CCC Intelligent Solutions (CCC): Assessing Valuation After New $500 Million Share Buyback Authorization

CCC Intelligent Solutions Holdings (CCC) just wrapped up a $300 million buyback and immediately rolled out authorization for another $500 million, which signals that management is comfortable with the risk reward at current levels.

See our latest analysis for CCC Intelligent Solutions Holdings.

The new buyback comes after a choppy run for CCC, with the share price at around $7.90 and a 30 day share price return of 9.42 percent, yet a much weaker year to date share price return of negative 31.90 percent and a 1 year total shareholder return of negative 34.44 percent. This suggests near term momentum is improving while the longer term picture is still in repair mode.

If this kind of capital return story has your attention, it could be a good moment to compare CCC with other software names and explore high growth tech and AI stocks.

With the stock down sharply this year but trading at a sizable discount to analyst targets, the fresh buyback raises a key question: Is CCC now an underappreciated SaaS compounding story, or is the market already pricing in its next leg of growth?

Most Popular Narrative: 32.8% Undervalued

With the narrative fair value sitting well above CCC Intelligent Solutions Holdings' last close of $7.90, the story leans firmly toward upside potential.

The company's strong subscription based recurring revenue model (80% of total), consistent gross dollar/net dollar retention above 99%/107%, and further penetration into OEMs and parts suppliers provide a cushion against industry cyclicality and claims volume fluctuations, driving resilient revenue and profitability.

Read the complete narrative.

Want to see why this valuation still bakes in punchy revenue growth, rising margins, and a rich future earnings multiple, yet calls the stock undervalued? The full narrative unpacks the exact growth runway, margin shift, and terminal multiple assumptions powering that fair value guess. Curious which moving piece does the heavy lifting in this upside case? Dive in and decide whether the numbers behind the optimism really stack up.

Result: Fair Value of $11.75 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, this upside case could unravel if claim volumes remain structurally weak or if major insurers slow the adoption and integration of CCC’s newer AI driven modules.

Find out about the key risks to this CCC Intelligent Solutions Holdings narrative.

Another View: Multiples Paint a Richer Picture

Step back from the narrative fair value and CCC looks less of a bargain. Its price to sales ratio sits at 4.9 times, roughly in line with the US software sector and peers, and slightly above a 4.8 times fair ratio, hinting at limited multiple upside if growth disappoints.

See what the numbers say about this price — find out in our valuation breakdown.

Build Your Own CCC Intelligent Solutions Holdings Narrative

If you are not fully convinced or simply prefer to dive into the numbers yourself, you can craft a tailored view in minutes: Do it your way.

A good starting point is our analysis highlighting 3 key rewards investors are optimistic about regarding CCC Intelligent Solutions Holdings.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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