ACI Worldwide Inc. (NASDAQ:ACIW) shares traded lower over the last trading session, losing -0.72% on 06/10/21. The shares fell to a low of $38.39 before closing at $38.54. Intraday shares traded counted 0.34 million, which was 41.38% higher than its 30-day average trading volume of 578.62K. ACIW’s previous close was $38.82 while the outstanding shares total 117.49M. The firm has a beta of 1.14, a 12-month trailing P/E ratio of 48.11, and a growth ratio of 4.01. The stock’s Relative Strength Index (RSI) is 45.13, with weekly volatility at 1.77% and ATR at 0.95. The ACIW stock’s 52-week price range has touched low of $23.55 and a $43.23 high.
Investors have identified the Software – Infrastructure company ACI Worldwide Inc. as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $4.51 billion, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
ACI Worldwide Inc. (ACIW) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. For ACIW, the company has in raw cash 184.36 million on their books with 34.29 million currently as liabilities. How the trend is over time is what investors should be concerned about. The company has a healthy balance sheet as their debt profile has been on an incline. In terms of their assets, the company currently has 956.25 million total, with 716.12 million as their total liabilities.
ACIW were able to record 57.72 million as free cash flow during the 07/29/2021 quarter of the year, this saw their quarterly net cash flow reduce by 18.99 million. In cash movements, the company had a total of 70.12 million as operating cash flow.
Potential earnings growth for ACI Worldwide Inc. (ACIW)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the 07/29/2021 quarter of the year, ACI Worldwide Inc. recorded a total of 285.19 million in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with -2.21% coming in sequential stages and their sales for the 07/29/2021 quarter reducing by -35.72%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 159.49 million trying to sell their products during the last quarter, with the result yielding a gross income of 125.7 million. This allows shareholders to hold on to 117.49M with the recently reported earning now reading -0.02 cents per share. This is a figure that compared to analyst’s prediction for their 07/29/2021 (0.05 cents a share).
Is the stock of ACIW attractive?
In related news, Director, ESTEP JANET O sold 12,800 shares of the company’s stock in a transaction that recorded on Jun 07. The sale was performed at an average price of 38.84, for a total value of 497,120. As the sale deal closes, the Chief Product Officer, Wilmot Jeremy now sold 22,879 shares of the company’s stock, valued at 884,619. Also, Chief Product Officer, Wilmot Jeremy sold 32,459 shares of the company’s stock in a deal that was recorded on May 10. The shares were price at an average price of 38.94 per share, with a total market value of 1,263,999. Following this completion of acquisition, the Chief Product Officer, Wilmot Jeremy now holds 6,863 shares of the company’s stock, valued at 266,369. In the last 6 months, insiders have changed their ownership in shares of company stock by 1.00%.
5 out of 5 analysts covering the stock have rated it a Buy, while 0 have maintained a Hold recommendation on ACI Worldwide Inc.. 0 analysts has assigned a Sell rating on the ACIW stock. The 12-month mean consensus price target for the company’s shares has been set at $45.43.