46.1 USD
+0.62 (+1.36%)
46.1 USD
0 (0%)
We assign a fundamental rating of 6 out of 10 to ACIW. ACIW was compared to 276 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 may be a bit undervalued, certainly considering the very reasonable score on growth With these ratings, ACIW could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
ACIW had positive earnings in the past year.
ACIW had a positive operating cash flow in the past year.
In the past 5 years ACIW has always been profitable.
ACIW had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 8.25%, ACIW belongs to the best of the industry, outperforming 80.80% of the companies in the same industry.
With an excellent Return On Equity value of 17.64%, ACIW belongs to the best of the industry, outperforming 85.51% of the companies in the same industry.
ACIW's Return On Invested Capital of 12.16% is amongst the best of the industry. ACIW outperforms 88.04% of its industry peers.
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
Looking at the Profit Margin, with a value of 15.07%, ACIW is in the better half of the industry, outperforming 77.54% of the companies in the same industry.
ACIW's Profit Margin has improved in the last couple of years.
ACIW has a better Operating Margin (20.83%) than 86.96% of its industry peers.
ACIW's Operating Margin has improved in the last couple of years.
ACIW's Gross Margin of 49.67% is on the low side compared to the rest of the industry. ACIW is outperformed by 70.65% of its industry peers.
In the last couple of years the Gross Margin of ACIW has remained more or less at the same level.
| 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.
ACIW has less shares outstanding than it did 1 year ago.
ACIW has less shares outstanding than it did 5 years ago.
ACIW has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.56 indicates that ACIW is not in any danger for bankruptcy at the moment.
The Altman-Z score of ACIW (3.56) is better than 65.58% 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.
With a decent Debt to FCF ratio value of 3.02, ACIW is doing good in the industry, outperforming 64.49% of the companies in the same industry.
ACIW has a Debt/Equity ratio of 0.56. This is a neutral value indicating ACIW is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.56, ACIW is not doing good in the industry: 67.03% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | 3.02 | ||
| Altman-Z | 3.56 |
ROIC/WACC1.1
WACC11.03%
2.3 Liquidity
ACIW has a Current 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 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.
Looking at the Quick ratio, with a value of 1.58, ACIW is in line with its industry, outperforming 48.55% of the companies in the same industry.
| 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
The Earnings Per Share is expected to grow by 15.12% on average over the next years. This is quite good.
The Revenue is expected to grow by 5.64% on average over the next years.
EPS Next Y25.02%
EPS Next 2Y16.65%
EPS Next 3Y15.12%
EPS Next 5YN/A
Revenue Next Year9.35%
Revenue Next 2Y5.74%
Revenue Next 3Y5.64%
Revenue Next 5YN/A
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in 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
Based on the Price/Earnings ratio of 18.59, the valuation of ACIW can be described as rather expensive.
ACIW's Price/Earnings ratio is a bit cheaper when compared to the industry. ACIW is cheaper than 76.45% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.92. ACIW is valued slightly cheaper when compared to this.
ACIW is valuated rather expensively with a Price/Forward Earnings ratio of 17.64.
ACIW's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. ACIW is cheaper than 78.26% of the companies in the same industry.
ACIW's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.57.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.59 | ||
| Fwd PE | 17.64 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ACIW is valued cheaper than 85.14% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, ACIW is valued cheaply inside the industry as 83.70% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.52 | ||
| EV/EBITDA | 12.05 |
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 15.12% in the coming years.
PEG (NY)0.74
PEG (5Y)0.68
EPS Next 2Y16.65%
EPS Next 3Y15.12%
5. Dividend
5.1 Amount
ACIW does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
46.1
+0.62 (+1.36%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners101.2%
Inst Owner Change0%
Ins Owners0.64%
Ins Owner Change2.59%
Market Cap4.75B
Revenue(TTM)1.73B
Net Income(TTM)260.88M
Analysts81.54
Price Target66.94 (45.21%)
Short Float %4.17%
Short Ratio5.76
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)5.78%
PT rev (3m)5.92%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-3.37%
EPS NY rev (1m)-0.11%
EPS NY rev (3m)1.95%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.23%
Revenue NY rev (1m)0.06%
Revenue NY rev (3m)0.79%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.59 | ||
| Fwd PE | 17.64 | ||
| P/S | 2.75 | ||
| P/FCF | 16.52 | ||
| P/OCF | 14.51 | ||
| P/B | 3.21 | ||
| P/tB | 213.61 | ||
| EV/EBITDA | 12.05 |
EPS(TTM)2.48
EY5.38%
EPS(NY)2.61
Fwd EY5.67%
FCF(TTM)2.79
FCFY6.05%
OCF(TTM)3.18
OCFY6.89%
SpS16.79
BVpS14.35
TBVpS0.22
PEG (NY)0.74
PEG (5Y)0.68
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 | 3.56 |
F-Score8
WACC11.03%
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 Y25.02%
EPS Next 2Y16.65%
EPS Next 3Y15.12%
EPS Next 5YN/A
Revenue 1Y (TTM)7.01%
Revenue growth 3Y5.17%
Revenue growth 5Y4.85%
Sales Q2Q%6.78%
Revenue Next Year9.35%
Revenue Next 2Y5.74%
Revenue Next 3Y5.64%
Revenue Next 5YN/A
EBIT growth 1Y0.42%
EBIT growth 3Y12.36%
EBIT growth 5Y16.75%
EBIT Next Year73.27%
EBIT Next 3Y26.31%
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 for 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.
What is the valuation of ACI WORLDWIDE INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for ACI WORLDWIDE INC (ACIW) is 18.59 and the Price/Book (PB) ratio is 3.21.