Certara (NASDAQ:CERT) Stock Price Up 15.5% - Here's What Happened

Key Points

• Certara's stock price surged by 15.5%, reaching a last traded price of $11.01, significantly up from the previous close of $9.53, though trading volume was down by 68% compared to its average.
• Analysts have mixed views on Certara, with ratings ranging from "hold" to "buy," and an average price target of $15.14, following several recent upgrades from various brokerages.
• In its latest earnings report, Certara reported a net margin of -0.67% with a revenue increase of 12.1% year-over-year but missed the earnings per share consensus estimate.

Certara, Inc. (NASDAQ:CERT - Get Free Report)'s stock price rose 15.5% during trading on Thursday . The company traded as high as $11.14 and last traded at $11.01. Approximately 547,966 shares were traded during trading, a decline of 68% from the average daily volume of 1,721,283 shares. The stock had previously closed at $9.53.

Wall Street Analysts Forecast Growth

CERT has been the topic of a number of analyst reports. KeyCorp lowered their target price on Certara from $18.00 to $15.00 and set an "overweight" rating on the stock in a report on Monday, July 14th. Morgan Stanley initiated coverage on Certara in a research report on Thursday, July 3rd. They issued an "equal weight" rating and a $16.00 price objective for the company. Barclays raised Certara from an "equal weight" rating to an "overweight" rating and lifted their price objective for the company from $11.00 to $14.00 in a research report on Thursday, May 8th. UBS Group lowered their price objective on Certara from $17.50 to $15.00 and set a "buy" rating for the company in a research report on Thursday. Finally, JMP Securities reaffirmed a "market perform" rating on shares of Certara in a research report on Tuesday, May 6th. Four investment analysts have rated the stock with a hold rating and five have assigned a buy rating to the company's stock. According to data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $15.14.

Certara Stock Performance

The company has a quick ratio of 2.16, a current ratio of 2.16 and a debt-to-equity ratio of 0.27. The company has a 50 day moving average of $10.92 and a 200 day moving average of $11.73. The firm has a market cap of $1.68 billion, a price-to-earnings ratio of 209.44 and a beta of 1.42.

Certara (NASDAQ:CERT - Get Free Report) last released its quarterly earnings results on Wednesday, August 6th. The company reported $0.07 EPS for the quarter, missing the consensus estimate of $0.10 by ($0.03). Certara had a return on equity of 5.11% and a net margin of 1.97%. The business had revenue of $104.57 million during the quarter, compared to analyst estimates of $104.14 million. During the same quarter last year, the firm posted $0.07 EPS. The company's revenue was up 12.1% compared to the same quarter last year. As a group, equities research analysts expect that Certara, Inc. will post 0.28 EPS for the current fiscal year.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of CERT. AdvisorNet Financial Inc acquired a new stake in Certara during the second quarter valued at approximately $25,000. Versant Capital Management Inc grew its holdings in Certara by 218.8% in the 1st quarter. Versant Capital Management Inc now owns 2,719 shares of the company's stock worth $27,000 after buying an additional 1,866 shares in the last quarter. Caitong International Asset Management Co. Ltd bought a new position in Certara in the 1st quarter worth approximately $31,000. Wells Fargo & Company MN boosted its stake in Certara by 48.4% during the 4th quarter. Wells Fargo & Company MN now owns 3,208 shares of the company's stock valued at $34,000 after purchasing an additional 1,047 shares in the last quarter. Finally, AlphaQuest LLC bought a new position in Certara during the 1st quarter valued at $39,000. Institutional investors and hedge funds own 73.96% of the company's stock.

Certara Company Profile

Certara, Inc, together with its subsidiaries, provides software products and technology-enabled services to customers for biosimulation in drug discovery, preclinical and clinical research, regulatory submissions, and market access in the United States and internationally. It offers solutions for model-informed drug development, as well as biosimulation solution used to predict both pharmacokinetics and pharmacodynamics.