ACCEL ENTERTAINMENT INC (ACEL) Stock Fundamental Analysis
NYSE:ACEL - New York Stock Exchange, Inc. - US00436Q1067 - Common Stock - Currency: USD
We assign a fundamental rating of 5 out of 10 to ACEL. ACEL was compared to 135 industry peers in the Hotels, Restaurants & Leisure industry. Both the profitability and the financial health of ACEL get a neutral evaluation. Nothing too spectacular is happening here. ACEL has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year ACEL was profitable.
In the past year ACEL had a positive cash flow from operations.
In multiple years ACEL reported negative net income over the last 5 years.
Of the past 5 years ACEL 4 years had a positive operating cash flow.
1.2 Ratios
ACEL's Return On Assets of 4.51% is fine compared to the rest of the industry. ACEL outperforms 67.18% of its industry peers.
The Return On Equity of ACEL (20.75%) is better than 80.15% of its industry peers.
ACEL's Return On Invested Capital of 8.48% is fine compared to the rest of the industry. ACEL outperforms 67.18% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ACEL is in line with the industry average of 10.84%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.51% | ||
| ROE | 20.75% | ||
| ROIC | 8.48% |
ROA(3y)6.24%
ROA(5y)3.11%
ROE(3y)28.14%
ROE(5y)3.74%
ROIC(3y)9.54%
ROIC(5y)N/A
1.3 Margins
With a Profit Margin value of 3.54%, ACEL perfoms like the industry average, outperforming 51.15% of the companies in the same industry.
With a Operating Margin value of 7.89%, ACEL perfoms like the industry average, outperforming 45.80% of the companies in the same industry.
ACEL has a Gross Margin of 30.15%. This is in the lower half of the industry: ACEL underperforms 77.10% of its industry peers.
ACEL's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.89% | ||
| PM (TTM) | 3.54% | ||
| GM | 30.15% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-3.21%
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so ACEL is still creating some value.
The number of shares outstanding for ACEL has been reduced compared to 1 year ago.
ACEL has more shares outstanding than it did 5 years ago.
ACEL has a better debt/assets ratio than last year.
2.2 Solvency
ACEL has an Altman-Z score of 2.88. This is not the best score and indicates that ACEL is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.88, ACEL is in the better half of the industry, outperforming 74.81% of the companies in the same industry.
ACEL has a debt to FCF ratio of 7.74. This is a slightly negative value and a sign of low solvency as ACEL would need 7.74 years to pay back of all of its debts.
The Debt to FCF ratio of ACEL (7.74) is better than 66.41% of its industry peers.
A Debt/Equity ratio of 2.54 is on the high side and indicates that ACEL has dependencies on debt financing.
The Debt to Equity ratio of ACEL (2.54) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.54 | ||
| Debt/FCF | 7.74 | ||
| Altman-Z | 2.88 |
ROIC/WACC0.95
WACC8.9%
2.3 Liquidity
A Current Ratio of 2.71 indicates that ACEL has no problem at all paying its short term obligations.
ACEL's Current ratio of 2.71 is amongst the best of the industry. ACEL outperforms 92.37% of its industry peers.
A Quick Ratio of 2.63 indicates that ACEL has no problem at all paying its short term obligations.
Looking at the Quick ratio, with a value of 2.63, ACEL belongs to the top of the industry, outperforming 92.37% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.71 | ||
| Quick Ratio | 2.63 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 2.15% over the past year.
The Earnings Per Share has been growing by 34.36% on average over the past years. This is a very strong growth
The Revenue has been growing slightly by 5.14% in the past year.
ACEL shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 54.66% yearly.
EPS 1Y (TTM)2.15%
EPS 3Y216.37%
EPS 5Y34.36%
EPS Q2Q%0%
Revenue 1Y (TTM)5.14%
Revenue growth 3Y54.66%
Revenue growth 5YN/A
Sales Q2Q%5.12%
3.2 Future
ACEL is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -4.35% yearly.
The Revenue is expected to grow by 3.62% on average over the next years.
EPS Next Y-2.4%
EPS Next 2Y-3.72%
EPS Next 3Y-4.35%
EPS Next 5YN/A
Revenue Next Year5.33%
Revenue Next 2Y4.03%
Revenue Next 3Y3.62%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 12.65, the valuation of ACEL can be described as correct.
Based on the Price/Earnings ratio, ACEL is valued cheaply inside the industry as 90.84% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 29.62. ACEL is valued rather cheaply when compared to this.
With a Price/Forward Earnings ratio of 13.65, ACEL is valued correctly.
Based on the Price/Forward Earnings ratio, ACEL is valued cheaper than 84.73% of the companies in the same industry.
ACEL's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.70.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.65 | ||
| Fwd PE | 13.65 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ACEL is valued cheaply inside the industry as 80.92% of the companies are valued more expensively.
85.50% of the companies in the same industry are more expensive than ACEL, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.41 | ||
| EV/EBITDA | 8.25 |
4.3 Compensation for Growth
ACEL's earnings are expected to decrease with -4.35% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.37
EPS Next 2Y-3.72%
EPS Next 3Y-4.35%
5. Dividend
5.1 Amount
No dividends for ACEL!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
12.02
-0.45 (-3.61%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners50.44%
Inst Owner Change-94.22%
Ins Owners17.41%
Ins Owner Change-1.29%
Market Cap1.03B
Analysts82.22
Price Target15.3 (27.29%)
Short Float %1.5%
Short Ratio2.84
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)13.2%
Min EPS beat(2)10.42%
Max EPS beat(2)15.98%
EPS beat(4)4
Avg EPS beat(4)17.92%
Min EPS beat(4)9.64%
Max EPS beat(4)35.66%
EPS beat(8)8
Avg EPS beat(8)17.06%
EPS beat(12)8
Avg EPS beat(12)8.55%
EPS beat(16)10
Avg EPS beat(16)-11.55%
Revenue beat(2)1
Avg Revenue beat(2)0.21%
Min Revenue beat(2)-0.25%
Max Revenue beat(2)0.67%
Revenue beat(4)3
Avg Revenue beat(4)0.67%
Min Revenue beat(4)-0.25%
Max Revenue beat(4)2.2%
Revenue beat(8)6
Avg Revenue beat(8)1.51%
Revenue beat(12)6
Avg Revenue beat(12)0.41%
Revenue beat(16)8
Avg Revenue beat(16)0.14%
PT rev (1m)0%
PT rev (3m)2.27%
EPS NQ rev (1m)3.29%
EPS NQ rev (3m)3.29%
EPS NY rev (1m)1.11%
EPS NY rev (3m)1.11%
Revenue NQ rev (1m)0.65%
Revenue NQ rev (3m)0.65%
Revenue NY rev (1m)0.16%
Revenue NY rev (3m)0.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.65 | ||
| Fwd PE | 13.65 | ||
| P/S | 0.85 | ||
| P/FCF | 14.41 | ||
| P/OCF | 6.96 | ||
| P/B | 4.99 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.25 |
EPS(TTM)0.95
EY7.9%
EPS(NY)0.88
Fwd EY7.33%
FCF(TTM)0.83
FCFY6.94%
OCF(TTM)1.73
OCFY14.37%
SpS14.11
BVpS2.41
TBVpS-1.4
PEG (NY)N/A
PEG (5Y)0.37
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.51% | ||
| ROE | 20.75% | ||
| ROCE | 11.5% | ||
| ROIC | 8.48% | ||
| ROICexc | 12.46% | ||
| ROICexgc | 29.53% | ||
| OM | 7.89% | ||
| PM (TTM) | 3.54% | ||
| GM | 30.15% | ||
| FCFM | 5.91% |
ROA(3y)6.24%
ROA(5y)3.11%
ROE(3y)28.14%
ROE(5y)3.74%
ROIC(3y)9.54%
ROIC(5y)N/A
ROICexc(3y)24.55%
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)12.94%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-3.21%
GM growth 5YN/A
F-Score6
Asset Turnover1.27
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.54 | ||
| Debt/FCF | 7.74 | ||
| Debt/EBITDA | 3.29 | ||
| Cap/Depr | 118.94% | ||
| Cap/Sales | 6.33% | ||
| Interest Coverage | 2.97 | ||
| Cash Conversion | 92.64% | ||
| Profit Quality | 166.9% | ||
| Current Ratio | 2.71 | ||
| Quick Ratio | 2.63 | ||
| Altman-Z | 2.88 |
F-Score6
WACC8.9%
ROIC/WACC0.95
Cap/Depr(3y)101.17%
Cap/Depr(5y)81.91%
Cap/Sales(3y)5.31%
Cap/Sales(5y)5.79%
Profit Quality(3y)149.82%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)2.15%
EPS 3Y216.37%
EPS 5Y34.36%
EPS Q2Q%0%
EPS Next Y-2.4%
EPS Next 2Y-3.72%
EPS Next 3Y-4.35%
EPS Next 5YN/A
Revenue 1Y (TTM)5.14%
Revenue growth 3Y54.66%
Revenue growth 5YN/A
Sales Q2Q%5.12%
Revenue Next Year5.33%
Revenue Next 2Y4.03%
Revenue Next 3Y3.62%
Revenue Next 5YN/A
EBIT growth 1Y-10.81%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year63.87%
EBIT Next 3Y19.86%
EBIT Next 5YN/A
FCF growth 1Y10.45%
FCF growth 3YN/A
FCF growth 5Y247.66%
OCF growth 1Y36.2%
OCF growth 3YN/A
OCF growth 5Y321.18%