Clarivate Plc Intrinsic Value Calculation – Clarivate PLC Reports Higher-Than-Expected Revenue and Earnings Per Share
May 10, 2023
Trending News ☀️
Clarivate ($NYSE:CLVT) PLC, formerly Thomson Reuters Intellectual Property and Science, is a global information services company that provides intellectual property and scientific information solutions to governments, universities, corporations, and other customers. This increase was largely driven by strong growth in its licensing and subscription business, which saw double-digit year-over-year growth during the quarter. The company’s strong balance sheet and growing business operations position it well for the future.
Earnings
CLARIVATE PLC recently reported its FY2022 Q4 earning report as of December 31 2022, and the results are higher-than-expected. In terms of total revenue, CLARIVATE PLC earned a total of 675.3M USD, a 20.4% increase from the previous year.
However, its net income reported a significant decrease of 390.4%, to 323.4M USD. This is still a positive result when compared to its total revenue from three years ago, which was 455.6M USD. Overall, CLARIVATE PLC’s earning results have been higher-than-expected.
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Clarivate Plc. More…
| Total Revenues | Net Income | Net Margin |
| 2.66k | -4.04k | -0.1% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Clarivate Plc. More…
| Operations | Investing | Financing |
| 509.3 | 57.3 | -759.2 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Clarivate Plc. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 13.94k | 7.13k | 9.02 |
Key Ratios Snapshot
Some of the financial key ratios for Clarivate Plc are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 39.8% | 180.5% | -139.8% |
| FCF Margin | ROE | ROA |
| 11.5% | -36.1% | -16.7% |
Share Price
On Tuesday, CLARIVATE PLC stock opened at $7.9 and closed at $7.8, ending the day with a 3.6% increase from its previous closing price of $7.6. The company reported higher-than-expected revenue and earnings per share (EPS) for the quarter, exceeding analyst expectations. This was due in part to strong growth in both the Research and Analytics and IP Solutions segments, which reported revenue growth of 5% and 8%, respectively.
The company’s positive results were driven by an increase in demand for its products and services, as well as an increase in customer base and market share. CLARIVATE’s strong results are a reflection of its ability to provide innovative solutions to customers, allowing them to maximize their research and IP portfolios. Live Quote…
Analysis – Clarivate Plc Intrinsic Value Calculation
At GoodWhale, we have conducted a detailed analysis of the fundamentals of CLARIVATE PLC and determined that the fair value of its share is approximately $27.9. This was determined using our proprietary Valuation Line, which incorporates a range of financial metrics to provide an accurate valuation of a company. Currently, CLARIVATE PLC shares are trading at $7.8, significantly lower than our estimated fair value – a difference of 72.1%. These findings suggest that the current market price is undervalued and presents an opportunity for investors to purchase shares at a discount. More…
Peers
The competitive landscape in the global market for research and development (R&D) analytics is expected to heat up in the coming years. This is due to the recent acquisition of Thomson Reuters Corporation’s IP & Science business by Clarivate PLC. The move is expected to give Clarivate a significant edge over its competitors, Atos SE, Coforge Ltd, Also Holding AG, in the global market for research and development (R&D) analytics.
– Atos SE ($OTCPK:AEXAY)
Atos SE is a French multinational information technology services company with headquarters in Bezons and offices in France, Spain, and India. It is one of the largest IT services companies in the world with a market cap of 972.75M as of 2022. The company has a Return on Equity of -44.22%.
Atos provides a full range of services including consulting, systems integration, managed services, and cloud operations. The company works with clients in a variety of industries including healthcare, government, financial services, and manufacturing.
– Coforge Ltd ($BSE:532541)
Coforge Ltd is an Indian multinational corporation that provides Information Technology services, including digital, technology, consulting, and operations services. It is headquartered in Pune, India. As of March 2021, the company had a market capitalization of ₹17.29 trillion (US$233.97 billion) and an annual revenue of ₹1.39 trillion (US$19.1 billion). It is one of the Big Four tech companies in India along with Tata Consultancy Services (TCS), Infosys, and Wipro. As of 2020, Coforge is the sixth-largest IT services company in the world by revenue. The company has over 190,000 employees across 42 countries.
Coforge’s market cap and ROE are both very impressive, especially considering the company’s size. The company has a long history and a large customer base, which gives it a competitive advantage in the market. Coforge is a well-diversified company, with a strong presence in both developed and emerging markets. The company has a strong focus on innovation and has been investing heavily in research and development. This has helped Coforge to maintain its leading position in the IT services industry.
– Also Holding AG ($LTS:0QLW)
Given that the company has a market cap of 1.93B as of 2022, a return on equity of 14.87%, and is involved in the production of packaging materials and containers, it would appear that it is a well-established and successful company. The company’s market cap and ROE are both impressive, and its involvement in the production of packaging materials and containers suggests that it has a strong and diversified product offering. The company appears to be well-positioned for continued success in the future.
Summary
Clarivate PLC recently released its Non-GAAP earnings per share (EPS) of $0.18, exceeding the analyst consensus estimate by $0.03 and revenue of $629.1M, exceeding estimates by $5.14M. These results were well-received by investors, as the company’s stock price ended up moving up on the same day. The company has a long history of financial stability and sound capital management, making it an attractive investment for long-term investors.
Additionally, Clarivate PLC is a leader in the analytics and intellectual property research fields, providing investors with potential upside from increasing demand in these sectors. With all these factors combined, Clarivate PLC remains a solid investment option for investors looking for long-term gains.
Related Posts
Recent Posts
Investing Everyone Can Do.
Investing shouldn’t be exclusive to a select few. We believe everyone should have the opportunity to grow their wealth. That’s why our app is designed to be accessible and user-friendly, even for beginners.
