Cerence price target lowered to $10 from $12 at Wells Fargo

Wells Fargo analyst Colin Langan lowered the firm’s price target on Cerence (CRNC) to $10 from $12 and keeps an Equal Weight rating on the shares. The firm notes that the company’s Q2 beat and management’s guided FY25 raises margin guidance. The free cash flow turnaround came just in time ahead of the June 2025 convert expiration. While Cerence continues its turnaround, Wells remains on the sidelines given market risk and valuation.