ACI WORLDWIDE INC (ACIW) Stock Fundamental Analysis
USA - NASDAQ:ACIW - US0044981019 - Common Stock
46.76 USD
-0.4 (-0.85%)
We assign a fundamental rating of 6 out of 10 to ACIW. ACIW was compared to 281 industry peers in the Software industry. While ACIW has a great profitability rating, there are some minor concerns on its financial health. ACIW has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year ACIW was profitable.
In the past year ACIW had a positive cash flow from operations.
In the past 5 years ACIW has always been profitable.
In the past 5 years ACIW always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 8.25%, ACIW belongs to the top of the industry, outperforming 82.56% of the companies in the same industry.
Looking at the Return On Equity, with a value of 17.64%, ACIW belongs to the top of the industry, outperforming 85.41% 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 89.32% 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 11.92%.
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
With a decent Profit Margin value of 15.07%, ACIW is doing good in the industry, outperforming 78.65% of the companies in the same industry.
In the last couple of years the Profit Margin of ACIW has grown nicely.
Looking at the Operating Margin, with a value of 20.83%, ACIW belongs to the top of the industry, outperforming 86.48% 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 68.33% 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
ACIW has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
ACIW has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, ACIW has less shares outstanding
ACIW has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.60 indicates that ACIW is not in any danger for bankruptcy at the moment.
With a decent Altman-Z score value of 3.60, ACIW is doing good in the industry, outperforming 65.48% of the companies in the same industry.
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.
Looking at the Debt to FCF ratio, with a value of 3.02, ACIW is in the better half of the industry, outperforming 64.41% of the companies in the same industry.
A Debt/Equity ratio of 0.56 indicates that ACIW is somewhat dependend on debt financing.
The Debt to Equity ratio of ACIW (0.56) is worse than 65.84% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | 3.02 | ||
| Altman-Z | 3.6 |
ROIC/WACC1.1
WACC11.03%
2.3 Liquidity
A Current Ratio of 1.58 indicates that ACIW should not have too much problems paying its short term obligations.
With a Current ratio value of 1.58, ACIW perfoms like the industry average, outperforming 49.11% of the companies in the same industry.
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.
With a Quick ratio value of 1.58, ACIW perfoms like the industry average, outperforming 49.82% 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.
Measured over the past years, ACIW shows a very strong growth in Earnings Per Share. The EPS has been growing by 27.49% on average per year.
Looking at the last year, ACIW shows a small growth in Revenue. The Revenue has grown by 7.01% in the last year.
The Revenue has been growing slightly by 4.85% on average over the past years.
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 12.22% on average over the next years. This is quite good.
ACIW is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.19% yearly.
EPS Next Y22.45%
EPS Next 2Y16.39%
EPS Next 3Y12.22%
EPS Next 5YN/A
Revenue Next Year8.49%
Revenue Next 2Y7.67%
Revenue Next 3Y6.19%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 18.85 indicates a rather expensive valuation of ACIW.
Based on the Price/Earnings ratio, ACIW is valued a bit cheaper than 75.44% of the companies in the same industry.
ACIW is valuated rather cheaply when we compare the Price/Earnings ratio to 25.91, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 17.98, ACIW is valued on the expensive side.
ACIW's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. ACIW is cheaper than 75.44% 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 34.57.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.85 | ||
| Fwd PE | 17.98 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ACIW indicates a rather cheap valuation: ACIW is cheaper than 86.48% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, ACIW is valued cheaper than 82.92% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.77 | ||
| EV/EBITDA | 12.31 |
4.3 Compensation for Growth
ACIW's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of ACIW may justify a higher PE ratio.
A more expensive valuation may be justified as ACIW's earnings are expected to grow with 12.22% in the coming years.
PEG (NY)0.84
PEG (5Y)0.69
EPS Next 2Y16.39%
EPS Next 3Y12.22%
5. Dividend
5.1 Amount
ACIW does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NASDAQ:ACIW (11/14/2025, 10:56:39 AM)
46.76
-0.4 (-0.85%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners100.55%
Inst Owner Change-0.29%
Ins Owners0.49%
Ins Owner Change3.18%
Market Cap4.83B
Revenue(TTM)1.73B
Net Income(TTM)260.88M
Analysts81.54
Price Target63.26 (35.29%)
Short Float %2.86%
Short Ratio3.62
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)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)0.1%
PT rev (3m)0.1%
EPS NQ rev (1m)0%
EPS NQ rev (3m)17.6%
EPS NY rev (1m)-0.14%
EPS NY rev (3m)-1.5%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)4.87%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.26%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.85 | ||
| Fwd PE | 17.98 | ||
| P/S | 2.79 | ||
| P/FCF | 16.77 | ||
| P/OCF | 14.73 | ||
| P/B | 3.26 | ||
| P/tB | 216.88 | ||
| EV/EBITDA | 12.31 |
EPS(TTM)2.48
EY5.3%
EPS(NY)2.6
Fwd EY5.56%
FCF(TTM)2.79
FCFY5.96%
OCF(TTM)3.17
OCFY6.79%
SpS16.78
BVpS14.33
TBVpS0.22
PEG (NY)0.84
PEG (5Y)0.69
Graham Number28.28
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 | 3.6 |
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 Y22.45%
EPS Next 2Y16.39%
EPS Next 3Y12.22%
EPS Next 5YN/A
Revenue 1Y (TTM)7.01%
Revenue growth 3Y5.17%
Revenue growth 5Y4.85%
Sales Q2Q%6.78%
Revenue Next Year8.49%
Revenue Next 2Y7.67%
Revenue Next 3Y6.19%
Revenue Next 5YN/A
EBIT growth 1Y0.42%
EBIT growth 3Y12.36%
EBIT growth 5Y16.75%
EBIT Next Year74.82%
EBIT Next 3Y24.59%
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 6 / 10 to ACI WORLDWIDE INC (ACIW). This can be considered as Fairly Valued.
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 18.85 and the Price/Book (PB) ratio is 3.26.
What is the financial health of ACI WORLDWIDE INC (ACIW) stock?
The financial health rating of ACI WORLDWIDE INC (ACIW) is 5 / 10.