Certara, Inc. (CERT) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-35.2%

$6.94

vs $10.71 price

Levered DCF

$7.74

After debt service

Piotroski score

7 / 9

Strong

Altman Z-score

2.6

Grey zone

Rating

C+

Overall 2 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	-881×	-141.81×	-50.26×	171.14×	-321.13×	-105.38×	-671.6×	-152.32×
P/B	1.33×	1.61×	2.67×	2.34×	4.09×	6.27×	12.18×	10.23×
P/S	3.37×	4.44×	7.89×	7.51×	14.88×	21.18×	28.73×	30.8×
EV / EBITDA	12.05×	25.44×	120.08×	29.13×	74.79×	290.27×	105.33×	168.63×
Gross margin	61.5%	59.9%	60.2%	60.5%	61.0%	58.6%	61.7%	56.6%
Operating margin	5.0%	-0.4%	-11.5%	9.7%	4.7%	-10.0%	9.4%	-2.8%
Net margin	-0.4%	-3.1%	-15.6%	4.4%	-4.6%	-20.3%	-4.3%	-20.3%
Current ratio	2.05×	2.13×	2.62×	3.32×	2.98×	4.6×	1.39×	1.05×
Debt / equity	0.01×	0.29×	0.29×	0.29×	0.3×	0.36×	0.82×	0.83×
Interest coverage	1.06×	-0.08×	-1.78×	1.83×	0.81×	-0.97×	0.7×	-0.17×
Dividend yield	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%
Payout ratio	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	-0.2%	-1.1%	-5.3%	1.4%	-1.3%	-6.0%	-1.8%	-6.7%
Return on invested capital	-0.3%	-0.1%	-2.8%	1.7%	1.0%	-2.0%	2.0%	-0.5%
Return on assets	-0.1%	-0.8%	-3.5%	0.9%	-0.9%	-3.9%	-0.9%	-3.2%
Free cash flow yield	4.9%	3.5%	2.4%	3.2%	1.2%	0.7%	0.5%	0.0%
Earnings yield	-0.1%	-0.7%	-2.0%	0.6%	-0.3%	-1.0%	-0.1%	-0.7%
Enterprise value	$1.2B	$1.8B	$2.9B	$2.6B	$4.4B	$5.2B	$6.4B	$5.4B
Net debt / EBITDA	-1.74×	1.83×	2.84×	0.8×	2.09×	1.57×	6.16×	12.3×
Cash conversion cycle (days)	94	105	83	76	76	74	69	114