Cerillion (CER) AI Stock Analysis

• Market Cap: £497.01M
• Dividend Yield: 0.78%
• Average Volume (3M): 62.80K
• Price to Earnings (P/E): 32.6
• Beta (1Y): 0.66
• Revenue Growth: 11.70%
• EPS Growth: 17.85%
• Country: UK
• Employees: 351
• Sector: Technology
• Sector Strength: 65
• Industry: Software - Application
• EPS (TTM): 0.52
• Shares Outstanding: 29,495,974
• 10 Day Avg. Volume: 45,146
• 30 Day Avg. Volume: 62,802
• PEG Ratio: 3.95
• Price to Book (P/B): 10.59
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 49.16
• 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: £1,550.00
• Price Target Upside: -8.01% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

Cerillion's stock is rated highly due to its strong financial performance characterized by impressive revenue growth and profitability margins. Additionally, positive corporate events, such as a promising customer pipeline and successful AGM resolutions, enhance its market position. However, technical analysis shows caution is warranted due to mixed signals, and the valuation suggests the stock might be slightly overvalued.

Cerillion Business Overview & Revenue Model

Company Description

Cerillion (CER) is a leading provider of billing, charging, and customer management systems primarily for the telecommunications industry. The company offers a comprehensive suite of solutions designed to support the end-to-end customer lifecycle, from initial order and subscription management to billing, invoicing, and real-time charging. Cerillion's core products are built to enhance operational efficiency and customer experience, enabling service providers to deliver innovative offerings and quickly adapt to market changes.

How the Company Makes Money

Cerillion makes money through the licensing and implementation of its software solutions, primarily targeting telecommunications service providers. The company's revenue model includes one-time licensing fees for its software products, as well as ongoing maintenance and support contracts. Additionally, Cerillion generates income from professional services, such as system integration, custom development, and consulting. Key revenue streams also include subscription-based models for its cloud-based offerings, allowing clients to pay for services on a recurring basis. Strategic partnerships with technology providers and system integrators further contribute to Cerillion's earnings by expanding its market reach and enhancing its service offerings.

Cerillion Financial Statement Overview

Summary

Cerillion demonstrates strong financial health across its income statement, balance sheet, and cash flow metrics. The company has significant revenue growth, high profitability margins, low financial leverage, and strong cash generation capabilities, indicating robust financial stability and growth potential.

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
Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement		Total Revenue
43.75M	39.17M	32.73M	26.07M	20.81M
	Gross Profit
35.20M	30.81M	25.50M	20.41M	15.35M
	EBIT
18.41M	15.28M	10.70M	7.52M	2.80M
	EBITDA
21.99M	18.83M	14.03M	10.47M	5.79M
	Net Income Common Stockholders
15.26M	12.93M	9.34M	6.43M	2.61M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
29.85M	24.74M	20.25M	13.17M	8.31M
	Total Assets
63.10M	52.78M	42.63M	35.67M	32.12M
	Total Debt
2.80M	3.16M	4.03M	4.81M	6.19M
	Net Debt
-27.05M	-21.58M	-16.22M	-8.36M	-2.12M
	Total Liabilities
14.59M	15.90M	15.90M	15.46M	16.09M
	Stockholders Equity
48.51M	36.88M	26.73M	20.21M	16.03M
Cash Flow		Free Cash Flow
9.70M	8.32M	10.73M	8.53M	5.17M
	Operating Cash Flow
11.21M	9.75M	12.34M	9.80M	6.61M
	Investing Cash Flow
-1.51M	-1.43M	-1.61M	-1.27M	-1.44M
	Financing Cash Flow
-4.54M	-3.76M	-3.76M	-3.61M	-3.61M

Cerillion Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1685.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• 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 1685 is above the 20-day moving average (MA) of 1524.50, above the 50-day MA of 1501.35, and below the 200-day MA of 1693.94, indicating a neutral trend. The MACD of 76.77 indicates Negative momentum. The RSI at 59.72 is Neutral, neither overbought nor oversold. The STOCH value of 77.71 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
CER	77 Outperform	£497.01M	32.59	35.74%	0.78%	11.70%	17.85%
ALFA	76 Outperform	£719.87M	28.00	58.00%	0.55%	7.75%	8.77%
KNOS	75 Outperform	£985.71M	19.41	35.07%	3.53%	-4.13%	23.09%
IDOX	75 Outperform	£264.47M	50.00	6.94%	1.21%	19.55%	-6.45%
APTD	70 Outperform	£166.41M	34.13	8.42%	1.81%	-6.21%	21.39%
NCC	64 Neutral	£462.35M	―	-10.60%	3.08%	-3.19%	-446.58%
Sector *	60 Neutral	$10.96B	10.27	-6.73%	2.97%	7.73%	-11.60%

Cerillion Corporate Events

Cerillion to Announce Interim Results and Host Investor Presentation

Cerillion is set to announce its interim results for the first half of 2025 on May 19, with a subsequent online presentation by CEO Louis Hall and CFO Andrew Dickson on May 28. This event will provide insights into the company’s performance and growth prospects, offering stakeholders an opportunity to engage directly with the leadership through a Q&A session.

Spark’s Take on GB:CER Stock

According to Spark, TipRanks’ AI Analyst, GB:CER is a Outperform.

Cerillion’s stock is rated highly due to its strong financial performance characterized by impressive revenue growth and profitability margins. Additionally, positive corporate events, such as a promising customer pipeline and successful AGM resolutions, enhance its market position. However, technical analysis shows caution is warranted due to mixed signals, and the valuation suggests the stock might be slightly overvalued.

To see Spark’s full report on GB:CER stock, click here.

Cerillion Convenes General Meeting to Address Dividend Compliance

Cerillion plc has announced a General Meeting to address procedural requirements under the Companies Act 2006 related to the payment of historic dividends. The meeting aims to secure shareholder approval for waivers that would rectify the company’s failure to file interim accounts, ensuring compliance with the Act. This move is not expected to impact Cerillion’s financial position, and while directors cannot independently recommend a vote due to conflicts of interest, the waivers have been deemed fair and reasonable by the company’s Nominated Adviser.

Spark’s Take on GB:CER Stock

According to Spark, TipRanks’ AI Analyst, GB:CER is a Outperform.

Cerillion’s stock is rated highly due to its strong financial performance characterized by impressive revenue growth and profitability margins. Additionally, positive corporate events, such as a promising customer pipeline and successful AGM resolutions, enhance its market position. However, technical analysis shows caution is warranted due to mixed signals, and the valuation suggests the stock might be slightly overvalued.

To see Spark’s full report on GB:CER stock, click here.

Cerillion PLC Announces Change in Major Holdings

Cerillion PLC, a company in the telecommunications software industry, has announced a change in its major holdings. Canaccord Genuity Group Inc., based in Vancouver, Canada, has increased its voting rights in Cerillion to 5.0064% as of April 28, 2025. This change in holdings reflects an acquisition or disposal of voting rights, indicating a strategic move by Canaccord Genuity to strengthen its influence in Cerillion. The increase from the previous position of 4.4124% suggests a growing interest and potential impact on Cerillion’s corporate governance and decision-making processes.

Spark’s Take on GB:CER Stock

According to Spark, TipRanks’ AI Analyst, GB:CER is a Outperform.

Cerillion’s stock is rated highly due to its strong financial performance characterized by impressive revenue growth and profitability margins. Additionally, positive corporate events, such as a promising customer pipeline and successful AGM resolutions, enhance its market position. However, technical analysis shows caution is warranted due to mixed signals, and the valuation suggests the stock might be slightly overvalued.

To see Spark’s full report on GB:CER stock, click here.

Cerillion Reports Strong Financial Position and Promising Customer Pipeline

Cerillion plc has released a trading update for the first half of its financial year ending September 2025, reporting expected revenues of approximately £20.9 million, slightly down from £22.5 million in the same period last year, due to the timing of software licence renewals. Despite this, the company has strengthened its balance sheet with a net cash increase to £31.0 million. Cerillion’s strong customer pipeline and recent contract wins, including a major $11.4 million deal and a £5.4 million renewal, position it well to meet market expectations for the year. Additionally, a significant European customer has chosen Cerillion’s software to support a new tier-1 customer base, which is anticipated to boost revenues in the current and next financial year.

Spark’s Take on GB:CER Stock

According to Spark, TipRanks’ AI Analyst, GB:CER is a Outperform.

Cerillion’s stock score reflects strong financial performance and positive corporate events, such as a significant telecom contract and successful AGM resolutions. However, technical indicators show downward momentum, and the valuation remains relatively high, suggesting some caution is warranted despite the company’s growth potential.

To see Spark’s full report on GB:CER stock, click here.

Cerillion plc Acquires Shares for Treasury to Support Incentive Plans

Cerillion plc has announced the purchase of 17,500 of its own shares to be held in treasury for future use in its Long Term Incentive Plan and Save As You Earn scheme. This move affects the total voting rights, now standing at 29,495,974, which shareholders can use to determine their interest in the company’s share capital.

Cerillion PLC Announces Successful AGM Resolutions

Cerillion plc announced the successful passing of all resolutions at its Annual General Meeting, with a high percentage of shareholder approval. This outcome reflects strong shareholder confidence and supports the company’s strategic direction, potentially enhancing its market position in the software solutions industry.