48.39 USD
-0.55 (-1.12%)
We assign a fundamental rating of 6 out of 10 to ACIW. ACIW was compared to 278 industry peers in the Software industry. ACIW scores excellent on profitability, but there are some minor concerns on its financial health. ACIW may be a bit undervalued, certainly considering the very reasonable score on growth These ratings would make ACIW suitable for value investing!
1. Profitability
1.1 Basic Checks
In the past year ACIW was profitable.
ACIW had a positive operating cash flow in the past year.
ACIW had positive earnings in each of the past 5 years.
ACIW had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of ACIW (8.25%) is better than 81.30% of its industry peers.
ACIW has a Return On Equity of 17.64%. This is amongst the best in the industry. ACIW outperforms 85.97% of its industry peers.
Looking at the Return On Invested Capital, with a value of 12.16%, ACIW belongs to the top of the industry, outperforming 88.13% of the companies in the same industry.
ACIW had an Average Return On Invested Capital over the past 3 years of 8.48%. This is below the industry average of 10.78%.
The last Return On Invested Capital (12.16%) for ACIW is above the 3 year average (8.48%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.25% | ||
| ROE | 17.64% | ||
| ROIC | 12.16% |
ROA(3y)4.89%
ROA(5y)4.17%
ROE(3y)11.78%
ROE(5y)10.33%
ROIC(3y)8.48%
ROIC(5y)7.85%
1.3 Margins
The Profit Margin of ACIW (15.07%) is better than 78.78% of its industry peers.
In the last couple of years the Profit Margin of ACIW has grown nicely.
With an excellent Operating Margin value of 20.83%, ACIW belongs to the best of the industry, outperforming 87.05% of the companies in the same industry.
ACIW's Operating Margin has improved in the last couple of years.
ACIW has a worse Gross Margin (49.67%) than 69.42% of its industry peers.
ACIW's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.83% | ||
| PM (TTM) | 15.07% | ||
| GM | 49.67% |
OM growth 3Y6.84%
OM growth 5Y11.36%
PM growth 3Y10.97%
PM growth 5Y19.03%
GM growth 3Y-1.94%
GM growth 5Y-0.23%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), ACIW is creating some value.
Compared to 1 year ago, ACIW has less shares outstanding
The number of shares outstanding for ACIW has been reduced compared to 5 years ago.
ACIW has a worse debt/assets ratio than last year.
2.2 Solvency
ACIW has an Altman-Z score of 3.67. This indicates that ACIW is financially healthy and has little risk of bankruptcy at the moment.
ACIW has a Altman-Z score of 3.67. This is in the better half of the industry: ACIW outperforms 63.67% of its industry peers.
The Debt to FCF ratio of ACIW is 3.02, which is a good value as it means it would take ACIW, 3.02 years of fcf income to pay off all of its debts.
ACIW has a Debt to FCF ratio of 3.02. This is in the better half of the industry: ACIW outperforms 64.39% of its industry peers.
A Debt/Equity ratio of 0.56 indicates that ACIW is somewhat dependend on debt financing.
ACIW's Debt to Equity ratio of 0.56 is on the low side compared to the rest of the industry. ACIW is outperformed by 66.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | 3.02 | ||
| Altman-Z | 3.67 |
ROIC/WACC1.1
WACC11.09%
2.3 Liquidity
A Current Ratio of 1.58 indicates that ACIW should not have too much problems paying its short term obligations.
ACIW has a Current ratio (1.58) which is in line with its industry peers.
ACIW has a Quick Ratio of 1.58. This is a normal value and indicates that ACIW is financially healthy and should not expect problems in meeting its short term obligations.
ACIW has a Quick ratio (1.58) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.58 | ||
| Quick Ratio | 1.58 |
3. Growth
3.1 Past
ACIW shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 17.54%, which is quite good.
The Earnings Per Share has been growing by 27.49% on average over the past years. This is a very strong growth
Looking at the last year, ACIW shows a small growth in Revenue. The Revenue has grown by 7.01% in the last year.
ACIW shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.85% yearly.
EPS 1Y (TTM)17.54%
EPS 3Y21.14%
EPS 5Y27.49%
EPS Q2Q%14.29%
Revenue 1Y (TTM)7.01%
Revenue growth 3Y5.17%
Revenue growth 5Y4.85%
Sales Q2Q%6.78%
3.2 Future
ACIW is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 15.13% yearly.
Based on estimates for the next years, ACIW will show a small growth in Revenue. The Revenue will grow by 5.02% on average per year.
EPS Next Y25.16%
EPS Next 2Y16.66%
EPS Next 3Y15.13%
EPS Next 5YN/A
Revenue Next Year9.29%
Revenue Next 2Y5.31%
Revenue Next 3Y5.02%
Revenue Next 5YN/A
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 19.51, ACIW is valued on the expensive side.
Based on the Price/Earnings ratio, ACIW is valued a bit cheaper than the industry average as 75.54% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of ACIW to the average of the S&P500 Index (26.61), we can say ACIW is valued slightly cheaper.
ACIW is valuated rather expensively with a Price/Forward Earnings ratio of 18.52.
75.90% of the companies in the same industry are more expensive than ACIW, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of ACIW to the average of the S&P500 Index (24.01), we can say ACIW is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.51 | ||
| Fwd PE | 18.52 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ACIW is valued cheaper than 85.61% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ACIW indicates a rather cheap valuation: ACIW is cheaper than 83.09% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.34 | ||
| EV/EBITDA | 12.7 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
ACIW has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as ACIW's earnings are expected to grow with 15.13% in the coming years.
PEG (NY)0.78
PEG (5Y)0.71
EPS Next 2Y16.66%
EPS Next 3Y15.13%
5. Dividend
5.1 Amount
ACIW does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
NASDAQ:ACIW (12/23/2025, 11:33:06 AM)
48.39
-0.55 (-1.12%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners101.04%
Inst Owner Change4.74%
Ins Owners0.65%
Ins Owner Change2.63%
Market Cap4.99B
Revenue(TTM)1.73B
Net Income(TTM)260.88M
Analysts81.54
Price Target63.28 (30.77%)
Short Float %4.08%
Short Ratio5.9
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)16.84%
Min EPS beat(2)7.62%
Max EPS beat(2)26.05%
EPS beat(4)4
Avg EPS beat(4)73.09%
Min EPS beat(4)7.62%
Max EPS beat(4)202.37%
EPS beat(8)8
Avg EPS beat(8)96.21%
EPS beat(12)10
Avg EPS beat(12)79.13%
EPS beat(16)10
Avg EPS beat(16)55.53%
Revenue beat(2)2
Avg Revenue beat(2)2.51%
Min Revenue beat(2)1.63%
Max Revenue beat(2)3.39%
Revenue beat(4)3
Avg Revenue beat(4)2.39%
Min Revenue beat(4)-1.68%
Max Revenue beat(4)6.21%
Revenue beat(8)6
Avg Revenue beat(8)2.89%
Revenue beat(12)9
Avg Revenue beat(12)2.88%
Revenue beat(16)12
Avg Revenue beat(16)2.05%
PT rev (1m)0.03%
PT rev (3m)0.14%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-3.37%
EPS NY rev (1m)2.21%
EPS NY rev (3m)1.29%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.23%
Revenue NY rev (1m)0.74%
Revenue NY rev (3m)0.74%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.51 | ||
| Fwd PE | 18.52 | ||
| P/S | 2.88 | ||
| P/FCF | 17.34 | ||
| P/OCF | 15.23 | ||
| P/B | 3.37 | ||
| P/tB | 224.22 | ||
| EV/EBITDA | 12.7 |
EPS(TTM)2.48
EY5.13%
EPS(NY)2.61
Fwd EY5.4%
FCF(TTM)2.79
FCFY5.77%
OCF(TTM)3.18
OCFY6.57%
SpS16.79
BVpS14.35
TBVpS0.22
PEG (NY)0.78
PEG (5Y)0.71
Graham Number28.3
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.25% | ||
| ROE | 17.64% | ||
| ROCE | 14.88% | ||
| ROIC | 12.16% | ||
| ROICexc | 13.25% | ||
| ROICexgc | 38.39% | ||
| OM | 20.83% | ||
| PM (TTM) | 15.07% | ||
| GM | 49.67% | ||
| FCFM | 16.62% |
ROA(3y)4.89%
ROA(5y)4.17%
ROE(3y)11.78%
ROE(5y)10.33%
ROIC(3y)8.48%
ROIC(5y)7.85%
ROICexc(3y)9.15%
ROICexc(5y)8.42%
ROICexgc(3y)29.24%
ROICexgc(5y)30.02%
ROCE(3y)10.38%
ROCE(5y)9.61%
ROICexgc growth 3Y3.32%
ROICexgc growth 5Y14.4%
ROICexc growth 3Y13.64%
ROICexc growth 5Y19.94%
OM growth 3Y6.84%
OM growth 5Y11.36%
PM growth 3Y10.97%
PM growth 5Y19.03%
GM growth 3Y-1.94%
GM growth 5Y-0.23%
F-Score8
Asset Turnover0.55
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | 3.02 | ||
| Debt/EBITDA | 1.84 | ||
| Cap/Depr | 44.63% | ||
| Cap/Sales | 2.3% | ||
| Interest Coverage | 5.92 | ||
| Cash Conversion | 72.82% | ||
| Profit Quality | 110.3% | ||
| Current Ratio | 1.58 | ||
| Quick Ratio | 1.58 | ||
| Altman-Z | 3.67 |
F-Score8
WACC11.09%
ROIC/WACC1.1
Cap/Depr(3y)34.27%
Cap/Depr(5y)34.01%
Cap/Sales(3y)2.74%
Cap/Sales(5y)3.03%
Profit Quality(3y)111.61%
Profit Quality(5y)168.18%
High Growth Momentum
Growth
EPS 1Y (TTM)17.54%
EPS 3Y21.14%
EPS 5Y27.49%
EPS Q2Q%14.29%
EPS Next Y25.16%
EPS Next 2Y16.66%
EPS Next 3Y15.13%
EPS Next 5YN/A
Revenue 1Y (TTM)7.01%
Revenue growth 3Y5.17%
Revenue growth 5Y4.85%
Sales Q2Q%6.78%
Revenue Next Year9.29%
Revenue Next 2Y5.31%
Revenue Next 3Y5.02%
Revenue Next 5YN/A
EBIT growth 1Y0.42%
EBIT growth 3Y12.36%
EBIT growth 5Y16.75%
EBIT Next Year76.54%
EBIT Next 3Y27.26%
EBIT Next 5YN/A
FCF growth 1Y258.35%
FCF growth 3Y21.45%
FCF growth 5Y29.97%
OCF growth 1Y163.72%
OCF growth 3Y17.61%
OCF growth 5Y22.03%
ACI WORLDWIDE INC / ACIW FAQ
What is the fundamental rating for ACIW stock?
ChartMill assigns a fundamental rating of 6 / 10 to ACIW.
What is the valuation status of ACI WORLDWIDE INC (ACIW) stock?
ChartMill assigns a valuation rating of 7 / 10 to ACI WORLDWIDE INC (ACIW). This can be considered as Undervalued.
What is the profitability of ACIW stock?
ACI WORLDWIDE INC (ACIW) has a profitability rating of 8 / 10.
Can you provide the PE and PB ratios for ACIW stock?
The Price/Earnings (PE) ratio for ACI WORLDWIDE INC (ACIW) is 19.51 and the Price/Book (PB) ratio is 3.37.
What is the financial health of ACI WORLDWIDE INC (ACIW) stock?
The financial health rating of ACI WORLDWIDE INC (ACIW) is 5 / 10.