Hide

FocusBar

FeedbackFeedback
Subscribe to Premium Member
98.73 (1y: +18%)
Market Cap 16.83 B P/E(ttm) 41.90
Enterprise Value 16.06 B P/B 6.00
CERN- NAS (USA)
Cerner Corporation
  • Currently 5/5
Business Predictability Rank: 5-Star
Back Testing Results:
Average gain of all 5-Star stocks: 12.1% per year.
% of Stocks that are in still loss if held for 10yrs: 3%.
Read more:
What is Predictability Rank?
Performances of real portfolio
Top Ranked Predictable Companies
$98.73
Switch to:

GuruFocus Financial Strength Rank measures how strong a companyย’s financial situation is. It is based on these factors

1. The debt burden that the company has as measured by its Interest coverage (current year).
2. Debt to revenue ratio. The lower, the better
3. Altman Z-score.

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

Financial Strength : 8/10

vs
industry		 vs
history
Cash to Debt 5.286
CERN's Cash to Debt is ranked higher than
59% of the 1618 Companies
in the Global Health Information Services industry.

( Industry Median: 7.41 vs. CERN: 5.286 )
CERN' s 10-Year Cash to Debt Range
Min: 0.76   Max: 6.16
Current: 5.29
0.76
6.16
Equity to Asset 0.765
CERN's Equity to Asset is ranked higher than
83% of the 1618 Companies
in the Global Health Information Services industry.

( Industry Median: 0.56 vs. CERN: 0.765 )
CERN' s 10-Year Equity to Asset Range
Min: 0.55   Max: 0.79
Current: 0.77
0.55
0.79
Interest Coverage No Debt
CERN's Interest Coverage is ranked higher than
83% of the 1618 Companies
in the Global Health Information Services industry.

( Industry Median: 25.60 vs. CERN: No Debt )
CERN' s 10-Year Interest Coverage Range
Min: 11   Max: No Debt
Current: No Debt
F-Score: 5
Z-Score: 14.17
M-Score: -3.14
GuruFocus Profitability Rank ranks how profitable a company is and how likely the companyย’s business will stay that way. It is based on these factors:

1. Operating Margin
2. Trend of the Operating Margin (5-year average). The company with an uptrend profit margin has a higher rank.
ย•ย•3. Consistency of the profitability
4. Piotroski F-Score
5. Predictability Rankย•

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Profitability Rank is not directly related to the Financial Strength Rank. But if a company is consistently profitable, its financial strength will be stronger.

Profitability & Growth : 7/10

vs
industry		 vs
history
Operating margin (%) 21.40
CERN's Operating margin (%) is ranked higher than
92% of the 1618 Companies
in the Global Health Information Services industry.

( Industry Median: 4.30 vs. CERN: 21.40 )
CERN' s 10-Year Operating margin (%) Range
Min: -5.6   Max: 21.4
Current: 21.4
-5.6
21.4
Net-margin (%) 14.9
CERN's Net-margin (%) is ranked higher than
89% of the 1618 Companies
in the Global Health Information Services industry.

( Industry Median: 2.70 vs. CERN: 14.9 )
CERN' s 10-Year Net-margin (%) Range
Min: -7.8   Max: 27.8
Current: 14.9
-7.8
27.8
ROE (%) 14
CERN's ROE (%) is ranked higher than
86% of the 1618 Companies
in the Global Health Information Services industry.

( Industry Median: 4.70 vs. CERN: 14 )
CERN' s 10-Year ROE (%) Range
Min: -10.7   Max: 30.6
Current: 14
-10.7
30.6
ROA (%) 10.7
CERN's ROA (%) is ranked higher than
90% of the 1618 Companies
in the Global Health Information Services industry.

( Industry Median: 2.90 vs. CERN: 10.7 )
CERN' s 10-Year ROA (%) Range
Min: -5.9   Max: 17.1
Current: 10.7
-5.9
17.1
ROC (Joel Greenblatt) (%) 71.20
CERN's ROC (Joel Greenblatt) (%) is ranked higher than
87% of the 1618 Companies
in the Global Health Information Services industry.

( Industry Median: 0.00 vs. CERN: 71.20 )
CERN' s 10-Year ROC (Joel Greenblatt) (%) Range
Min: -10.3   Max: 71.2
Current: 71.2
-10.3
71.2
Revenue Growth (%) 11.1
CERN's Revenue Growth (%) is ranked higher than
89% of the 1618 Companies
in the Global Health Information Services industry.

( Industry Median: 0.00 vs. CERN: 11.1 )
CERN' s 10-Year Revenue Growth (%) Range
Min: 4.3   Max: 21.5
Current: 11.1
4.3
21.5
EBITDA Growth (%) 12
CERN's EBITDA Growth (%) is ranked higher than
90% of the 1618 Companies
in the Global Health Information Services industry.

( Industry Median: 0.00 vs. CERN: 12 )
CERN' s 10-Year EBITDA Growth (%) Range
Min: 9.5   Max: 73.6
Current: 12
9.5
73.6
EPS Growth (%) 18.3
CERN's EPS Growth (%) is ranked higher than
93% of the 1618 Companies
in the Global Health Information Services industry.

( Industry Median: 0.00 vs. CERN: 18.3 )
CERN' s 10-Year EPS Growth (%) Range
Min: -20.5   Max: 22.8
Current: 18.3
-20.5
22.8
ยป CERN's 10-Y Financials

Financials


Revenue & Net Income
Cash & Debt
Oprt. Cash Flow & Free Cash Flow

» Details

Guru Trades
Q2 2012

CERN Guru Trades in Q2 2012

Paul Tudor Jones 800 sh (New)
Jim Simons 990,752 sh (+27.47%)
Frank Sands 4,650,318 sh (+17.78%)
Paul Tudor Jones 100,000 sh (unchged)
Vanguard Health Care Fund 5,800,000 sh (unchged)
Ray Dalio Sold Out
Ron Baron 613,355 sh (-0.45%)
Meridian Funds 509,480 sh (-2.58%)
Jeremy Grantham 128,400 sh (-18.84%)
RS Investment Management 33,480 sh (-25.86%)
Manning & Napier Advisors, Inc 4,116,493 sh (-37.01%)
PRIMECAP Management 10,500 sh (-74.07%)
Steven Cohen 12,430 sh (-85.58%)
» More
Q3 2012

CERN Guru Trades in Q3 2012

Paul Tudor Jones 7,600 sh (+850%)
Frank Sands 8,054,102 sh (+73.19%)
Meridian Funds 692,710 sh (+35.96%)
Manning & Napier Advisors, Inc 4,387,783 sh (+6.59%)
Jim Simons 1,013,452 sh (+2.29%)
Jeremy Grantham 128,700 sh (+0.23%)
PRIMECAP Management 10,500 sh (unchged)
Paul Tudor Jones 100,000 sh (unchged)
Vanguard Health Care Fund 5,700,000 sh (-1.72%)
Ron Baron 589,595 sh (-3.87%)
RS Investment Management 31,480 sh (-5.97%)
Steven Cohen 7,322 sh (-41.09%)
» More
Q4 2012

CERN Guru Trades in Q4 2012

Frank Sands 9,374,174 sh (+16.39%)
RS Investment Management 32,480 sh (+3.18%)
PRIMECAP Management 10,500 sh (unchged)
Vanguard Health Care Fund 5,600,000 sh (unchged)
Jeremy Grantham 115,600 sh (unchged)
Steven Cohen Sold Out
Paul Tudor Jones Sold Out
Vanguard Health Care Fund 5,600,000 sh (-1.75%)
Manning & Napier Advisors, Inc 4,202,633 sh (-4.22%)
Meridian Funds 560,100 sh (-19.14%)
Ron Baron 260,291 sh (-55.85%)
Jim Simons 154,900 sh (-84.72%)
» More
Q1 2013

CERN Guru Trades in Q1 2013

Ray Dalio 9,100 sh (New)
Steven Cohen 4,421 sh (New)
Frank Sands 10,063,003 sh (+7.35%)
PRIMECAP Management 10,500 sh (unchged)
Jim Simons Sold Out
Manning & Napier Advisors, Inc 4,093,598 sh (-2.59%)
RS Investment Management 31,600 sh (-2.71%)
Vanguard Health Care Fund 5,382,600 sh (-3.88%)
Meridian Funds 500,000 sh (-10.73%)
Jeremy Grantham 101,160 sh (-12.49%)
Ron Baron 210,219 sh (-19.24%)
» More
» Details

Insider Trades

Latest Guru Trades with CERN

GuruDate Trades Impact to Portfolio Price Range * (?) Current Price Change from Average Current Shares
Frank Sands 2013-03-31 Add 7.35%0.23%$77.51 - $94.74 $ 99.0114%10063003
Ray Dalio 2013-03-31 New Buy0.01%$77.51 - $94.74 $ 99.0114%9100
Frank Sands 2012-12-31 Add 16.39%0.41%$68 - $81.12 $ 99.0129%9374174
Ron Baron 2012-12-31 Reduce -55.85%0.16%$68 - $81.12 $ 99.0129%260291
Frank Sands 2012-09-30 Add 73.19%1.1%$71.03 - $83.56 $ 99.0132%8054102
Meridian Funds 2012-09-30 Add 35.96%0.5%$71.03 - $83.56 $ 99.0132%692710
Frank Sands 2012-06-30 Add 17.78%0.26%$72.77 - $86.72 $ 99.0127%4650318
Ray Dalio 2012-06-30 Sold Out 0.0038%$72.77 - $86.72 $ 99.0127%0
PRIMECAP Management 2012-06-30 Reduce -74.07%$72.77 - $86.72 $ 99.0127%10500
Ray Dalio 2012-03-31 New Buy$59.78 - $78.13 $ 99.0154%3195
Ron Baron 2011-12-31 Add 28.18%0.05%$56.35 - $69.97 $ 99.0157%551088
Ron Baron 2011-09-30 Add 21.24%0.04%$54.93 - $72.88 $ 99.0154%429920
PRIMECAP Management 2011-09-30 Reduce -74.49%0.01%$54.93 - $72.88 $ 99.0154%50000
PRIMECAP Management 2011-06-30 Reduce -88.05%0.11%$54.455 - $62.1 $ 99.0170%196000
Ron Baron 2010-12-31 New Buy0.1%$42.36 - $48.51 $ 99.01122%176000
PRIMECAP Management 2010-09-30 Reduce -31.9%0.04%$36.43 - $41.26 $ 99.01156%865831
Meridian Funds 2010-06-30 Add 11.84%0.11%$38 - $45.79 $ 99.01136%304721
George Soros 2010-06-30 Sold Out 0.01%$38 - $45.79 $ 99.01136%0
Premium More recent guru trades are included for Premium Members only!!
ยป Financial Charts

Peter Lynch Chart

Ratios

vs
industry		 vs
history
P/E(ttm) 42.00
CERN's P/E(ttm) is ranked lower than
57% of the 1023 Companies
in the Global Health Information Services industry.

( Industry Median: 20.80 vs. CERN: 42.00 )
CERN' s 10-Year P/E(ttm) Range
Min: 11.39   Max: 50.95
Current: 42
11.39
50.95
P/B 6.00
CERN's P/B is ranked lower than
69% of the 1370 Companies
in the Global Health Information Services industry.

( Industry Median: 2.02 vs. CERN: 6.00 )
CERN' s 10-Year P/B Range
Min: 1.4   Max: 6.5
Current: 6
1.4
6.5
P/S 6.45
CERN's P/S is ranked lower than
68% of the 1452 Companies
in the Global Health Information Services industry.

( Industry Median: 1.69 vs. CERN: 6.45 )
CERN' s 10-Year P/S Range
Min: 0.82   Max: 6.47
Current: 6.45
0.82
6.47
PFCF 43.90
CERN's PFCF is ranked lower than
61% of the 1019 Companies
in the Global Health Information Services industry.

( Industry Median: 17.43 vs. CERN: 43.90 )
CERN' s 10-Year PFCF Range
Min: 13.25   Max: 2862.5
Current: 43.9
13.25
2862.5
EV-to-EBIT 27
CERN's EV-to-EBIT is ranked lower than
56% of the 1019 Companies
in the Global Health Information Services industry.

( Industry Median: 14.50 vs. CERN: 27 )
CERN' s 10-Year EV-to-EBIT Range
Min: 7.7   Max: 325
Current: 27
7.7
325
PEG 2.9
CERN's PEG is ranked higher than
52% of the 423 Companies
in the Global Health Information Services industry.

( Industry Median: 1.64 vs. CERN: 2.9 )
CERN' s 10-Year PEG Range
Min: 0.57   Max: 2.9
Current: 2.9
0.57
2.9
Shiller P/E 63.8
CERN's Shiller P/E is ranked lower than
100% of the Companies
in the Global Health Information Services industry.

( Industry Median: vs. CERN: 63.8 )
CERN' s 10-Year Shiller P/E Range
Min: 25.16   Max: 87.66
Current: 63.8
25.16
87.66

Valuation & Return

vs
industry		 vs
history
Price/Net Cash 103.1
CERN's Price/Net Cash is ranked lower than
77% of the 465 Companies
in the Global Health Information Services industry.

( Industry Median: 9.10 vs. CERN: 103.1 )
CERN' s 10-Year Price/Net Cash Range
Min: 82.5   Max: 152.8
Current: 103.1
82.5
152.8
Price/Net Current Asset Value 38.2
CERN's Price/Net Current Asset Value is ranked lower than
61% of the 930 Companies
in the Global Health Information Services industry.

( Industry Median: 13.40 vs. CERN: 38.2 )
CERN' s 10-Year Price/Net Current Asset Value Range
Min: 5.6   Max: 30.5
Current: 38.2
5.6
30.5
Price/Tangible Book 7.8
CERN's Price/Tangible Book is ranked lower than
63% of the 1116 Companies
in the Global Health Information Services industry.

( Industry Median: 3.30 vs. CERN: 7.8 )
CERN' s 10-Year Price/Tangible Book Range
Min: 3.1   Max: 6.8
Current: 7.8
3.1
6.8
Price/DCF (Projected) 3
CERN's Price/DCF (Projected) is ranked lower than
52% of the 551 Companies
in the Global Health Information Services industry.

( Industry Median: 1.30 vs. CERN: 3 )
CERN' s 10-Year Price/DCF (Projected) Range
Min: 1.5   Max: 2.7
Current: 3
1.5
2.7
Price/Median PS Value 2.1
CERN's Price/Median PS Value is ranked lower than
68% of the 1300 Companies
in the Global Health Information Services industry.

( Industry Median: 1.00 vs. CERN: 2.1 )
CERN' s 10-Year Price/Median PS Value Range
Min: 0.5   Max: 1.7
Current: 2.1
0.5
1.7
Price/Peter Lynch Fair Value 2.8
CERN's Price/Peter Lynch Fair Value is ranked higher than
50% of the 276 Companies
in the Global Health Information Services industry.

( Industry Median: 1.50 vs. CERN: 2.8 )
CERN' s 10-Year Price/Peter Lynch Fair Value Range
Min: 1   Max: 2.3
Current: 2.8
1
2.3
Price/Graham Number 3.9
CERN's Price/Graham Number is ranked lower than
66% of the 813 Companies
in the Global Health Information Services industry.

( Industry Median: 1.80 vs. CERN: 3.9 )
CERN' s 10-Year Price/Graham Number Range
Min: 1.6   Max: 3.4
Current: 3.9
1.6
3.4
Earnings Yield (Greenblatt) 3.70
CERN's Earnings Yield (Greenblatt) is ranked higher than
64% of the 1618 Companies
in the Global Health Information Services industry.

( Industry Median: 3.30 vs. CERN: 3.70 )
CERN' s 10-Year Earnings Yield (Greenblatt) Range
Min: 0.3   Max: 13
Current: 3.7
0.3
13
Forward Rate of Return (Yacktman) 16.2
CERN's Forward Rate of Return (Yacktman) is ranked higher than
92% of the 1618 Companies
in the Global Health Information Services industry.

( Industry Median: 0.00 vs. CERN: 16.2 )
CERN' s 10-Year Forward Rate of Return (Yacktman) Range
Min: 0.5   Max: 62.5
Current: 16.2
0.5
62.5

Business Description

Cerner Corporation started doing business in 1980, and it was organized as a Delaware corporation in 1986. The Company designs, develops, markets, installs, hosts and supports healthcare information technology, healthcare devices and content solutions for healthcare organizations and consumers. It also provides a wide range of value-added services, including implementing solutions as individual, combined or enterprise-wide systems; hosting solutions in its data center; and clinical process optimization services. Furthermore, the Company provides fully-automated on-site employer health clinics and third party administrator health plan services for employers. It is a supplier of health care information technology solutions, services, devices and hardware. The Company's solutions optimize processes and help eliminate errors, variance and waste for health care organizations ranging from single-doctor practices to entire countries, for the pharmaceutical and medical device industries, and for the field of health care as a whole. These solutions are licensed by approximately 9,300 facilities around the world, including more than 2,650 hospitals; 3,750 physician practices; 40,000 physicians; 500 ambulatory facilities, such as laboratories, ambulatory centers, cardiac facilities, radiology clinics and surgery centers; 800 home health facilities; 40 employer sites and 1,600 retail pharmacies. The Company designs and develops most of its software solutions on the unified Cerner Millennium architecture, a person-centric computing framework, which combines clinical, financial and management information systems. This architecture allows providers to securely access an individual's electronic health record at the point of care, and it organizes and proactively delivers information to meet the specific needs of physicians, nurses, laboratory technicians, pharmacists, front- and back-office professionals and consumers. The Company has also created the Healthe IntentTM platform, a cloud-based platform that enables a new generation of solutions to leverage the increasing amount of data being captured as the health care industry is digitized. On the Healthe Intent platform, the Company is building solutions based on sophisticated, statistical algorithms that are intended to help providers predict and improve outcomes, control costs, and improve quality. Cerner also offers a range of services, including implementation and training, remote hosting, operational management services, revenue cycle services, support and maintenance, healthcare data analysis, clinical process optimization, transaction processing, employer health centers, employee wellness programs and third party administrator 'TPA' services for employer-based health plans. The markets for Cerner HIT solutions, healthcare devices and services include integrated delivery networks, physician groups and networks, managed care organizations, hospitals, medical centers, free-standing reference
Company Website
SEC Reports
Industry: Health Information Services
Compare:CTRX, ATHN, MDRX, AH, QSII
Traded in other countries:CRE.Germany
ยป More Articles for CERN

Headlines

Articles On GuruFocus.com
This Is What Real Bubbles Look Like May 29 2013 
comment on CERN Feb 18 2013 
4 Big Cap Stocks That Are Thriving Oct 31 2012 
Weekly Top Insider Sells: GMCR, VRTX, CERN, and AGN May 14 2012 
HealthStream: A Solid Long-Term Play Apr 19 2012 
Weekly Top Insider Sells: CVS, DELL, CERN, FIS, and CXO Mar 19 2012 
Strong S Feb 04 2012 
52-Week High Companies: GMCR, TJX, MICC, AMZN, CERN Aug 01 2011 
Cerner Corp. (CERN) Exec. VP & COO Mike Valentine sells 7,000 Shares Mar 15 2011 
Cerner Corp. (CERN) Chairman, CEO & President Neal L Patterson sells 2,000 Shares Mar 15 2011 

More From Our Partners
Quality Systems in EHR Association - Analyst Blog Jun 18 2013 - ZACKS

Personalized Checklist





Within your circle of competence?
Macro economic environment favorable?
High quality business?
Enough margin of safety with stocks?
Gurus are buying?
Insiders are buying?
Management capable and shareholder friendly?
Catalyst for stock price to appreciate?
Your level of confidence with the research?

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)
Free 7-day Trial
FEEDBACK