Clarivate (CLVT) AI Stock Analysis

• Market Cap: $2.95B
• Dividend Yield: N/A
• Average Volume (3M): 5.41M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.04
• Revenue Growth: -3.50%
• EPS Growth: 41.08%
• Country: US
• Employees: 12,000
• Sector: Technology
• Sector Strength: 84
• Industry: Information Technology Services
• EPS (TTM): 0.14
• Shares Outstanding: 683,086,900
• 10 Day Avg. Volume: 3,942,289
• 30 Day Avg. Volume: 5,414,363
• PEG Ratio: 1.04
• Price to Book (P/B): 0.59
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 8.26
• Enterprise Value/Market Cap: 2.43
• Enterprise Value/Revenue: 0.70
• Enterprise Value/Gross Profit: 4.30
• Enterprise Value/Ebitda: 15.34
• 1Y Price Target: $5.29
• Price Target Upside: 21.89% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 7

• Rating: 55 Neutral
• Price Target: $4.50 ▲(3.69%Upside)

Clarivate's overall stock score reflects its financial challenges, including negative profitability and declining revenues. Positive aspects include strategic corporate events and improved performance metrics in the latest earnings call. Technical analysis indicates mild upward momentum, but valuation remains a concern due to negative P/E and lack of dividend yield.

Positive Factors

Financial Performance

Clarivate's first-quarter revenue was significantly above analyst estimates and consensus, leading to higher adjusted EBITDA, margin, and EPS.

Revenue Growth

Improvement in patent and trademark renewal volumes largely drove strength in recurring revenue.

Negative Factors

Management Challenges

CLVT is now under its third CEO in as many years, who will have a significant lift on his hands in order to turn around the business.

Organic Growth

CLVT's business lines saw further deterioration in organic growth with all segments missing expectations.

Strategic Changes

Value Creation Plan likely to mean significant changes to the asset mix going forward, though do not expect asset sales to create value.

Clarivate Business Overview & Revenue Model

Company Description

Clarivate Plc, an information services and analytics company, provides structured information and analytics for discovery, protection, and commercialization of scientific research, innovations, and brands. It offers Web of Science products and services, such as Web of Science, InCites, Journal Citation Reports, EndNote, ScholarOne, Converis, Publons, and Kopernio to organizations that plan, fund, implement, and utilize research; and Life Sciences products, including Cortellis and Newport Integrity for pharmaceutical and biotechnology companies to support research, market intelligence, and competitive monitoring in connection with the development and commercialization of new drugs. The company also provides Derwent products, which include Derwent Innovation, Techstreet, and IP Professional Services that enables its customers to evaluate the novelty of potential new products, confirm freedom to operate with respect to their product design, help them secure patent protection, assess the competitive technology landscape, and ensure that their products comply with required industry standards; CompuMark products, such as trademark screening, searching, and watching products and services for businesses and law firms; and MarkMonitor products, which helps enterprises to establish, manage, optimize, and protect their online presence. It serves government and academic institutions, life science companies, and research and development corporations in the Americas, the Middle East, Africa, Europe, and the Asia Pacific. The company was formerly known as Clarivate Analytics Plc and changed its name to Clarivate Plc in May 2020. Clarivate Plc is headquartered in London, the United Kingdom.

How the Company Makes Money

Clarivate makes money through subscription-based models and licensing fees for its information and analytics platforms. The company's key revenue streams include recurring revenue from multi-year subscription contracts for its data solutions in intellectual property, academia, and life sciences. Additionally, Clarivate generates income through transactional sales, consulting services, and custom analytics projects. Strategic partnerships and acquisitions also play a significant role in enhancing its offerings and expanding its market reach, further driving revenue growth.

Clarivate Financial Statement Overview

Summary

Clarivate faces financial challenges, with negative net income and declining revenues. However, the company shows resilience in cash flow management, maintaining positive free cash flow despite net losses. The balance sheet is relatively stable but carries potential risks with significant liabilities and decreasing equity.

Income Statement

The income statement shows a challenging financial performance. The company experienced a significant decline in revenue over the TTM period, with a negative net income and EBIT, indicating profitability issues. Gross profit margin for TTM is approximately 58.8%, suggesting some operational efficiency, but this is overshadowed by the persistent net losses. The revenue growth rate is negative, reflecting a contraction compared to the previous year.

Balance Sheet

The balance sheet reveals a moderate financial position. The debt-to-equity ratio is about 0.91, indicating a balanced leverage position, although the ratio has been fluctuating. The equity ratio is approximately 43.7%, showing a reasonable proportion of equity financing. However, the company's equity has been decreasing, and its liabilities are significant, suggesting potential financial risks.

Cash Flow

Cash flow analysis indicates a stable cash flow generation capacity. The operating cash flow to net income ratio is negative due to net losses, but the free cash flow remains positive, highlighting effective capital expenditure management. Free cash flow has slightly decreased, but overall, the company maintains a positive cash flow, which is a positive sign in light of net income losses.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
2.53B	2.56B	2.63B	2.66B	2.66B	1.88B
	Gross Profit
1.67B	1.69B	1.72B	1.71B	1.71B	1.25B
	EBIT
-301.40M	-275.60M	-734.70M	-3.93B	590.20M	42.48M
	EBITDA
431.60M	456.60M	-10.50M	-3.01B	532.15M	52.38M
	Net Income Common Stockholders
-665.60M	-636.70M	-911.20M	-3.96B	-3.96B	-270.45M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
364.20M	295.20M	370.70M	348.80M	348.80M	430.88M
	Total Assets
13.94B	11.49B	12.71B	13.94B	13.94B	20.18B
	Total Debt
4.98B	4.59B	4.81B	5.10B	5.10B	5.61B
	Net Debt
4.62B	4.30B	4.44B	4.76B	4.76B	5.18B
	Total Liabilities
6.98B	6.35B	6.71B	7.13B	7.13B	8.26B
	Stockholders Equity
6.96B	5.14B	5.99B	6.81B	6.81B	11.93B
Cash Flow		Free Cash Flow
355.80M	357.50M	501.70M	306.40M	306.40M	205.22M
	Operating Cash Flow
641.40M	646.60M	744.20M	509.30M	509.30M	323.77M
	Investing Cash Flow
-233.20M	-236.70M	-237.40M	57.30M	57.30M	-4.04B
	Financing Cash Flow
-431.30M	-470.10M	-496.50M	-759.20M	-759.20M	4.03B

Clarivate Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4.34
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CLVT, the sentiment is Positive. The current price of 4.34 is above the 20-day moving average (MA) of 4.29, above the 50-day MA of 3.96, and below the 200-day MA of 5.15, indicating a neutral trend. The MACD of 0.07 indicates Positive momentum. The RSI at 57.12 is Neutral, neither overbought nor oversold. The STOCH value of 71.39 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CLVT.

Clarivate Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WNS	75 Outperform	$2.77B	15.35	21.21%	―	-0.64%	30.96%
PAY	73 Outperform	$4.57B	91.34	10.80%	―	47.78%	74.61%
ASGN	66 Neutral	$2.33B	15.47	8.65%	―	-8.05%	-18.60%
Sector *	62 Neutral	$11.80B	10.31	-7.45%	2.91%	7.43%	-7.78%
AI	60 Neutral	$3.44B	―	-33.73%	―	25.27%	4.68%
CLVT	55 Neutral	$2.95B	―	-12.20%	―	-3.50%	41.08%
DXC	46 Neutral	$2.86B	7.40	12.88%	―	-5.65%	78.20%

Clarivate Corporate Events

Clarivate Secures $500M Term Loans in May 2025

On May 30, 2025, Clarivate Plc’s subsidiaries, including Camelot Finance S.A., amended their existing credit agreement to secure a new $500 million tranche of incremental term loans maturing in 2031. These loans were used to redeem $500 million of outstanding senior secured notes due in 2026, leaving $200 million still outstanding. This strategic financial move allows Clarivate to extend the majority of its 2026 debt maturity, taking advantage of improved credit market conditions and maintaining flexibility in capital allocation.

The most recent analyst rating on (CLVT) stock is a Buy with a $4.50 price target. To see the full list of analyst forecasts on Clarivate stock, see the CLVT Stock Forecast page.

Clarivate Announces Partial Redemption of Senior Notes

On May 19, 2025, Camelot Finance S.A., a subsidiary of Clarivate Plc, announced a conditional partial redemption of $500 million of its 4.50% Senior Secured Notes due 2026. This redemption is contingent upon successful debt financing transactions to fund the redemption price, leaving $200 million of the notes outstanding after completion.

The most recent analyst rating on (CLVT) stock is a Buy with a $4.50 price target. To see the full list of analyst forecasts on Clarivate stock, see the CLVT Stock Forecast page.

Clarivate Shareholders Approve Key Proposals at AGM

On May 7, 2025, Clarivate Plc held its Annual General Meeting of Shareholders, where all proposals on the agenda were approved. These included the election of directors, advisory approval of executive compensation, ratification of auditors, approval of an amended incentive award plan, and authorization for the company to repurchase its ordinary shares. The decisions made at this meeting reflect a strong shareholder support for the company’s strategic initiatives and governance practices, potentially impacting its market operations and stakeholder relations.

The most recent analyst rating on (CLVT) stock is a Buy with a $4.50 price target. To see the full list of analyst forecasts on Clarivate stock, see the CLVT Stock Forecast page.

Clarivate Reports Q1 2025 Results with Revenue Decline

On April 29, 2025, Clarivate reported its first quarter 2025 results, showing a decrease in total revenues to $593.7 million from $621.2 million in the same quarter of 2024. Despite a net loss of $103.9 million, the company experienced a 0.3% increase in organic revenues, driven by higher renewals and new business wins. Clarivate repurchased $50 million in ordinary shares and generated $171.2 million in operating cash flow. The company reaffirmed its 2025 outlook, emphasizing its Value Creation Plan’s effectiveness in a volatile macro environment.