Cerillion (LSE:CER) ROE %: 13.67% (As of Mar. 2026) — 42% Below Median


LSE:CER Cerillion PLC LSE:CER
92 GF Score
Price £11.00
GF Value £17.16
Valuation Significantly Undervalued
! 1 Warning Sign
View Full Analysis

What is Cerillion ROE %?

Cerillion LSE:CER -1.79% 92 ROE % is 13.67% as of Mar. 2026, which is 42% below its 10-year median of 23.64. GuruFocus rates LSE:CER with a GF Score™ of 92/100 and a GF Value™ of £17.16 (Significantly Undervalued). The stock has 1 warning sign investors should review. Among 2,682 Software companies, Cerillion ranks better than 85.98% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Cerillion's annualized net income for the quarter that ended in Mar. 2026 was £8.21 Mil. Cerillion's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was £60.09 Mil. Therefore, Cerillion's annualized ROE % for the quarter that ended in Mar. 2026 was 13.67%.

The historical rank and industry rank for Cerillion's ROE % or its related term are showing as below:

LSE:CER' s ROE % Range Over the Past 10 Years
Min: 4.96   Med: 23.64   Max: 40.65
Current: 23.91

During the past 13 years, Cerillion's highest ROE % was 40.65%. The lowest was 4.96%. And the median was 23.64%.

LSE:CER's ROE % is ranked better than
85.98% of 2682 companies
in the Software industry
Industry Median: 4.72 vs LSE:CER: 23.91

Cerillion  (LSE:CER) ROE % Explanation

ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.

The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:

ROE %(Q: Mar. 2026 )
=Net Income/Total Stockholders Equity
=8.214/60.093
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(8.214 / 36.024)*(36.024 / 75.5885)*(75.5885 / 60.093)
=Net Margin %*Asset Turnover*Equity Multiplier
=22.8 %*0.4766*1.2579
=ROA %*Equity Multiplier
=10.87 %*1.2579
=13.67 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Mar. 2026 )
=Net Income/Total Stockholders Equity
=8.214/60.093
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (8.214 / 10.908) * (10.908 / 9.72) * (9.72 / 36.024) * (36.024 / 75.5885) * (75.5885 / 60.093)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.753 * 1.1222 * 26.98 % * 0.4766 * 1.2579
=13.67 %

Note: The net income data used here is two times the semi-annual (Mar. 2026) net income data. The Revenue data used here is two times the semi-annual (Mar. 2026) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.

* 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.


Be Aware

Net Income is used.

Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.


Cerillion ROE % Related Terms


Cerillion ROE % Historical Data

* Premium members only.

The historical data trend for Cerillion's ROE % 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.

Cerillion ROE % Chart

Cerillion Annual Data
Trend Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24 Sep25
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 35.48 39.82 40.65 35.74 30.74

Cerillion Semi-Annual Data
Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
ROE % 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 40.61 31.67 28.14 34.47 13.67

LSE:CER vs CRM, SHOP, UBER: ROE % Comparison

For the Software - Application subindustry, Cerillion's ROE %, along with its competitors' market caps and ROE % 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.


Cerillion ROE % vs Software Industry

For the Software industry and Technology sector, Cerillion's ROE % distribution charts can be found below:

* The bar in red indicates where Cerillion's ROE % falls into.


LSE:CER
92GF Score
Cerillion PLC LSE:CER
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Cerillion ROE % Calculation

Cerillion's annualized ROE % for the fiscal year that ended in Sep. 2025 is calculated as

ROE %=Net Income (A: Sep. 2025 )/( (Total Stockholders Equity (A: Sep. 2024 )+Total Stockholders Equity (A: Sep. 2025 ))/ count )
=16.618/( (48.508+59.606)/ 2 )
=16.618/54.057
=30.74 %

Cerillion's annualized ROE % for the quarter that ended in Mar. 2026 is calculated as

ROE %=Net Income (Q: Mar. 2026 )/( (Total Stockholders Equity (Q: Sep. 2025 )+Total Stockholders Equity (Q: Mar. 2026 ))/ count )
=8.214/( (59.606+60.58)/ 2 )
=8.214/60.093
=13.67 %

* 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.

In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is two times the semi-annual (Mar. 2026) net income data. ROE % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROE % →
What does a ROE % of 13.67% mean?
Cerillion (LSE:CER) has a ROE % of 13.67% as of Mar. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Cerillion and its competitors. This is 42% below median its historical median of 23.64. Over the past decade, Cerillion's ROE % has ranged from 4.96 to 40.65. According to the industry distribution chart, Cerillion ranks #376 out of 2682 companies in the Software industry, placing it in the top 14%.
Is Cerillion's ROE % too high?
Cerillion's current ROE % of 13.67% is 42% below median its 10-year median of 23.64. Over the past 10 years, this metric has ranged from a low of 4.96 to a high of 40.65. The Software industry median ROE % is 4.72. Cerillion's value of 13.67% is 189.6% above this industry median. Based on the distribution chart, Cerillion ranks #376 out of 2682 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Cerillion has a GF Score™ of 92/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Cerillion's ROE % compare to CRM and SHOP?
According to the Software industry distribution chart, Cerillion ranks #376 out of 2682 companies for ROE %. This places Cerillion in the top 14% of its industry — outperforming the majority of peers. The industry median ROE % is 4.72. Cerillion's value of 13.67% is 189.6% above this benchmark. Historically, Cerillion's own ROE % has ranged from 4.96 to 40.65 over the past decade. While the company's 10-year median is 23.64 vs. the industry median of 4.72, Cerillion 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 ROE % for a Software company?
The median ROE % among Software companies is 4.72, based on 2,682 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Cerillion's current ROE % of 13.67% is 189.6% 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 ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Cerillion and its competitors. For the Software industry, the median ROE % is 4.72 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cerillion's current ROE % is 13.67%, which is 42% below median its own 10-year median of 23.64. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cerillion stock overvalued right now?
Based on GuruFocus' analysis, Cerillion (LSE:CER) is currently considered Significantly Undervalued. The stock's GF Value™ is £17.16, compared to a current price of £11.00 — trading 35.9% below its estimated fair value. The current ROE % is 13.67%, which is 42% below median its 10-year median of 23.64 and 189.6% above the Software industry median of 4.72. Cerillion's overall GF Score™ is 92/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For Cerillion (LSE:CER), the current ROE % is 13.67% as of Mar. 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 Cerillion (LSE:CER) Overvalued in 2026?

Based on GuruFocus' analysis, Cerillion stock appears to be undervalued. The current stock price of £11.00 is trading 35.9% below its estimated GF Value™ of £17.16. GuruFocus considers Cerillion to be Significantly Undervalued.

Key valuation signals for LSE:CER:

  • ROE %: 13.67% (42% below median its 10-year median of 23.64)
  • GF Value™: £17.16 vs. price of £11.00 (35.9% below fair value)
  • GF Score™: 92/100 with 1 warning sign
  • Industry Position: 189.6% above the Software median (#376 of 2682)

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


Cerillion Business Description

Other Exchanges 1VW:Germany
Address 25 Bedford Street, London, GBR, WC2E 9ES
Cerillion PLC is a charging, billing, and customer relationship management software company. It has three operating segments, including Services, Software, and Other. The services segment relates to revenue from providing services to customers on new implementation projects and enhancements. The software segment relates to support and maintenance revenue derived from people using the software. The geographical segments are Europe, Asia Pacific, MEA, and the Americas. The majority of revenue is derived from Europe.
92GF Score

Get the complete analysis for LSE:CER

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

£11.00
Price
£17.16
GF Value