SLP
Simulations Plus, Inc.

Simulations Plus, Inc.SLP

Healthcare · Health Information Services
18.50USD
+0.00%
Nov 09, 2026
SLP overview ready
Provider of AI-Enabled Biosimulation Software for Biopharma R&D
Direct enabler of biopharma R&D efficiency through regulatory-oriented biosimulation software and specialized scientific services.
Theme not measured
Drug-Discovery Simulation Software has no leadership state this session.
Price Action not measured
Fair valuation
The price broadly reflects how much growth and cash flow it delivers per turn of revenue multiple, with upside and risk reasonably balanced.
Solid fundamentals
Free cash flow yield is strong.
Primary risk
Dependence on continued biopharma R&D spending.
Market Oct 5Price action Nov 7

Conviction Level

Theme Momentum has no canonical measurement for this company — a research-profile dimension, not an input to this score.

PriceAction—BusinessPerformance7.0BusinessQuality7.7Valuation5.6ThemeMomentum—Improving — Revenue is growing at a steady pace (+7.5% year over year). Earnings turned positive: diluted EPS of $0.18 against a loss of -$3.35 a year earlier. — From filed financial statements. Describes the recent trajectory of the business, not the stock. 20 of the 100 Conviction points.

Conviction uses Price Action, Business Performance, Business Quality, Valuation. Theme Momentum is research context, not an input.

Theme momentumPrimary theme · group context, not entry timing
Drug-Discovery Simulation Software — Drug-Discovery Simulation Software has only one or two priced members — no leadership state
Its economic family, Biotechnology, reads Improving (+5.9pp vs SPY) — the family’s reading, not this theme’s.
Price
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Price Action

Not enough price history for a trend read.

Key Financials

Market Cap
$374.2M
Avg Volume (60D)
218.1K
60 sessions
Revenue Growth YoY
+7.5%
Latest quarter
Gross Margin
+63.4%
Free Cash Flow Yield
+4.9%
P/E
46.2x
EV / EBITDA
21.6x
EV / Sales
4.0x
Market metrics as of Oct 6, 2026

Business Performance

Improving

Revenue is growing at a steady pace (+7.5% year over year). Earnings turned positive: diluted EPS of $0.18 against a loss of -$3.35 a year earlier.

Latest reported: Q3 FY2026, ended May 31
Revenue growthGrowing
+7.5%
$21.9M in Q3 FY2026 · YoY
YoY growth, last 4 quarters
  1. -6.5%
  2. -2.7%
  3. +8.3%
  4. +7.5%
Earnings growthTurned profitable
$0.18
Diluted EPS $0.18 vs -$3.35 a year earlier · GAAP
Too few comparable EPS quarters: a loss or a turn to profit has no meaningful percentage.
Operating marginExpanding
20.6%
+385.1 pp YoY · gross margin 69.1% (+5.1 pp)

Business Quality

7.7 / 10

How well the business earns on its assets, converts earnings to cash and funds itself — read from its SEC filings.

Fundamentals & Valuation

All three valuation perspectives agree this company is fair.
Simulations Plus, Inc. has a Fair valuation stance because the price broadly reflects how much growth and cash flow it delivers per turn of revenue multiple, with upside and risk reasonably balanced.

Company Research

Thesis
Direct enabler of biopharma R&D efficiency through regulatory-oriented biosimulation software and specialized scientific services. The story is still emerging, so the exposure is real but early. SLP is a genuine, relatively focused picks-and-shovels exposure to model-informed drug development rather than a generic AI adjacency.
Opportunity
Moderate opportunity
Biopharma adoption of validated computational models, simulation, pharmacometrics, and AI-assisted workflows to improve molecule selection, dose selection, trial design, safety assessment, and regulatory evidence generation.
Key risk
Dependence on continued biopharma R&D spending.

Economic classification

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Business & Markets

Healthcare · Health Information Services
What they do

Simulations Plus develops and sells software and services that use AI and machine learning to model and simulate drug discovery and development processes worldwide.

How it earns

The company generates revenue primarily through software licensing and specialized scientific services.

Products & services
GastroPlus
DDDPlus
MembranePlus
DILIsym
NAFLDsym
ILDsym
IPFsym
RENAsym
MITOsym
OBESym
Customers & end markets
Biopharmaceutical companies
Drug discovery and development researchers
Market position

Niche leader providing specialized regulatory-oriented biosimulation software and scientific services.

Demand drivers
Low cyclicality

Demand is driven by ongoing biopharma R&D investment which tends to be stable and less sensitive to economic cycles.