Cerillion (CER) AI Stock Analysis

• Market Cap: £433.66M
• Dividend Yield: 0.95%
• Average Volume (3M): 65.14K
• Price to Earnings (P/E): 30.4
• Beta (1Y): 1.28
• Revenue Growth: 2.33%
• EPS Growth: 1.11%
• Country: UK
• Employees: 351
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 0.24
• Shares Outstanding: 29,500,975
• 10 Day Avg. Volume: 102,082
• 30 Day Avg. Volume: 65,144
• PEG Ratio: 1.91
• Price to Book (P/B): 10.95
• Price to Sales (P/S): 12.14
• P/FCF Ratio: 54.79
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: £2,055.00
• Price Target Upside: 48.91% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 69 Neutral
• Price Target: 1,604.00p ▲(16.23% Upside)

Cerillion's strong financial performance is the most significant factor, showcasing robust growth and profitability. However, technical indicators suggest some short-term weakness, and the valuation appears high, which could limit upside potential. The absence of earnings call data and corporate events means these factors do not influence the score.

Cerillion Business Overview & Revenue Model

Company Description

Cerillion (CER) is a leading provider of enterprise software solutions, primarily catering to the telecommunications and utility sectors. The company specializes in delivering billing, charging, and customer relationship management (CRM) systems that empower businesses to optimize their operations and enhance customer experiences. Cerillion's core products include its cloud-based billing platform, revenue management solutions, and customer engagement tools, which are designed to support the digital transformation of its clients.

How the Company Makes Money

Cerillion generates revenue through a combination of software licensing, subscription services, and professional services. Its primary revenue streams include the sale of software licenses for its enterprise solutions, ongoing subscription fees for cloud-based services, and consulting fees for implementation and support. The company also benefits from maintenance contracts and service-level agreements that provide recurring revenue. Strategic partnerships with telecommunications companies and utility providers further enhance its market presence and contribute to its earnings by ensuring a steady flow of clients seeking reliable and innovative software solutions.

Cerillion Financial Statement Overview

Summary

Cerillion exhibits strong financial health with significant revenue growth, high profitability margins, low financial leverage, and robust cash generation capabilities. These factors collectively indicate robust financial stability and growth potential in the software industry.

Income Statement

Cerillion's income statement shows strong performance with significant revenue growth year-over-year, with a 11.68% increase from 2023 to 2024. Gross Profit Margin and Net Profit Margin are robust at 80.47% and 34.88% respectively, indicating high profitability. Both EBIT and EBITDA margins are also strong, reflecting effective cost management and operational efficiency.

Balance Sheet

The balance sheet is healthy, with a low Debt-to-Equity Ratio of 0.06, indicating minimal leverage and financial risk. The Return on Equity is an impressive 31.47%, reflecting effective utilization of shareholders' equity to generate profits. The Equity Ratio is 76.88%, suggesting a strong equity base relative to total assets.

Cash Flow

Cerillion's cash flow statement demonstrates solid cash generation. The Free Cash Flow Growth Rate is 16.48%, showcasing strong growth in cash generation. The Operating Cash Flow to Net Income Ratio is 0.73, indicating efficient cash conversion from earnings. The Free Cash Flow to Net Income Ratio of 0.64 reflects substantial free cash flow generation relative to net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	42.15M	43.75M	39.17M	32.73M	26.07M	20.81M
Gross Profit	31.63M	35.20M	30.81M	22.52M	20.41M	15.35M
EBITDA	21.01M	21.99M	18.83M	14.03M	10.47M	5.79M
Net Income	14.24M	15.26M	12.93M	9.34M	6.43M	2.61M
Balance Sheet
Total Assets	67.49M	63.10M	52.78M	42.63M	35.67M	32.12M
Cash, Cash Equivalents and Short-Term Investments	31.21M	29.85M	24.74M	20.25M	13.17M	8.31M
Total Debt	3.74M	2.80M	3.16M	4.03M	4.81M	6.19M
Total Liabilities	15.94M	14.59M	15.90M	15.90M	15.46M	16.09M
Stockholders Equity	51.55M	48.51M	36.88M	26.73M	20.21M	16.03M
Cash Flow
Free Cash Flow	12.53M	9.70M	8.32M	10.73M	8.53M	5.17M
Operating Cash Flow	12.94M	11.21M	9.75M	12.34M	9.80M	6.61M
Investing Cash Flow	-2.08M	-1.51M	-1.43M	-1.61M	-1.27M	-1.44M
Financing Cash Flow	-6.24M	-4.54M	-3.76M	-3.76M	-3.61M	-3.61M

Cerillion Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1380.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:CER, the sentiment is Positive. The current price of 1380 is below the 20-day moving average (MA) of 1467.25, below the 50-day MA of 1446.20, and below the 200-day MA of 1542.13, indicating a neutral trend. The MACD of -4.67 indicates Positive momentum. The RSI at 52.05 is Neutral, neither overbought nor oversold. The STOCH value of 56.08 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:CER.

Cerillion Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ALFA	―	£669.12M	23.13	62.38%	3.40%	18.44%	33.73%
KNOS	―	£1.13B	32.82	24.12%	2.99%	-3.96%	-26.93%
CER	―	£433.66M	30.39	30.29%	0.95%	2.33%	1.11%
IDOX	―	£321.93M	51.53	8.06%	0.99%	10.93%	12.30%
APTD	―	£167.73M	38.31	7.71%	1.87%	-6.63%	-7.88%
Sector *	―	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
NCC	―	£451.12M	-18.45	―	2.04%	―	―

Cerillion Corporate Events

Cerillion Unveils AI-Driven Enhancements with Cerillion 25.2 Launch

Cerillion has launched version 25.2 of its software suite, introducing a new Model Context Protocol (MCP) Server and a suite of AI Agents designed to enhance conversational intelligence across communications service providers’ operations. This release, which includes a new AI Billing Agent and other AI-driven tools, aims to transform user interaction with business applications by providing natural language interfaces for complex operations. The update also features a new Service Catalogue and a refreshed Interconnect Manager, enhancing the company’s BSS/OSS suite and accelerating service innovation for communications providers. Cerillion’s commitment to open standards is further demonstrated by achieving its first TM Forum Open Digital Architecture Component Certifications.

The most recent analyst rating on (GB:CER) stock is a Buy with a £1551.00 price target. To see the full list of analyst forecasts on Cerillion stock, see the GB:CER Stock Forecast page.

Cerillion PLC Announces Share Transfer to CEO Louis Hall

Cerillion PLC announced that Affinity Trust Limited, a trust for the benefit of CEO Louis Hall, transferred 3,346,887 ordinary shares to him at no cost, leaving his beneficial interest unchanged. This transaction, conducted outside a trading venue, complies with the Market Abuse Regulation, reflecting internal shareholding adjustments without impacting the company’s market position or stakeholder interests.

The most recent analyst rating on (GB:CER) stock is a Buy with a £1665.00 price target. To see the full list of analyst forecasts on Cerillion stock, see the GB:CER Stock Forecast page.

Cerillion Recognized as Major Player in IDC MarketScape 2025

Cerillion has been recognized as a Major Player in the IDC MarketScape: Worldwide Customer Experience Platforms for Telecommunications 2025 Vendor Assessment. This recognition, alongside its inclusion in two Gartner reports, highlights Cerillion’s growing industry profile and its capability to simplify customer management and accelerate digital transformation. Cerillion’s alignment with industry standards and its modular, pre-integrated architecture enable communication service providers to modernize without lock-in, fostering innovation and personalized customer experiences.

The most recent analyst rating on (GB:CER) stock is a Hold with a £1578.00 price target. To see the full list of analyst forecasts on Cerillion stock, see the GB:CER Stock Forecast page.

Cerillion Secures £17.3m Contracts to Enhance European Market Position

Cerillion has secured two major follow-on contracts worth £17.3 million with an existing European customer, building on a previous £8 million agreement. These contracts, among the company’s largest, involve the integration of the customer’s newly-acquired Tier-1 customer base into Cerillion’s BSS/OSS platform, covering software licenses, maintenance, managed services, and the Evergreen programme. This strategic win enhances Cerillion’s market position by validating its product-centric approach, which aims to reduce costs and improve operational efficiencies for clients.

The most recent analyst rating on (GB:CER) stock is a Hold with a £1578.00 price target. To see the full list of analyst forecasts on Cerillion stock, see the GB:CER Stock Forecast page.

Cerillion Recognized in Gartner Reports for AI in CSP Operations

Cerillion has been recognized in two Gartner reports for its AI capabilities in communication service provider (CSP) customer and business operations. This recognition highlights Cerillion’s strategic focus on integrating advanced AI into its BSS/OSS suite, enabling CSPs to streamline operations and enhance customer experiences. The company’s inclusion in these reports underscores its commitment to innovation and its competitive positioning in the industry.

The most recent analyst rating on (GB:CER) stock is a Hold with a £1578.00 price target. To see the full list of analyst forecasts on Cerillion stock, see the GB:CER Stock Forecast page.

Cerillion PLC Announces Share Option Exercise and Voting Rights Update

Cerillion PLC announced the exercise of options over 5,000 shares by Richard Doughty, a person discharging managerial responsibilities, under the company’s Long Term Incentive Plan. Following this, Doughty sold 1,580 shares to cover the tax liability incurred from the exercise. This transaction impacts the total voting rights, which now stand at 29,500,974 shares, allowing shareholders to assess changes in their shareholding under the Financial Conduct Authority’s Disclosure and Transparency Rules.

The most recent analyst rating on (GB:CER) stock is a Buy with a £2350.00 price target. To see the full list of analyst forecasts on Cerillion stock, see the GB:CER Stock Forecast page.