Cerence Inc. [NASDAQ: CRNC] traded at a high on 12/17/20, posting a 9.08 gain after which it closed the day’ session at $102.50. The company report on December 16, 2020 that FCA Selects Cerence To Provide Conversational and Interactive AI in the All-New Electric Fiat 500.
Natural language understanding brings new personality to the electric version of the classic car.
Cerence Inc. (NASDAQ: CRNC), AI for a world in motion, announced that FCA has selected Cerence to provide conversational AI in the all-new electric Fiat 500, FCA’s first fully electric vehicle. The new Cerence-powered automotive assistant is central to the New 500 as the automaker puts the driver experience front and center.
The results of the trading session contributed to over 1105380 shares changing hands. Over the past one week, the price volatility of Cerence Inc. stands at 5.72% while the volatility over the past one month is 7.05%.
The market cap for CRNC stock reached $3.81 billion, with 36.77 million shares outstanding and 36.58 million shares in the current float. Compared to the average trading volume of 678.62K shares, CRNC reached a trading volume of 1105380 in the most recent trading day, which is why market watchdogs consider the stock to be active.
What do top market gurus say about Cerence Inc. [CRNC]?
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for CRNC shares is $86.70 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on CRNC stock is a recommendation set at 2.00. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
Berenberg have made an estimate for Cerence Inc. shares, keeping their opinion on the stock as Hold, with their previous recommendation back on December 10, 2020. The new note on the price target was released on November 18, 2020, representing the official price target for Cerence Inc. stock. Previously, the target price had yet another raise from $55 to $72, while RBC Capital Mkts kept a Sector Perform rating on CRNC stock.
The Average True Range (ATR) for Cerence Inc. is set at 5.89, with the Price to Sales ratio for CRNC stock in the period of the last 12 months amounting to 11.55. The Price to Book ratio for the last quarter was 3.93, with the Price to Cash per share for the same quarter was set at 3.98.
How has CRNC stock performed recently?
Cerence Inc. [CRNC] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 14.53. With this latest performance, CRNC shares gained by 46.62% in over the last four-week period, additionally plugging by 130.86% over the last 6 months – not to mention a rise of 396.85% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for CRNC stock in for the last two-week period is set at 74.13, with the RSI for the last a single of trading hit 77.58, and the three-weeks RSI is set at 71.94 for Cerence Inc. [CRNC]. The present Moving Average for the last 50 days of trading for this stock 71.78, while it was recorded at 93.23 for the last single week of trading, and 45.13 for the last 200 days.
Cerence Inc. [CRNC]: Deeper insight into the fundamentals
Operating Margin for any stock indicates how profitable investing would be, and Cerence Inc. [CRNC] shares currently have an operating margin of +11.40 and a Gross Margin at +63.48. Cerence Inc.’s Net Margin is presently recorded at -6.26.
Return on Total Capital for CRNC is now 3.23, given the latest momentum, and Return on Invested Capital for the company is -1.78. Return on Equity for this stock declined to -2.04, with Return on Assets sitting at -1.29. When it comes to the capital structure of this company, Cerence Inc. [CRNC] has a Total Debt to Total Equity ratio set at 31.11. Additionally, CRNC Total Debt to Total Capital is recorded at 23.73, with Total Debt to Total Assets ending up at 17.35. Long-Term Debt to Equity for the company is recorded at 29.84, with the Long-Term Debt to Total Capital now at 22.76.
Reflecting on the efficiency of the workforce at the company, Cerence Inc. [CRNC] managed to generate an average of -$13,754 per employee. Receivables Turnover for the company is 4.25 with a Total Asset Turnover recorded at a value of 0.21.Cerence Inc.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 1.20 and a Current Ratio set at 1.20.
Earnings analysis for Cerence Inc. [CRNC]
With the latest financial reports released by the company, Cerence Inc. posted 0.29/share EPS, while the average EPS was predicted by analysts to be reported at 0.28/share. When compared, the two values demonstrate that the company surpassed the estimates by a Surprise Factor of 3.60%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for CRNC. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for Cerence Inc. go to 15.00%.
Insider trade positions for Cerence Inc. [CRNC]
There are presently around $3,487 million, in the hands of institutional investors. The top three institutional holders of CRNC stocks are: AMERIPRISE FINANCIAL INC with ownership of 3,421,554, which is approximately -10.28% of the company’s market cap and around 2.40% of the total institutional ownership; VANGUARD GROUP INC, holding 3,148,184 shares of the stock with an approximate value of $295.83 million in CRNC stocks shares; and BLACKROCK INC., currently with $252.41 million in CRNC stock with ownership of nearly -1.611% of the company’s market capitalization.
Positions in Cerence Inc. stocks held by institutional investors increased at the end of November and at the time of the November reporting period, where 123 institutional holders increased their position in Cerence Inc. [NASDAQ:CRNC] by around 5,195,401 shares. Additionally, 121 investors decreased positions by around 7,141,853 shares, while 50 investors held positions by with 24,774,518 shares. The mentioned changes placed institutional holdings at 37,111,772 shares, according to the latest SEC report filing. CRNC stock had 54 new institutional investments in for a total of 1,637,854 shares, while 35 institutional investors sold positions of 2,921,465 shares during the same period.