Certara (NASDAQ:CERT) Posts Quarterly Earnings Results, Misses Expectations By $0.01 EPS

Posted by Brenda Bartman on Aug 5th, 2026

Certara (NASDAQ:CERT – Get Free Report) announced its quarterly earnings data on Tuesday. The company reported $0.08 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.09 by ($0.01), FiscalAI reports. The firm had revenue of $93.27 million for the quarter, compared to the consensus estimate of $98.09 million. Certara had a positive return on equity of 3.52% and a negative net margin of 3.60%.The business’s revenue for the quarter was down 10.8% compared to the same quarter last year. During the same quarter last year, the business earned $0.07 earnings per share.

Here are the key takeaways from Certara’s conference call:

Second-quarter revenue grew 1% to $93.3 million, with software revenue up 4% and services revenue down 3%. Management reaffirmed full-year revenue growth guidance of 0%–4%, or $367 million–$382 million on a continuing-operations basis.
Software bookings increased 9% in the quarter and trailing-12-month software bookings rose 8%, supported by Simcyp, Phoenix and Pinnacle 21. The company also reported a 27% year-over-year increase in pipeline and expects software revenue to reach at least the high end of its annual growth range.
Certara is implementing a new commercial model, appointing Julien Perrier as Chief Commercial Officer and emphasizing specialist-led services sales. A May workforce reduction affecting about 5% of employees is expected to generate approximately $13 million in annualized savings, helping offset stranded costs from the divestiture and fund AI investment.
Services bookings declined 6% in the second quarter, and management expects full-year services revenue to be at or below the low end of its 0%–4% growth range. Adjusted EBITDA margin guidance was reduced to 29%–31%, while the company posted a $6.1 million continuing-operations net loss versus $1.5 million of income in the prior-year quarter.
The board authorized an additional $50 million share-repurchase program after Certara completed a prior $100 million authorization. Management also highlighted growing cloud adoption, AI-enabled product development and partnerships—including NVIDIA—as longer-term growth opportunities.

Certara Stock Down 4.6%

Certara stock opened at $7.80 on Wednesday. The company has a debt-to-equity ratio of 0.28, a quick ratio of 1.88 and a current ratio of 1.88. Certara has a one year low of $4.45 and a one year high of $13.88. The company has a 50-day simple moving average of $6.41 and a 200-day simple moving average of $6.56. The firm has a market capitalization of $1.21 billion, a P/E ratio of -78.00 and a beta of 1.44.

Analyst Upgrades and Downgrades

Several analysts have weighed in on CERT shares. Stephens lowered their target price on shares of Certara from $10.00 to $9.00 and set an “overweight” rating for the company in a research note on Tuesday, May 12th. Robert W. Baird reduced their price target on shares of Certara from $7.00 to $6.00 and set a “neutral” rating on the stock in a research report on Tuesday, May 12th. Morgan Stanley decreased their price target on shares of Certara from $11.00 to $10.00 and set an “equal weight” rating for the company in a report on Tuesday, May 12th. BMO Capital Markets lowered their price objective on shares of Certara from $7.00 to $6.00 and set a “market perform” rating for the company in a research report on Tuesday, May 12th. Finally, Barclays increased their price objective on shares of Certara from $6.50 to $7.50 and gave the stock an “equal weight” rating in a research note on Wednesday. One equities research analyst has rated the stock with a Strong Buy rating, five have given a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, Certara currently has a consensus rating of “Hold” and an average target price of $8.95.

Check Out Our Latest Research Report on CERT

Key Headlines Impacting Certara

Here are the key news stories impacting Certara this week:

Positive Sentiment: Certara completed its previously authorized $100 million share-repurchase program, and the board approved an additional $50 million authorization. The buyback could support earnings per share and signals management confidence in the company’s valuation. Certara Reports Second Quarter 2026 Financial Results
Positive Sentiment: Management reaffirmed its 2026 revenue guidance, reducing concerns that the quarterly shortfall represents a broader deterioration in the full-year outlook. The earnings call also highlighted continued strength in Certara’s software business. Certara Earnings Call: Software Strength Amid Services Strain
Neutral Sentiment: Certara appointed Julien Perrier as chief commercial officer. The new leadership role may support sales execution, although its financial impact will depend on the company’s ability to improve commercial performance. Certara Reports Second Quarter 2026 Financial Results
Negative Sentiment: Second-quarter revenue was $93.27 million, below the $98.09 million consensus estimate and down 10.8% year over year. Adjusted EPS of $0.08 also missed the approximately $0.09–$0.10 consensus range, signaling continued pressure on near-term growth and profitability. Certara Q2 Earnings and Revenues Lag Estimates
Negative Sentiment: The earnings call described a contrast between software strength and weakness in services, a combination that could constrain overall growth until services demand and execution improve. Certara Q2 2026 Earnings Call Transcript

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of the company. Wasatch Advisors LP raised its holdings in shares of Certara by 28.6% during the third quarter. Wasatch Advisors LP now owns 17,398,337 shares of the company’s stock valued at $212,608,000 after buying an additional 3,865,455 shares during the last quarter. Dimensional Fund Advisors LP lifted its stake in shares of Certara by 0.4% in the 4th quarter. Dimensional Fund Advisors LP now owns 8,387,484 shares of the company’s stock worth $73,894,000 after acquiring an additional 35,203 shares during the period. Deerfield Management Company L.P. lifted its stake in shares of Certara by 71.7% in the 3rd quarter. Deerfield Management Company L.P. now owns 6,739,537 shares of the company’s stock worth $82,357,000 after acquiring an additional 2,813,438 shares during the period. Ameriprise Financial Inc. boosted its holdings in shares of Certara by 27.1% in the second quarter. Ameriprise Financial Inc. now owns 5,460,630 shares of the company’s stock valued at $63,889,000 after acquiring an additional 1,165,064 shares in the last quarter. Finally, State Street Corp boosted its holdings in shares of Certara by 2.2% in the fourth quarter. State Street Corp now owns 3,918,784 shares of the company’s stock valued at $34,524,000 after acquiring an additional 83,698 shares in the last quarter. Institutional investors own 73.96% of the company’s stock.

Certara Company Profile

(Get Free Report)

Certara is a biosimulation software and services company that partners with pharmaceutical, biotechnology and medical device developers to accelerate drug discovery, development and regulatory approval. The company’s platform integrates quantitative pharmacology, real-world evidence, artificial intelligence and machine learning to model and simulate drug behavior across a range of therapeutic areas and patient populations. By applying these mechanistic and data-driven approaches, Certara helps its clients predict clinical outcomes, optimize dosing strategies and streamline decision-making throughout the product lifecycle.

The company’s offerings are divided into software tools and consulting services.