Aci Worldwide Profitability Analysis

ACIW
 Stock
  

USD 25.61  0.14  0.54%   

For Aci Worldwide profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Aci Worldwide to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Aci Worldwide utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Aci Worldwide's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Aci Worldwide over time as well as its relative position and ranking within its peers. Please continue to Trending Equities.
  
Price to Sales Ratio is likely to climb to 3.14 in 2022, whereas Return on Sales is likely to drop 0.14 in 2022. Net Income Per Employee is likely to climb to about 38.2 K in 2022, whereas Accumulated Other Comprehensive Income is likely to drop (107.4 M) in 2022.

Aci Worldwide Revenues

1.3 Billion

Is Aci Worldwide's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Aci Worldwide. If investors know Aci Worldwide will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Aci Worldwide listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth YOY
1.33
Market Capitalization
B
Quarterly Revenue Growth YOY
0.13
Return On Assets
0.0494
Return On Equity
0.13
The market value of Aci Worldwide is measured differently than its book value, which is the value of Aci Worldwide that is recorded on the company's balance sheet. Investors also form their own opinion of Aci Worldwide's value that differs from its market value or its book value, called intrinsic value, which is Aci Worldwide's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Aci Worldwide's market value can be influenced by many factors that don't directly affect Aci Worldwide's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Aci Worldwide's value and its price as these two are different measures arrived at by different means. Investors typically determine Aci Worldwide value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Aci Worldwide's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

Aci Worldwide Net Income vs. Price to Book Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Aci Worldwide's current stock value. Our valuation model uses many indicators to compare Aci Worldwide value to that of its competitors to determine the firm's financial worth.
Aci Worldwide is number one stock in price to book category among related companies. It is number one stock in net income category among related companies making up about  56,509,728  of Net Income per Price to Book. Aci Worldwide Net Income is fairly stable at the moment as compared to the past year. Aci Worldwide reported Net Income of 127.79 Million in 2021. Comparative valuation analysis is a catch-all model that can be used if you cannot value Aci Worldwide by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Aci Worldwide's Stock . Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Aci Worldwide's earnings, one of the primary drivers of an investment's value.

Aci Worldwide Net Income vs. Price to Book

Price to Book (P/B) ratio is used to relate a company book value to its current market price. A high P/B ratio indicates that investors expect executives to generate more returns on their investments from a given set of assets. Book value is the accounting value of assets minus liabilities.
Aci Worldwide 
P/B 
 = 
MV Per Share 
BV Per Share 
2.57 X
Price to Book ratio is mostly used in financial services industries where assets and liabilities are typically represented by dollars. Although low Price to Book ratio generally implies that the firm is undervalued, it is often a good indicator that the company may be in financial or managerial distress and should be investigated more carefully.
Net income is the profit of a company for the reporting period, which is derived after taking revenues and gains and subtracting all expenses and losses. Net income is one of the most-watched numbers by money managers as well as individual investors.
Aci Worldwide 
Net Income 
 = 
(Rev + Gain) 
-  
(Exp + Loss) 
145.23 M
Because income is reported on the Income Statement of a company and is measured in dollars some investors prefer to use Profit Margin, which measures income as a percentage of sales.

Aci Worldwide Net Income Comparison

Aci Worldwide is currently under evaluation in net income category among related companies.

Aci Worldwide Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Aci Worldwide, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Aci Worldwide will eventually generate negative long term returns. The profitability progress is the general direction of Aci Worldwide's change in net profit over the period of time. It can combine multiple indicators of Aci Worldwide, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Last ReportedProjected for 2022
Accumulated Other Comprehensive Income-99.5 M-107.4 M
Consolidated Income127.8 M108.5 M
Net Income127.8 M108.5 M
Net Income Common Stock127.8 M108.5 M
Operating Income209.9 M186.3 M
Income Tax Expense47.3 M41.7 M
Net Income Per Employee35.4 K38.2 K
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 was founded in 1975 and is based in Coral Gables, Florida. Aci Worldwide operates under SoftwareInfrastructure classification in the United States and is traded on NASDAQ Exchange. It employs 3610 people.

Aci Worldwide Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Aci Worldwide. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Aci Worldwide position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Aci Worldwide's important profitability drivers and their relationship over time.

Aci Worldwide Profitability Trends

Aci Worldwide profitability trend refers to the progression of profit or loss within a business. An upward trend means that Aci Worldwide's profit has generally increased over time, and a downward profitability trend means profits are declining. Recognizing problems early in profitability trends allows investors to address revenue and cost issues in advance. Investors and analysts usually monitor three types of profitability trends: gross, operating, and net. Gross profit is the difference between revenue and costs of goods sold. Operating profit is Aci Worldwide's gross profit minus its overhead. After you account for other unusual revenue, expenses, and costs, you get net profit. Gross profit trends are often a good indicator of future profitability. If you have high gross profit margins, you have a better chance to cover overhead and make money.

Aci Worldwide Profitability Drivers Correlations

One of the toughest challenges investors face today is learning how to quickly synthesize and read into endless financial statements and information provided by the company, SEC reporting, and various external parties. Understanding the correlation between Aci Worldwide different financial indicators related to revenue and profit generation helps investors identify and prioritize their investing strategies towards Aci Worldwide in a much-optimized way. Analyzing correlations between profit drivers that are directly associated with dollar figures is the most effective way to break down Aci Worldwide's future profitability.

Use Aci Worldwide in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Aci Worldwide position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Aci Worldwide will appreciate offsetting losses from the drop in the long position's value.

Aci Worldwide Pair Trading

Aci Worldwide Pair Trading Analysis

The ability to find closely correlated positions to Aci Worldwide could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Aci Worldwide when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Aci Worldwide - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Aci Worldwide to buy it.
The correlation of Aci Worldwide is a statistical measure of how it moves in relation to other equities. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Aci Worldwide moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Aci Worldwide moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Aci Worldwide can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Aci Worldwide position

In addition to having Aci Worldwide in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

Did You Try This Idea?

Run Conservative Thematic Idea Now

Conservative
Conservative Theme
Funds or Etfs that invest using buy-and-hold investment strategy in companies with consistent growth over many years of operation. The Conservative theme has 40 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Conservative Theme or any other thematic opportunities.
View All  Next Launch
Please continue to Trending Equities. Note that the Aci Worldwide information on this page should be used as a complementary analysis to other Aci Worldwide's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Premium Stories module to follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope.

Complementary Tools for Aci Worldwide Stock analysis

When running Aci Worldwide price analysis, check to measure Aci Worldwide's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Aci Worldwide is operating at the current time. Most of Aci Worldwide's value examination focuses on studying past and present price action to predict the probability of Aci Worldwide's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Aci Worldwide's price. Additionally, you may evaluate how the addition of Aci Worldwide to your portfolios can decrease your overall portfolio volatility.
Headlines Timeline
Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity
Go
Portfolio Suggestion
Get suggestions outside of your existing asset allocation including your own model portfolios
Go
Competition Analyzer
Analyze and compare many basic indicators for a group of related or unrelated entities
Go
Equity Forecasting
Use basic forecasting models to generate price predictions and determine price momentum
Go
Performance Analysis
Check effects of mean-variance optimization against your current asset allocation
Go
Efficient Frontier
Plot and analyze your portfolio and positions against risk-return landscape of the market.
Go
Idea Breakdown
Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes
Go
Aroon Oscillator
Analyze current equity momentum using Aroon Oscillator and other momentum ratios
Go
Bond Directory
Find actively traded corporate debentures issued by US companies
Go
Portfolio Rebalancing
Analyze risk-adjusted returns against different time horizons to find asset-allocation targets
Go
Shere Portfolio
Track or share privately all of your investments from the convenience of any device
Go
Portfolio Comparator
Compare the composition, asset allocations and performance of any two portfolios in your account
Go
Premium Stories
Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope
Go
To fully project Aci Worldwide's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Aci Worldwide at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Aci Worldwide's income statement, its balance sheet, and the statement of cash flows.
Potential Aci Worldwide investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Aci Worldwide investors may work on each financial statement separately, they are all related. The changes in Aci Worldwide's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Aci Worldwide's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.