quarterly reports. The Expected EPS is what analysts covering Cerence predict the company's earnings will be in the future. The higher the earnings per share of Cerence, the better is its profitability. While calculating the Earning per Share, we use the weighted ratio, as the number of shares outstanding can change over time.Cerence Estimated Months Earnings per Share
For an investor who is primarily interested in generating an income out of investing in entities such as Cerence, the EPS ratio can tell if the company is intending to increase its current dividend. Although EPS is an essential tool for investors, it should not be used in isolation. EPS of Cerence should always be considered in relation to other companies to make a more educated investment decision.Cerence Quarterly Analyst Estimates and Surprise Metrics
Earnings surprises can significantly impact Cerence'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.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2024-11-21 | 2024-09-30 | -0.36 | -0.07 | 0.29 | 80 | ||
2024-08-08 | 2024-06-30 | 0.05 | 0.19 | 0.14 | 280 | ||
2024-05-09 | 2024-03-31 | -0.22 | -0.09 | 0.13 | 59 | ||
2024-02-06 | 2023-12-31 | 0.9 | 1.12 | 0.22 | 24 | ||
2023-11-27 | 2023-09-30 | 0.15 | 0.09 | -0.06 | 40 | ||
2023-08-08 | 2023-06-30 | -0.14 | -0.04 | 0.1 | 71 | ||
2023-05-09 | 2023-03-31 | -0.13 | -0.04 | 0.09 | 69 | ||
2023-02-08 | 2022-12-31 | 0.09 | 0.36 | 0.27 | 300 | ||
2022-11-29 | 2022-09-30 | -0.23 | -0.14 | 0.09 | 39 | ||
2022-08-09 | 2022-06-30 | 0.42 | 0.43 | 0.01 | 2 | ||
2022-05-10 | 2022-03-31 | 0.34 | 0.33 | -0.01 | 2 | ||
2022-02-07 | 2021-12-31 | 0.51 | 0.59 | 0.08 | 15 | ||
2021-11-22 | 2021-09-30 | 0.56 | 0.66 | 0.1 | 17 | ||
2021-08-09 | 2021-06-30 | 0.54 | 0.62 | 0.08 | 14 | ||
2021-05-10 | 2021-03-31 | 0.52 | 0.69 | 0.17 | 32 | ||
2021-02-08 | 2020-12-31 | 0.51 | 0.59 | 0.08 | 15 | ||
2020-11-16 | 2020-09-30 | 0.34 | 0.61 | 0.27 | 79 | ||
2020-08-04 | 2020-06-30 | 0.07 | 0.31 | 0.24 | 342 | ||
2020-05-07 | 2020-03-31 | 0.12 | 0.43 | 0.31 | 258 | ||
2020-02-11 | 2019-12-31 | 0.28 | 0.29 | 0.01 | 3 | ||
2019-12-17 | 2019-09-30 | 0.48 | 0.34 | -0.14 | 29 | ||
2019-09-09 | 2019-06-30 | 0 | 0.07 | 0.07 | 0 | ||
2019-05-21 | 2019-03-31 | 0 | 0.06 | 0.06 | 0 |
Cerence Corporate Management
| Katherine Roman | Corporate VP | Profile | |
| Dennis Close | VP Treasurer | Profile | |
| Nils Lenke | VP Applications | Profile | |
| Bridget Collins | Chief Officer | Profile | |
| Daniel Tempesta | Chief Officer | Profile | |
| Sachin Sahney | Chief Officer | Profile |
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Is Systems Software space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Cerence. If investors know Cerence will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Cerence listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.10) | Earnings Share (14.12) | Revenue Per Share | Quarterly Revenue Growth 0.144 | Return On Assets |
The market value of Cerence is measured differently than its book value, which is the value of Cerence that is recorded on the company's balance sheet. Investors also form their own opinion of Cerence's value that differs from its market value or its book value, called intrinsic value, which is Cerence's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Cerence's market value can be influenced by many factors that don't directly affect Cerence's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Cerence's value and its price as these two are different measures arrived at by different means. Investors typically determine if Cerence is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Cerence's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.