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ACIW

ACI Worldwide NasdaqGS:ACIW Stock Report

Last Price

US$27.34

Market Cap

US$3.0b

7D

8.5%

1Y

-28.4%

Updated

24 Jun, 2022

Data

Company Financials +
ACIW fundamental analysis
Snowflake Score
Valuation4/6
Future Growth2/6
Past Performance5/6
Financial Health3/6
Dividends0/6

ACIW Stock Overview

ACI Worldwide, Inc., a software company, develops, markets, installs, and supports a range of software products and solutions for facilitating digital payments to banks, merchants, and billers worldwide.

ACI Worldwide Competitors

 

 

 

 

 

 

 

 

 

 

 

 

Price History & Performance

Summary of all time highs, changes and price drops for ACI Worldwide
Historical stock prices
Current Share PriceUS$27.34
52 Week HighUS$38.56
52 Week LowUS$23.63
Beta1.1
1 Month Change5.48%
3 Month Change-16.03%
1 Year Change-28.41%
3 Year Change-20.38%
5 Year Change22.22%
Change since IPO817.71%

Recent News & Updates

Jun 18
Does ACI Worldwide (NASDAQ:ACIW) Have A Healthy Balance Sheet?

Does ACI Worldwide (NASDAQ:ACIW) Have A Healthy Balance Sheet?

Warren Buffett famously said, 'Volatility is far from synonymous with risk.' When we think about how risky a company...

Shareholder Returns

ACIWUS SoftwareUS Market
7D8.5%9.9%6.6%
1Y-28.4%-18.1%-18.5%

Return vs Industry: ACIW underperformed the US Software industry which returned -21.3% over the past year.

Return vs Market: ACIW underperformed the US Market which returned -20.5% over the past year.

Price Volatility

Is ACIW's price volatile compared to industry and market?
ACIW volatility
ACIW Average Weekly Movement5.5%
Software Industry Average Movement11.1%
Market Average Movement8.0%
10% most volatile stocks in US Market16.6%
10% least volatile stocks in US Market3.1%

Stable Share Price: ACIW is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: ACIW's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19753,610Odilon Almeidahttps://www.aciworldwide.com

ACI Worldwide, Inc., a software company, develops, markets, installs, and supports a range of software products and solutions for facilitating digital payments to banks, merchants, and billers worldwide. The company offers ACI Acquiring, a merchant management system to deliver digital innovation, improve fraud prevention, and reduce interchange fees; ACI Issuing, a digital payments issuing solution; and ACI Enterprise Payments Platform that provides payment processing and orchestration capabilities for digital payments. It also provides ACI Low Value Real-Time Payments, a platform for processing real-time payments; and ACI High Value Real-Time Payments, a payments engine that offers multi-bank, multi-currency, 24x7 payment processing, and SWIFT messaging.

ACI Worldwide Fundamentals Summary

How do ACI Worldwide's earnings and revenue compare to its market cap?
ACIW fundamental statistics
Market CapUS$3.01b
Earnings (TTM)US$145.23m
Revenue (TTM)US$1.41b

21.6x

P/E Ratio

2.2x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
ACIW income statement (TTM)
RevenueUS$1.41b
Cost of RevenueUS$645.67m
Gross ProfitUS$762.82m
Other ExpensesUS$617.59m
EarningsUS$145.23m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)1.27
Gross Margin54.16%
Net Profit Margin10.31%
Debt/Equity Ratio89.6%

How did ACIW perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is ACIW undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for ACIW?

Other financial metrics that can be useful for relative valuation.

ACIW key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue2.9x
Enterprise Value/EBITDA13.3x
PEG Ratio1.5x

Price to Earnings Ratio vs Peers

How does ACIW's PE Ratio compare to its peers?

ACIW PE Ratio vs Peers
The above table shows the PE ratio for ACIW vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average141.2x

Price-To-Earnings vs Peers: ACIW is good value based on its Price-To-Earnings Ratio (21.6x) compared to the peer average (141.2x).


Price to Earnings Ratio vs Industry

How does ACIW's PE Ratio compare vs other companies in the U.S. Software Industry?

Price-To-Earnings vs Industry: ACIW is good value based on its Price-To-Earnings Ratio (21.6x) compared to the US Software industry average (38.2x)


Price to Earnings Ratio vs Fair Ratio

What is ACIW's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

ACIW PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio21.6x
Fair PE Ratio30.2x

Price-To-Earnings vs Fair Ratio: ACIW is good value based on its Price-To-Earnings Ratio (21.6x) compared to the estimated Fair Price-To-Earnings Ratio (30.2x).


Share Price vs Fair Value

What is the Fair Price of ACIW when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: ACIW ($27.34) is trading below our estimate of fair value ($32.5)

Significantly Below Fair Value: ACIW is trading below fair value, but not by a significant amount.


Price to Earnings Growth Ratio

PEG Ratio: ACIW is poor value based on its PEG Ratio (1.5x)


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Future Growth

How is ACI Worldwide forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

Future Growth Score

2/6

Future Growth Score 2/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


14.3%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ACIW's forecast earnings growth (14.3% per year) is above the savings rate (1.9%).

Earnings vs Market: ACIW's earnings (14.3% per year) are forecast to grow faster than the US market (13.9% per year).

High Growth Earnings: ACIW's earnings are forecast to grow, but not significantly.

Revenue vs Market: ACIW's revenue (4.1% per year) is forecast to grow slower than the US market (8.3% per year).

High Growth Revenue: ACIW's revenue (4.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if ACIW's Return on Equity is forecast to be high in 3 years time


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Past Performance

How has ACI Worldwide performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


33.7%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: ACIW has high quality earnings.

Growing Profit Margin: ACIW's current net profit margins (10.3%) are higher than last year (7.4%).


Past Earnings Growth Analysis

Earnings Trend: ACIW's earnings have grown significantly by 33.7% per year over the past 5 years.

Accelerating Growth: ACIW's earnings growth over the past year (52.6%) exceeds its 5-year average (33.7% per year).

Earnings vs Industry: ACIW earnings growth over the past year (52.6%) exceeded the Software industry 27.1%.


Return on Equity

High ROE: ACIW's Return on Equity (11.9%) is considered low.


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Financial Health

How is ACI Worldwide's financial position?

Financial Health Score

3/6

Financial Health Score 3/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: ACIW's short term assets ($1.0B) exceed its short term liabilities ($813.6M).

Long Term Liabilities: ACIW's short term assets ($1.0B) do not cover its long term liabilities ($1.2B).


Debt to Equity History and Analysis

Debt Level: ACIW's net debt to equity ratio (80.2%) is considered high.

Reducing Debt: ACIW's debt to equity ratio has reduced from 91.2% to 89.6% over the past 5 years.

Debt Coverage: ACIW's debt is not well covered by operating cash flow (16.4%).

Interest Coverage: ACIW's interest payments on its debt are well covered by EBIT (7.6x coverage).


Balance Sheet


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Dividend

What is ACI Worldwide current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage

Dividend Yield vs Market

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

High Dividend: Unable to evaluate ACIW'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 ACIW's dividends per share have been stable in the past.

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


Earnings Payout to Shareholders

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


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as ACIW has not reported any payouts.


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Management

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

4.2yrs

Average management tenure


CEO

Odilon Almeida (60 yo)

2.25yrs

Tenure

US$8,768,059

Compensation

Mr. Odilon Almeida serves as President, Chief Executive Officer and Director of ACI Worldwide, Inc. since March 9, 2020. Mr. Almeida served as Senior Advisor of Western Union Company since June 30, 2019 un...


CEO Compensation Analysis

Compensation vs Market: Odilon's total compensation ($USD8.77M) is about average for companies of similar size in the US market ($USD6.92M).

Compensation vs Earnings: Odilon's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: ACIW's management team is considered experienced (4.2 years average tenure).


Board Members

Experienced Board: ACIW's board of directors are considered experienced (6.6 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

ACI Worldwide, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: ACI Worldwide, Inc.
  • Ticker: ACIW
  • Exchange: NasdaqGS
  • Founded: 1975
  • Industry: Application Software
  • Sector: Software
  • Implied Market Cap: US$3.012b
  • Shares outstanding: 114.79m
  • Website: https://www.aciworldwide.com

Number of Employees


Location

  • ACI Worldwide, Inc.
  • 2811 Ponce de Leon Blvd
  • PH 1
  • Coral Gables
  • Florida
  • 33134
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/24 00:00
End of Day Share Price2022/06/24 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


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.