Analyst Scoreboard: 4 Ratings For Cerence
4 analysts have shared their evaluations of Cerence (NASDAQ:CRNC) during the recent three months, expressing a mix of bullish and bearish perspectives.
The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 1 | 0 | 3 | 0 | 0 |
| Last 30D | 0 | 0 | 1 | 0 | 0 |
| 1M Ago | 0 | 0 | 0 | 0 | 0 |
| 2M Ago | 1 | 0 | 0 | 0 | 0 |
| 3M Ago | 0 | 0 | 2 | 0 | 0 |
Analysts have set 12-month price targets for Cerence, revealing an average target of $20.25, a high estimate of $23.00, and a low estimate of $15.00. This upward trend is evident, with the current average reflecting a 12.5% increase from the previous average price target of $18.00.
Decoding Analyst Ratings: A Detailed Look
A clear picture of Cerence's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Luke Junk | Baird | Lowers | Neutral | $15.00 | $17.00 |
| Quinn Bolton | Needham | Maintains | Buy | $23.00 | - |
| Jeff Van Rhee | Craig-Hallum | Announces | Hold | $22.00 | - |
| Daniel Ives | Wedbush | Raises | Neutral | $21.00 | $19.00 |
Key Insights:
- Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to Cerence. This insight gives a snapshot of analysts' perspectives on the current state of the company.
- Rating: Unveiling insights, analysts deliver qualitative insights into stock performance, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Cerence compared to the broader market.
- Price Targets: Gaining insights, analysts provide estimates for the future value of Cerence's stock. This comparison reveals trends in analysts' expectations over time.
Capture valuable insights into Cerence's market standing by understanding these analyst evaluations alongside pertinent financial indicators. Stay informed and make strategic decisions with our Ratings Table.
Stay up to date on Cerence analyst ratings.
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About Cerence
Cerence Inc is a United States-based software company. It is involved in developing mobility-based solutions for drivers and their cars. The customers include all automobile original equipment manufacturers, or OEMs, or their tier 1 suppliers. The company's revenue is generated by selling software licenses and cloud-connected services. Geographically, it derives a majority of its revenue from the United States and also has a presence in Other Americas; Germany; Other Europe, the Middle East, Africa; Japan, and Other Asia-Pacific.
A Deep Dive into Cerence's Financials
Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.
Revenue Growth: Cerence displayed positive results in 3 months. As of 31 December, 2023, the company achieved a solid revenue growth rate of approximately 65.36%. This indicates a notable increase in the company's top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Information Technology sector.
Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 17.25%, the company showcases strong profitability and effective cost control.
Return on Equity (ROE): Cerence's ROE stands out, surpassing industry averages. With an impressive ROE of 3.35%, the company demonstrates effective use of equity capital and strong financial performance.
Return on Assets (ROA): Cerence's ROA stands out, surpassing industry averages. With an impressive ROA of 1.86%, the company demonstrates effective utilization of assets and strong financial performance.
Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.4.
How Are Analyst Ratings Determined?
Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.
Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.
If you want to keep track of which analysts are outperforming others, you can view updated analyst ratings along withanalyst success scores in Benzinga Pro.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
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