Home 
Today's Top Picks 
Top Performers 
Watchlist 
My Robo Portfolios 
ETF Zone 
Help & Tutorial 
Cancel anytime
- Chart
- Upturn Summary
- Highlights
- Revenue
- Valuation
- Analyst Ratings
Upturn AI SWOT - About
CRNC 
Cerence Inc (CRNC)
- BUY Advisory
- SELL Advisory (Profit)
- SELL Advisory (Loss)
- Profit
- Loss
- Pass (Skip investing)
Stock price based on last close (see disclosures)
- ALL
- YEAR
- MONTH
- WEEK
Upturn Advisory Summary
06/30/2025: CRNC (4-star) is currently NOT-A-BUY. Pass it for now.
Upturn Star Rating
Above Average Performance
These Stocks/ETFs, based on Upturn Advisory, frequently surpass the market, reflecting reliable and trustworthy advice.
Number of Analysts
7 Analysts rated it
These Stocks/ETFs, based on Upturn Advisory, typically align with the market average, offering steady but unremarkable returns.
Year Target Price $11.17
Year Target Price $11.17
| 0 | Strong Buy |
| 1 | Buy |
| 6 | Hold |
| 0 | Under performing |
| 0 | Sell |
Analysis of Past Performance
Type Stock | Historic Profit 143.7% | Avg. Invested days 47 | Today’s Advisory PASS |
Upturn Star Rating | Upturn Advisory Performance  2.0 | Stock Returns Performance  5.0 |
| Profits based on simulation | Last Close 06/30/2025 |
Key Highlights
Company Size Small-Cap Stock | Market Capitalization 408.36M USD | Price to earnings Ratio - | 1Y Target Price 11.17 |
Price to earnings Ratio - | 1Y Target Price 11.17 | ||
Volume (30-day avg) 7 | Beta 2.79 | 52 Weeks Range 2.34 - 27.50 | Updated Date 06/30/2025 |
52 Weeks Range 2.34 - 27.50 | Updated Date 06/30/2025 | ||
Dividends yield (FY) - | Basic EPS (TTM) -8.05 |
Analyzing Revenue: Products, Geography and Growth
Revenue by Products
Product revenue - Year on Year
Revenue by Geography
Geography revenue - Year on Year
Earnings Date
Report Date - | When - | Estimate - | Actual - |
Profitability
Profit Margin -132.39% | Operating Margin (TTM) 25.87% |
Management Effectiveness
Return on Assets (TTM) 0.69% | Return on Equity (TTM) -109.88% |
Valuation
Trailing PE - | Forward PE 31.45 | Enterprise Value 561739143 | Price to Sales(TTM) 1.61 |
Enterprise Value 561739143 | Price to Sales(TTM) 1.61 | ||
Enterprise Value to Revenue 2.21 | Enterprise Value to EBITDA 11.04 | Shares Outstanding 43258100 | Shares Floating 42543010 |
Shares Outstanding 43258100 | Shares Floating 42543010 | ||
Percent Insiders 7.49 | Percent Institutions 77.5 |
Analyst Ratings
Rating 3 | Target Price 11.17 | Buy 1 | Strong Buy - |
Buy 1 | Strong Buy - | ||
Hold 6 | Sell - | Strong Sell - | |
Strong Sell - |
Upturn AI SWOT
Cerence Inc
Company Overview
History and Background
Cerence Inc. was established in 2019 as a spin-off from Nuance Communications' automotive division. It focuses on providing AI-powered solutions for the automotive industry, evolving from speech recognition technology to comprehensive in-car assistant platforms.
Core Business Areas
- Automotive AI: Develops and licenses AI-powered voice assistant platforms for integration into vehicles. These platforms handle voice commands, navigation, entertainment, and other vehicle functions.
- Connected Car Services: Offers cloud-based services that enhance the in-car experience, including over-the-air updates, remote diagnostics, and usage-based insurance.
- Emerging Technologies: Invests in research and development for future automotive technologies, such as biometrics, gesture recognition, and augmented reality.
Leadership and Structure
Cerence Inc. is led by Stefan Ortmanns (CEO) and has a functional organizational structure with departments focused on product development, sales, marketing, and operations.
Top Products and Market Share
Key Offerings
- Cerence Drive: AI-powered automotive assistant platform that integrates voice recognition, natural language understanding, and machine learning. Cerence estimates it has deployed its technology in over 400 million cars across major automotive brands. Competitors include Google (Android Automotive), Amazon (Alexa Auto), and Apple (CarPlay).
- Cerence Pay: Enables secure in-car payments for services like parking, fuel, and tolls. Competitors include in-house solutions developed by automotive manufacturers and third-party payment platforms.
Market Dynamics
Industry Overview
The automotive AI market is rapidly growing, driven by the increasing demand for connected cars, autonomous driving features, and enhanced in-car experiences.
Positioning
Cerence Inc. is a leading provider of automotive AI solutions, with a strong focus on voice recognition and natural language understanding. Its competitive advantage lies in its deep understanding of the automotive industry and its ability to integrate AI seamlessly into vehicle systems.
Total Addressable Market (TAM)
The global automotive AI market is projected to reach hundreds of billions of dollars within the next decade. Cerence is well-positioned to capture a significant share of this TAM due to its established relationships with automakers and its comprehensive AI platform.
Upturn SWOT Analysis
Strengths
- Leading provider of automotive AI solutions
- Deep expertise in voice recognition and natural language understanding
- Strong relationships with major automakers
- Comprehensive AI platform
- High barriers to entry due to industry expertise
Weaknesses
- Dependence on the automotive industry
- Competition from tech giants with greater resources
- Potential for disruption from new technologies
- Limited diversification outside of automotive
Opportunities
- Expansion into new automotive markets (e.g., electric vehicles, autonomous vehicles)
- Development of new AI-powered features and services
- Partnerships with other technology companies
- Growth in connected car services
- Increasing demand for personalized in-car experiences
Threats
- Economic downturn affecting automotive sales
- Technological advancements rendering current solutions obsolete
- Increased competition from tech giants
- Cybersecurity risks associated with connected car services
- Changes in automotive regulations
Competitors and Market Share
Key Competitors
- Alphabet (GOOGL)
- Amazon (AMZN)
- Apple (AAPL)
- SoundHound AI (SOUN)
Competitive Landscape
Cerence possesses a strong focus on the automotive sector which sets it apart, but the competitors have more significant resources. Cerence has a competitive advantage in specific in-car solutions, but needs to continue innovating to retain that position.
Major Acquisitions
Cubic Telecom
- Year: 2024
- Acquisition Price (USD millions): 244
- Strategic Rationale: Cubic Telecom acquisition strategically boosts Cerence's connected car capabilities, enhancing its AI-powered mobility platform with advanced connectivity solutions.
Growth Trajectory and Initiatives
Historical Growth: Cerence Inc.'s growth has been tied to the adoption of AI in the automotive industry and to its increasing deployments of in-car AI assistant platforms. Growth data will be available in the company's public reports and statements
Future Projections: Analyst estimates project continued growth for Cerence Inc., driven by the increasing demand for connected cars and personalized in-car experiences. Projections are subject to change based on market conditions and company performance.
Recent Initiatives: Recent strategic initiatives by Cerence Inc. have included investments in new AI technologies, partnerships with automotive manufacturers, and expansion into new markets.
Summary
Cerence Inc. is a key player in the automotive AI sector, leveraging its expertise in voice recognition. Its partnership with automakers is a strength, but competition from giants like Amazon and Google is a constant threat. Growth is expected to come from its AI-powered products and initiatives. It also needs to be vigilant about the global economy and cyber security threats.
Peer Comparison
Sources and Disclaimers
Data Sources:
- Company Filings
- Market Research Reports
- Analyst Reports
- Company Website
Disclaimers:
The information provided is for informational purposes only and should not be considered financial advice. Investment decisions should be based on individual research and consultation with a qualified financial advisor. Market share data is approximate and may vary depending on the source.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About Cerence Inc
Exchange NASDAQ | Headquaters Burlington, MA, United States | ||
IPO Launch date 2019-10-02 | President, CEO & Director Mr. Brian Matthew Krzanich | ||
Sector Technology | Industry Software - Application | Full time employees 1400 | Website https://www.cerence.com |
Full time employees 1400 | Website https://www.cerence.com | ||
Cerence Inc. provides AI powered virtual assistants for the mobility/transportation market in the United States, rest of the Americas, Germany, rest of Europe, the Middle East, Africa, Japan, and rest of the Asia-Pacific. The company offers edge software components, cloud-connected components, virtual assistant coexistence, and professional services. It also provides conversational artificial intelligence-based solutions, including speech recognition, natural language understanding, speech signal enhancement, text-to-speech, and acoustic modeling technology. The company has a strategic partnership with Arm Kleidi to advance the capabilities and performance of CaLLM Edge. Cerence Inc. was incorporated in 2020 and is headquartered in Burlington, Massachusetts.
Note: This website is maintained by Upturn Corporation, which is an investment adviser registered with the U.S. Securities and Exchange Commission. Such registration does not imply a certain level of skill or training. Investing in securities has risks. Past performance is no guarantee of future returns. No assurance is provided as to any particular investment return, and you may lose money using our services. You are strongly advised to consult appropriate counsel before making any investments in companies you learn about through our services. You should obtain appropriate legal, tax, investment, accounting, and other advice that takes into account your investment portfolio and overall financial situation. You are solely responsible for conducting due diligence on a potential investment. We do not affect trades for you. You will select your own broker through which to transact. Investments are not FDIC insured, they are not guaranteed, and they may lose value. Please see the Privacy Policy, Terms of Use, and Disclosure for more information.