Certara (NASDAQ:CERT) Sets New 12-Month Low Following Weak Earnings

Certara, Inc. (NASDAQ:CERT) reached a new 52-week low on Thursday following a weaker than expected earnings announcement. The company traded as low as $6.04 and last traded at $6.4030, with a volume of 502587 shares changing hands. The stock had previously closed at $6.59.

The company reported $0.09 EPS for the quarter, missing analysts’ consensus estimates of $0.11 by ($0.02). Certara had a negative net margin of 0.38% and a positive return on equity of 4.19%. The firm had revenue of $103.65 million during the quarter, compared to the consensus estimate of $103.23 million. During the same period in the prior year, the company earned $0.15 EPS. The firm’s revenue was up 3.2% compared to the same quarter last year. Certara has set its FY 2026 guidance at 0.440-0.480 EPS.

Certara News Roundup

Here are the key news stories impacting Certara this week:

• Positive Sentiment: FY‑2025 results showed 9% revenue growth to $418.8M, adjusted EBITDA up 10% to $134.5M, and Q4 software revenue +10% — evidence of recovering commercial momentum in the higher‑margin software business. Certara Reports Fourth Quarter 2025 Financial Results
• Positive Sentiment: New CEO Jon Resnick is executing an operational overhaul with plans for sharper strategic focus and ~ $10M of cost avoidance — a management change investors often view as constructive for execution and long‑term growth. CEO signals operational overhaul
• Positive Sentiment: Barclays maintained an Overweight stance on CERT (despite lowering its price target), indicating some sell‑side support for the name even after recent guidance/earnings. Barclays price target change
• Neutral Sentiment: Management will participate in upcoming investor conferences — a chance to press the case for the turnaround and provide more color to investors. Investor conference participation
• Neutral Sentiment: Broker and media earnings breakdowns are circulating (useful for detail on items behind adjusted metrics and bookings vs. revenue). Earnings breakdown
• Negative Sentiment: GAAP and adjusted metrics disappointed in places: Q4 adjusted diluted EPS of $0.09 (down vs. prior year) and a GAAP net loss; management guided FY‑2026 revenue of only 0–4% (and set revenue range below Street expectations), which pressured near‑term growth expectations. Guidance and Q4 results
• Negative Sentiment: Craig Hallum downgraded CERT from Buy to Hold, reflecting analyst caution after the quarter and guidance; such downgrades can increase selling pressure. Analyst downgrade (Craig Hallum)

Analyst Ratings Changes

CERT has been the topic of a number of recent research reports. TD Cowen reiterated a “buy” rating on shares of Certara in a research report on Thursday. KeyCorp cut their price objective on shares of Certara from $13.00 to $12.00 and set an “overweight” rating for the company in a research note on Thursday, January 8th. Barclays reduced their target price on shares of Certara from $13.00 to $8.00 and set an “overweight” rating on the stock in a report on Friday. Stephens lowered their price target on shares of Certara from $15.00 to $12.00 and set an “overweight” rating for the company in a research note on Friday, December 12th. Finally, Leerink Partners reaffirmed an “outperform” rating and set a $10.00 price objective on shares of Certara in a research note on Thursday. One investment analyst has rated the stock with a Strong Buy rating, six have given a Buy rating, six have issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, Certara currently has a consensus rating of “Moderate Buy” and a consensus price target of $11.10.

Hedge Funds Weigh In On Certara

Several hedge funds and other institutional investors have recently modified their holdings of the company. Associated Banc Corp raised its position in Certara by 9.7% during the 3rd quarter. Associated Banc Corp now owns 11,920 shares of the company’s stock valued at $146,000 after purchasing an additional 1,051 shares during the last quarter. Police & Firemen s Retirement System of New Jersey increased its stake in shares of Certara by 2.5% during the second quarter. Police & Firemen s Retirement System of New Jersey now owns 45,745 shares of the company’s stock valued at $535,000 after buying an additional 1,136 shares during the period. Versant Capital Management Inc raised its holdings in shares of Certara by 66.7% during the third quarter. Versant Capital Management Inc now owns 2,881 shares of the company’s stock valued at $35,000 after acquiring an additional 1,153 shares in the last quarter. Osaic Holdings Inc. lifted its stake in Certara by 50.7% in the second quarter. Osaic Holdings Inc. now owns 3,491 shares of the company’s stock worth $41,000 after acquiring an additional 1,175 shares during the period. Finally, ANTIPODES PARTNERS Ltd boosted its holdings in Certara by 22.5% in the second quarter. ANTIPODES PARTNERS Ltd now owns 6,665 shares of the company’s stock valued at $78,000 after acquiring an additional 1,223 shares in the last quarter. 73.96% of the stock is owned by institutional investors.

Certara Trading Up 4.1%

The company has a quick ratio of 2.09, a current ratio of 2.09 and a debt-to-equity ratio of 0.27. The firm has a market cap of $1.13 billion, a P/E ratio of -708.00 and a beta of 1.47. The firm’s fifty day moving average is $8.36 and its two-hundred day moving average is $9.89.

Certara Company Profile

Certara is a biosimulation software and services company that partners with pharmaceutical, biotechnology and medical device developers to accelerate drug discovery, development and regulatory approval. The company’s platform integrates quantitative pharmacology, real-world evidence, artificial intelligence and machine learning to model and simulate drug behavior across a range of therapeutic areas and patient populations. By applying these mechanistic and data-driven approaches, Certara helps its clients predict clinical outcomes, optimize dosing strategies and streamline decision-making throughout the product lifecycle.

The company’s offerings are divided into software tools and consulting services.