tiprankstipranks
Advertisement
Advertisement

Certara: Capitalizing on Growing Biosimulation Adoption Despite Near-Term Software Headwinds

Certara: Capitalizing on Growing Biosimulation Adoption Despite Near-Term Software Headwinds

Analyst Dan Leonard of UBS maintained a Buy rating on Certara, with a price target of $10.00.

Claim 30% Off TipRanks

Dan Leonard has given his Buy rating due to a combination of factors that highlight Certara’s strategic position in model‑informed drug development. Despite a softer Q4, he views the company as uniquely situated to capitalize on increasing adoption of biosimulation and to expand usage of its specialized software suite across a broader customer base, supporting a return to healthier revenue growth over time.

He also notes that services bookings, particularly in biosimulation and regulatory writing, are expanding at solid double‑digit and mid‑teens rates, indicating robust underlying demand even as software bookings temporarily slow. While 2026 revenue guidance is modest and below prior expectations, the combination of improving retention, new offerings such as Phoenix Cloud and CertaraIQ, and disciplined profitability targets underpins his conviction that the stock offers an attractive risk‑reward profile at current levels.

In another report released on February 27, Barclays also maintained a Buy rating on the stock with a $8.00 price target.

Disclaimer & DisclosureReport an Issue

1