# Cerillion Plc (CER.L) fundamentals

Data as of 2026-09-08. LSE, United Kingdom. Sector: Technology / Software. Price 986p, market value 291 millionp.

## Valuation
- **P/E (trailing): 21.4×** (5-yr avg 3192.6×, 3-yr avg 3059.6×). Cerillion Plc trades at 21.4× trailing earnings, well below its own five-year average of 3192.6×: cheap by its own standards. The Technology median in the September 2026 study was 32.1×. Forward P/E is 15.2×, lower than trailing, so analysts expect earnings to grow.
- **PEG: 1.98**. A PEG of 1.98 is in the range usually read as fairly priced for its growth.
- **Price / sales: 3.4×**. Each dollar of revenue is priced at 3.4×.
- **Price / book: 4.8×**. The shares trade at 4.8× book value; book value is a meaningful part of the valuation.
- **EV / EBITDA: 6.4×**. Enterprise value is 6.4× operating earnings before depreciation, the multiple that ignores how the company is financed; below 8× is inexpensive for most sectors.
- **Free-cash-flow yield: 6.8%** (5-yr avg 0.0%). Free cash flow equals 6.8% of the market value, above its five-year average of 0.0%, so the shares are cheaper on cash than they have usually been. Above 5% is generally attractive.
- **Earnings yield: 4.7%**. The inverse of the P/E: 4.7% of the price is earned each year.

## Profitability
- **Gross margin: 74.4%**. Cerillion Plc keeps 74.4% of revenue after the direct cost of what it sells, the kind of margin that comes with software, brands or pricing power.
- **Operating margin: 40.1%**. 40.1% of revenue is left after running the business, an exceptional level.
- **Net margin: 36.6%**. 36.6% of each dollar of sales reaches the bottom line.
- **Return on equity: 27.9%**. 27.9% on shareholders' equity is excellent if it is not driven by leverage; sustained above 20% usually signals a competitive advantage.
- **Return on invested capital: 91.1%**. Return on all capital, debt included, is 91.1%: comfortably above what that capital costs.
- **Return on assets: 37.1%**. Each dollar of assets produces 37.1% of profit.

## Growth
- **Revenue growth (1 yr): 3.7%** (3-yr 11.5%/yr, 5-yr 16.9%/yr). Revenue grew 3.7% over the last year, against 16.9% a year compounded over five years: growth is slowing.
- **EPS growth (1 yr): 7.7%** (3-yr 20.5%/yr, 5-yr 45.0%/yr). Earnings per share rose 7.7%, roughly in step with revenue.
- **Free-cash-flow growth (3 yr): 6.1%/yr**. Free cash flow has compounded at 6.1% a year over three years, lagging earnings: check whether profits are turning into cash.

## Financial health
- **Debt to equity: 0.06**. Debt is 0.06 times equity: a conservative balance sheet.
- **Net debt / EBITDA: net cash**. Cerillion Plc holds more cash than debt.
- **Interest coverage: 100.6×**. Operating profit covers interest 100.6× over, a safe margin.
- **Current ratio: 4.45** (quick 4.45). Current assets cover the next year's liabilities 4.45 times.
- **Altman Z-score: 14.39**. A Z-score of 14.39 places the company in the safe zone for bankruptcy risk.
- **Piotroski F-score: 5/9**. 5 of 9 checks pass: mixed.

## Dividends
- **Dividend yield: 1.63%** (0p per share, trailing). Cerillion Plc yields 1.63%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 25%** (42% of free cash flow). 25% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 1**. 1 straight year of increases.
- **Dividend growth (5 yr): 9.7%/yr** (1-yr 250.0%). The dividend has grown 9.7% a year over five years.
- **Shareholder yield: 2.1%**. Dividends plus net buybacks return 2.1% of the market value a year.

## Analyst view
- **Analyst consensus: strong_buy** (7 analysts). 7 analysts cover Cerillion Plc; the consensus is strong_buy, with an average price target of 1971p (+100% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): -29.8%** (YTD -18.8%, 3-mo -19.8%). The shares are down 29.8% over twelve months including dividends.
- **From 52-week high: -44.3%** (10.8% above the low). Trading 44% below its 52-week high, deep in a drawdown.
- **200-day average: below**. The price sits below its 200-day moving average, the usual definition of a downtrend.
- **RSI (14-day): 54**. An RSI of 54 is neutral.
- **Beta (1 yr): 0.76** (volatility 41%). Beta of 0.76 against the FTSE All-Share: the shares move roughly with the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=CER.L · Page: https://foliofundamentals.com/stocks/cer.l

Not investment advice.