Cerence (STU:0S6) EV-to-EBITDA: 11.36 (As of Sep. 12, 2026) — 19% Below Median

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STU:0S6 Cerence Inc STU:0S6
67 GF Score
Price €7.31
GF Value €9.20
Valuation Modestly Undervalued
! 3 Warning Signs
View Full Analysis

What is Cerence EV-to-EBITDA?

Cerence STU:0S6 +4.28% 67 EV-to-EBITDA is 11.36 as of Sep. 12, 2026, which is 19% below its 10-year median of 13.95. GuruFocus rates STU:0S6 with a GF Score™ of 67/100 and a GF Value™ of €9.20 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 1,954 Software companies, Cerence ranks worse than 52.92% on this metric.

EV-to-EBITDA is calculated as enterprise value divided by its EBITDA. As of today, Cerence's enterprise value is €382.6 Mil. Cerence's EBITDA for the trailing twelve months (TTM) ended in Jun. 2026 was €33.7 Mil. Therefore, Cerence's EV-to-EBITDA for today is 11.36.

The historical rank and industry rank for Cerence's EV-to-EBITDA or its related term are showing as below:

STU:0S6' s EV-to-EBITDA Range Over the Past 10 Years
Min: -662.8   Med: 13.95   Max: 136.03
Current: 11.3

During the past 10 years, the highest EV-to-EBITDA of Cerence was 136.03. The lowest was -662.80. And the median was 13.95.

STU:0S6's EV-to-EBITDA is ranked worse than
52.92% of 1954 companies
in the Software industry
Industry Median: 10.28 vs STU:0S6: 11.30

EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio to determine the fair market value of a company.

As of today (2026-09-12), Cerence's stock price is €7.31. Cerence's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Jun. 2026 was €-0.305. Therefore, Cerence's PE Ratio (TTM) for today is At Loss.

The "classic" EV-to-EBITDA is much better in capturing debt and net cash than the PE Ratio (TTM).


Cerence  (STU:0S6) EV-to-EBITDA Explanation

EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.

Cerence's PE Ratio (TTM) for today is calculated as:

PE Ratio (TTM)=Share Price (Today)/Earnings per Share (Diluted) (TTM)
=7.31/-0.305
=At Loss

Cerence's share price for today is €7.31.
Cerence's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €-0.305.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Study has found that the companies with the lowest EV-to-EBITDA outperforms companies measured as cheap by other ratios such as PE Ratio (TTM).

Please read Which price ratio outperforms the enterprise multiple?


Cerence EV-to-EBITDA Related Terms


Cerence EV-to-EBITDA Historical Data

* Premium members only.

The historical data trend for Cerence's EV-to-EBITDA can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Cerence EV-to-EBITDA Chart

Cerence Annual Data
Trend Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24 Sep25
EV-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 41.16 -4.94 -179.57 -0.53 56.07

Cerence Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
EV-to-EBITDA Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -566.40 56.07 9.80 9.63 14.52

STU:0S6 vs CURR, ALIT, SVMB: EV-to-EBITDA Comparison

For the Software - Application subindustry, Cerence's EV-to-EBITDA, along with its competitors' market caps and EV-to-EBITDA data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Cerence EV-to-EBITDA vs Software Industry

For the Software industry and Technology sector, Cerence's EV-to-EBITDA distribution charts can be found below:

* The bar in red indicates where Cerence's EV-to-EBITDA falls into.


STU:0S6
67GF Score
Cerence Inc STU:0S6
EV-to-EBITDA is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Cerence EV-to-EBITDA Calculation

Cerence's EV-to-EBITDA for today is calculated as:

EV-to-EBITDA=Enterprise Value (Today)/EBITDA (TTM)
=382.559/33.677
=11.36

Cerence's current Enterprise Value is €382.6 Mil.
Cerence's EBITDA for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €33.7 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about EV-to-EBITDA →
What does a EV-to-EBITDA of 11.36 mean?
Cerence (STU:0S6) has a EV-to-EBITDA of 11.36 as of Sep. 12, 2026. EV to EBITDA ratio is the company's enterprise value divided by earnings before interest, taxes, depreciation and amortization. View historical data on Cerence. This is 19% below median its historical median of 13.95. According to the industry distribution chart, Cerence ranks #1034 out of 1954 companies in the Software industry, placing it in the top 52.9%.
Is Cerence's EV-to-EBITDA too high?
Cerence's current EV-to-EBITDA of 11.36 is 19% below median its 10-year median of 13.95. The Software industry median EV-to-EBITDA is 10.28. Cerence's value of 11.36 is 10.5% above this industry median. Based on the distribution chart, Cerence ranks #1034 out of 1954 companies in the Software industry, which is below the industry midpoint. Overall, Cerence has a GF Score™ of 67/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Cerence's EV-to-EBITDA compare to CURR and ALIT?
According to the Software industry distribution chart, Cerence ranks #1034 out of 1954 companies for EV-to-EBITDA. This places Cerence in the lower half of its industry. The industry median EV-to-EBITDA is 10.28. Cerence's value of 11.36 is 10.5% above this benchmark. While the company's 10-year median is 13.95 vs. the industry median of 10.28, Cerence has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-EBITDA for a Software company?
The median EV-to-EBITDA among Software companies is 10.28, based on 1,954 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-EBITDA significantly above this median, while those in the bottom quartile fall well below. However, EV-to-EBITDA should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Cerence's current EV-to-EBITDA of 11.36 is 10.5% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-EBITDA mean?
A high EV-to-EBITDA can signal that a stock is expensive relative to its fundamentals. EV to EBITDA ratio is the company's enterprise value divided by earnings before interest, taxes, depreciation and amortization. View historical data on Cerence. For the Software industry, the median EV-to-EBITDA is 10.28 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cerence's current EV-to-EBITDA is 11.36, which is 19% below median its own 10-year median of 13.95. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cerence stock overvalued right now?
Based on GuruFocus' analysis, Cerence (STU:0S6) is currently considered Modestly Undervalued. The stock's GF Value™ is €9.20, compared to a current price of €7.31 — trading 20.5% below its estimated fair value. The current EV-to-EBITDA is 11.36, which is 19% below median its 10-year median of 13.95 and 10.5% above the Software industry median of 10.28. Cerence's overall GF Score™ is 67/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-EBITDA calculated?
EV-to-EBITDA is calculated from a company's financial statements. For Cerence (STU:0S6), the current EV-to-EBITDA is 11.36 as of Sep. 12, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Cerence (STU:0S6) Overvalued in 2026?

Based on GuruFocus' analysis, Cerence stock appears to be undervalued. The current stock price of €7.31 is trading 20.5% below its estimated GF Value™ of €9.20. GuruFocus considers Cerence to be Modestly Undervalued.

Key valuation signals for STU:0S6:

  • EV-to-EBITDA: 11.36 (19% below median its 10-year median of 13.95)
  • GF Value™: €9.20 vs. price of €7.31 (20.5% below fair value)
  • GF Score™: 67/100 with 3 warning signs
  • Industry Position: 10.5% above the Software median (#1034 of 1954)

No single metric tells the full story. See the STU:0S6 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Cerence Business Description

Address 25 Mall Road, Suite 416, Burlington, MA, USA, 01803
Cerence Inc is a United States-based software company. It is involved in developing mobility-based solutions for drivers and their cars. The customers include all automobile original equipment manufacturers, or OEMs, or their tier 1 suppliers. The company's revenue is generated by selling software licenses and cloud-connected services. Geographically, it derives a majority of its revenue from the United States and also has a presence in Other Americas; Germany; Other Europe, the Middle East, Africa; Japan, and Other Asia-Pacific.
67GF Score

Get the complete analysis for STU:0S6

EV-to-EBITDA is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€7.31
Price
€9.20
GF Value