Cerence Inc
NASDAQ:CRNC

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Cerence Inc
NASDAQ:CRNC
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Price: 8.74 USD 8.03% Market Closed
Market Cap: $393.5m

EV/S

1.5
Current
35%
Cheaper
vs 3-y average of 2.3

Enterprise Value to Sales (EV/S) ratio compares a company`s total enterprise value to its revenue. It shows how much investors are paying for each dollar of the company`s sales, including both equity and debt.

EV/S
1.5
=
Enterprise Value
$421.6m
/
Revenue
$316m

Enterprise Value to Sales (EV/S) ratio compares a company`s total enterprise value to its revenue. It shows how much investors are paying for each dollar of the company`s sales, including both equity and debt.

EV/S
1.5
=
Enterprise Value
$421.6m
/
Revenue
$316m

Valuation Scenarios

Cerence Inc is trading below its 3-year average

If EV/S returns to its 3-Year Average (2.3), the stock would be worth $13.46 (54% upside from current price).

Statistics
Positive Scenarios
4/4
Maximum Downside
No Downside Scenarios
Maximum Upside
+185%
Average Upside
109%
Scenario EV/S Value Implied Price Upside/Downside
Current Multiple 1.5 $8.74
0%
3-Year Average 2.3 $13.46
+54%
5-Year Average 2.9 $16.83
+93%
Industry Average 4.2 $24.88
+185%
Country Average 3 $17.85
+104%

Forward EV/S
Today’s price vs future revenue

Today's Enterprise Value Revenue Forward EV/S
$421.6m
/
Jan 2026
$316m
=
1.5
Current
$421.6m
/
Sep 2026
$320.2m
=
1.3
Forward
$421.6m
/
Sep 2027
$294.6m
=
1.4
Forward
$421.6m
/
Sep 2028
$287.8m
=
1.5
Forward

Forward EV/S shows whether today’s EV/S still looks high or low once future revenue are taken into account.

Peer Comparison

All Multiples
EV/S
P/E
All Countries
Close

Market Distribution

Lower than 72% of companies in the United States of America
Percentile
28th
Based on 11 256 companies
28th percentile
1.5
Low
0 — 1.6
Typical Range
1.6 — 5.3
High
5.3 —
Distribution Statistics
the United States of America
Min 0
30th Percentile 1.6
Median 3
70th Percentile 5.3
Max 4 613 320.1

Cerence Inc
Glance View

Market Cap
393.5m USD
Industry
Technology

Cerence, Inc. builds automotive cognitive assistance solutions to power natural and intuitive interactions between automobiles, drivers and passengers, and the broader digital world. The company is headquartered in Burlington, Massachusetts and currently employs 1,700 full-time employees. The company went IPO on 2019-09-16. The firm's platform utilizes speech recognition, natural language understanding, speech signal enhancement, text-to-speech, and acoustic modeling technology to provide a conversational AI-based solution. The firm's platform is a fully customizable and designed to support its customers in creating their own ecosystem in the automobile and transforming the vehicle into a hub for numerous connected devices and services. Virtual assistants built with its software platform can address user requests across a variety of categories, such as navigation, control, media, communication and tools. Its software platform consists of edge computing and cloud-connected software components and a software framework linking these components together under a common programming interface.

CRNC Intrinsic Value
7.45 USD
Overvaluation 15%
Intrinsic Value
Price $8.74
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