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ACVA

ACV AuctionsNasdaqGS:ACVA Stock Report

Last Price

US$16.05

Market Cap

US$2.5b

7D

-11.5%

1Y

n/a

Updated

19 Jan, 2022

Data

Company Financials +
ACVA fundamental analysis
Snowflake Score
Valuation2/6
Future Growth2/6
Past Performance0/6
Financial Health5/6
Dividends0/6

ACVA Stock Overview

ACV Auctions, Inc., operates a digital marketplace that connects buyers and sellers for the online auction of wholesale vehicles.

ACV Auctions Competitors

Copart

NasdaqGS:CPRT

US$31.5b

IAA

NYSE:IAA

US$6.3b

KAR Auction Services

NYSE:KAR

US$1.8b

LKQ

NasdaqGS:LKQ

US$16.1b

Price History & Performance

Summary of all time highs, changes and price drops for ACV Auctions
Historical stock prices
Current Share PriceUS$16.05
52 Week HighUS$37.77
52 Week LowUS$15.34
Beta0
1 Month Change-10.78%
3 Month Change-19.14%
1 Year Changen/a
3 Year Changen/a
5 Year Changen/a
Change since IPO-48.64%

Recent News & Updates

Shareholder Returns

ACVAUS Commercial ServicesUS Market
7D-11.5%-1.1%-0.3%
1Yn/a16.2%13.7%

Return vs Industry: Insufficient data to determine how ACVA performed against the US Commercial Services industry.

Return vs Market: Insufficient data to determine how ACVA performed against the US Market.

Price Volatility

Is ACVA's price volatile compared to industry and market?
ACVA volatility
ACVA Average Weekly Movement7.2%
Commercial Services Industry Average Movement6.2%
Market Average Movement6.6%
10% most volatile stocks in US Market15.9%
10% least volatile stocks in US Market2.4%

Stable Share Price: ACVA is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: ACVA's weekly volatility (7%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2014n/aGeorge Chamounhttps://www.acvauctions.com

ACV Auctions, Inc., operates a digital marketplace that connects buyers and sellers for the online auction of wholesale vehicles. It also provides data services that offer transparent and accurate vehicle information to customers. ACV Auctions, Inc. was incorporated in 2014 and is based in Buffalo, New York.

ACV Auctions Fundamentals Summary

How do ACV Auctions's earnings and revenue compare to its market cap?
ACVA fundamental statistics
Market CapUS$2.50b
Earnings (TTM)-US$64.13m
Revenue (TTM)US$312.02m

8.0x

P/S Ratio

-38.9x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
ACVA income statement (TTM)
RevenueUS$312.02m
Cost of RevenueUS$265.96m
Gross ProfitUS$46.06m
ExpensesUS$110.19m
Earnings-US$64.13m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-0.41
Gross Margin14.76%
Net Profit Margin-20.55%
Debt/Equity Ratio0.09%

How did ACVA perform over the long term?

See historical performance and comparison

Valuation

Is ACV Auctions undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ACVA ($16.05) is trading below our estimate of fair value ($33.79)

Significantly Below Fair Value: ACVA is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: ACVA is unprofitable, so we can't compare its PE Ratio to the US Commercial Services industry average.

PE vs Market: ACVA is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate ACVA's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: ACVA is overvalued based on its PB Ratio (4.3x) compared to the US Commercial Services industry average (2.1x).


Future Growth

How is ACV Auctions forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

19.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ACVA is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: ACVA is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: ACVA is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: ACVA's revenue (25% per year) is forecast to grow faster than the US market (9.3% per year).

High Growth Revenue: ACVA's revenue (25% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ACVA is forecast to be unprofitable in 3 years.


Past Performance

How has ACV Auctions performed over the past 5 years?

-28.0%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: ACVA is currently unprofitable.

Growing Profit Margin: ACVA is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if ACVA's year-on-year earnings growth rate was positive over the past 5 years.

Accelerating Growth: Unable to compare ACVA's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: ACVA is unprofitable, making it difficult to compare its past year earnings growth to the Commercial Services industry (35.3%).


Return on Equity

High ROE: ACVA has a negative Return on Equity (-11.13%), as it is currently unprofitable.


Financial Health

How is ACV Auctions's financial position?


Financial Position Analysis

Short Term Liabilities: ACVA's short term assets ($864.7M) exceed its short term liabilities ($400.7M).

Long Term Liabilities: ACVA's short term assets ($864.7M) exceed its long term liabilities ($3.6M).


Debt to Equity History and Analysis

Debt Level: ACVA has more cash than its total debt.

Reducing Debt: Insufficient data to determine if ACVA's debt to equity ratio has reduced over the past 5 years.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable ACVA has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: ACVA is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 155.9% per year.


Dividend

What is ACV Auctions's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate ACVA's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate ACVA's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if ACVA's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if ACVA's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of ACVA's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

  • Explore strong dividend paying companies in the Commercial Services industry.

Management

How experienced are the management team and are they aligned to shareholders interests?

2.8yrs

Average management tenure


CEO

George Chamoun (46 yo)

5.33yrs

Tenure

US$535,608

Compensation

Mr. George G. Chamoun has been Chief Executive Officer and Director at ACV Auctions Inc. since September 2016. Prior to departing Synacor, Inc. in September 2016, Mr. Chamoun served as its President of Ser...


CEO Compensation Analysis

Compensation vs Market: George's total compensation ($USD535.61K) is below average for companies of similar size in the US market ($USD5.13M).

Compensation vs Earnings: Insufficient data to compare George's compensation with company performance.


Leadership Team

Experienced Management: ACVA's management team is considered experienced (2.8 years average tenure).


Board Members

Experienced Board: ACVA's board of directors are not considered experienced ( 1.8 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: ACVA insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: ACVA only recently listed within the past 12 months.


Top Shareholders

Company Information

ACV Auctions Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: ACV Auctions Inc.
  • Ticker: ACVA
  • Exchange: NasdaqGS
  • Founded: 2014
  • Industry: Diversified Support Services
  • Sector: Commercial Services
  • Implied Market Cap: US$2.497b
  • Shares outstanding: 155.58m
  • Website: https://www.acvauctions.com

Location

  • ACV Auctions Inc.
  • 640 Ellicott Street
  • Suite 321
  • Buffalo
  • New York
  • 14203
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/19 00:10
End of Day Share Price2022/01/18 00:00
Earnings2021/09/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.