News Image

Why NASDAQ:ACIW qualifies as a quality stock.

By Mill Chart

Last update: Jan 20, 2025

In this article we will dive into ACI WORLDWIDE INC (NASDAQ:ACIW) as a possible candidate for quality investing. Investors should always do their own research, but we noticed ACI WORLDWIDE INC showing up in our Caviar Cruise quality screen, which makes it worth to investigate a bit more.


Quality stocks image

Highlighting Notable Quality Metrics of NASDAQ:ACIW.

  • ACI WORLDWIDE INC has shown strong performance in revenue growth over the past 5 years, with a 7.54% increase. This indicates the company's ability to generate consistent revenue growth and reflects its potential for long-term success.
  • ACI WORLDWIDE INC exhibits a strong ROIC excluding cash and goodwill, indicating efficient capital utilization and profitable operations. The 37.21% reflects the company's ability to generate returns on invested capital and underscores its commitment to delivering value to shareholders.
  • With a favorable Debt/Free Cash Flow Ratio of 3.56, ACI WORLDWIDE INC showcases its sound financial discipline and cash flow management. This ratio indicates the company's ability to service its debt obligations while maintaining sufficient free cash flow for future investments or operational needs.
  • With a favorable Profit Quality (5-year) ratio of 163.0%, ACI WORLDWIDE INC showcases its ability to consistently deliver high-quality profits. This metric signifies the company's financial strength and its capacity to generate sustainable earnings over an extended period.
  • ACI WORLDWIDE INC has experienced impressive EBIT growth over the past 5 years, with 11.69% increase. This reflects the company's effective operational performance and highlights its potential for long-term financial success.
  • ACI WORLDWIDE INC has achieved superior EBIT 5-year growth compared to its Revenue 5-year growth. This demonstrates the company's ability to maximize its profitability through effective cost management and operational strategies.

A complete fundamental analysis of NASDAQ:ACIW

ChartMill assigns a proprietary Fundamental Rating to each stock. The score is computed daily by evaluating various fundamental indicators and properties. The score ranges from 0 to 10.

ACIW gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 285 industry peers in the Software industry. While ACIW belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. ACIW is growing strongly while it is still valued neutral. This is a good combination! These ratings would make ACIW suitable for growth investing!

Check the latest full fundamental report of ACIW for a complete fundamental analysis.

More quality stocks can be found in our Caviar Cruise screen.

Keep in mind

This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.

Back