ACCEL ENTERTAINMENT INC (ACEL) Stock Fundamental Analysis
NYSE:ACEL - New York Stock Exchange, Inc. - US00436Q1067 - Common Stock - Currency: USD
We assign a fundamental rating of 4 out of 10 to ACEL. ACEL was compared to 136 industry peers in the Hotels, Restaurants & Leisure industry. ACEL has an average financial health and profitability rating. ACEL has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year ACEL was profitable.
ACEL had a positive operating cash flow in the past year.
Of the past 5 years ACEL 4 years were profitable.
ACEL had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
ACEL has a Return On Assets of 3.36%. This is comparable to the rest of the industry: ACEL outperforms 58.82% of its industry peers.
ACEL has a better Return On Equity (13.82%) than 72.79% of its industry peers.
The Return On Invested Capital of ACEL (6.60%) is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for ACEL is significantly below the industry average of 14.17%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.36% | ||
| ROE | 13.82% | ||
| ROIC | 6.6% |
ROA(3y)5.65%
ROA(5y)4.4%
ROE(3y)26.12%
ROE(5y)19.59%
ROIC(3y)8.03%
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 2.86%, ACEL is in line with its industry, outperforming 53.68% of the companies in the same industry.
In the last couple of years the Profit Margin of ACEL has declined.
ACEL has a Operating Margin (7.38%) which is comparable to the rest of the industry.
ACEL's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 30.18%, ACEL is not doing good in the industry: 76.47% of the companies in the same industry are doing better.
ACEL's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.38% | ||
| PM (TTM) | 2.86% | ||
| GM | 30.18% |
OM growth 3Y-8.24%
OM growth 5Y18.93%
PM growth 3Y-12.68%
PM growth 5YN/A
GM growth 3Y-2.7%
GM growth 5Y-2.48%
2. Health
2.1 Basic Checks
ACEL has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, ACEL has more shares outstanding
ACEL has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, ACEL has an improved debt to assets ratio.
2.2 Solvency
ACEL has an Altman-Z score of 2.56. This is not the best score and indicates that ACEL is in the grey zone with still only limited risk for bankruptcy at the moment.
ACEL has a Altman-Z score of 2.56. This is in the better half of the industry: ACEL outperforms 75.00% of its industry peers.
The Debt to FCF ratio of ACEL is 10.89, which is on the high side as it means it would take ACEL, 10.89 years of fcf income to pay off all of its debts.
ACEL has a Debt to FCF ratio (10.89) which is in line with its industry peers.
ACEL has a Debt/Equity ratio of 2.20. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 2.20, ACEL perfoms like the industry average, outperforming 54.41% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.2 | ||
| Debt/FCF | 10.89 | ||
| Altman-Z | 2.56 |
ROIC/WACC0.82
WACC8.03%
2.3 Liquidity
ACEL has a Current Ratio of 2.76. This indicates that ACEL is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 2.76, ACEL belongs to the top of the industry, outperforming 92.65% of the companies in the same industry.
ACEL has a Quick Ratio of 2.69. This indicates that ACEL is financially healthy and has no problem in meeting its short term obligations.
ACEL has a Quick ratio of 2.69. This is amongst the best in the industry. ACEL outperforms 92.65% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.76 | ||
| Quick Ratio | 2.69 |
3. Growth
3.1 Past
ACEL shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -4.21%.
The Earnings Per Share has been growing slightly by 6.66% on average over the past years.
Looking at the last year, ACEL shows a small growth in Revenue. The Revenue has grown by 5.18% in the last year.
ACEL shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 23.49% yearly.
EPS 1Y (TTM)-4.21%
EPS 3Y6.66%
EPS 5YN/A
EPS Q2Q%-16%
Revenue 1Y (TTM)5.18%
Revenue growth 3Y18.77%
Revenue growth 5Y23.49%
Sales Q2Q%6.88%
3.2 Future
Based on estimates for the next years, ACEL will show a small growth in Earnings Per Share. The EPS will grow by 1.05% on average per year.
ACEL is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.97% yearly.
EPS Next Y-3.46%
EPS Next 2Y-0.23%
EPS Next 3Y1.05%
EPS Next 5YN/A
Revenue Next Year7.15%
Revenue Next 2Y5.71%
Revenue Next 3Y4.97%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 11.70 indicates a reasonable valuation of ACEL.
ACEL's Price/Earnings ratio is rather cheap when compared to the industry. ACEL is cheaper than 86.03% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 28.22, ACEL is valued rather cheaply.
A Price/Forward Earnings ratio of 12.12 indicates a correct valuation of ACEL.
Based on the Price/Forward Earnings ratio, ACEL is valued cheaply inside the industry as 83.82% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of ACEL to the average of the S&P500 Index (20.86), we can say ACEL is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.7 | ||
| Fwd PE | 12.12 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ACEL is valued a bit cheaper than 77.21% of the companies in the same industry.
ACEL's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. ACEL is cheaper than 76.47% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.67 | ||
| EV/EBITDA | 7.71 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-0.23%
EPS Next 3Y1.05%
5. Dividend
5.1 Amount
ACEL does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
10.65
+0.14 (+1.33%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners50.44%
Inst Owner Change-0.01%
Ins Owners17.41%
Ins Owner Change-0.48%
Market Cap911.21M
Analysts82.22
Price Target15.64 (46.85%)
Short Float %2.9%
Short Ratio3.45
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)1
Avg EPS beat(2)4.39%
Min EPS beat(2)-1.65%
Max EPS beat(2)10.42%
EPS beat(4)3
Avg EPS beat(4)8.6%
Min EPS beat(4)-1.65%
Max EPS beat(4)15.98%
EPS beat(8)7
Avg EPS beat(8)16.82%
EPS beat(12)8
Avg EPS beat(12)8.97%
EPS beat(16)10
Avg EPS beat(16)9.05%
Revenue beat(2)1
Avg Revenue beat(2)0.73%
Min Revenue beat(2)-0.25%
Max Revenue beat(2)1.7%
Revenue beat(4)3
Avg Revenue beat(4)0.54%
Min Revenue beat(4)-0.25%
Max Revenue beat(4)1.7%
Revenue beat(8)7
Avg Revenue beat(8)1.85%
Revenue beat(12)7
Avg Revenue beat(12)0.68%
Revenue beat(16)9
Avg Revenue beat(16)0.86%
PT rev (1m)0%
PT rev (3m)2.22%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-14.29%
EPS NY rev (1m)0%
EPS NY rev (3m)0.15%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)3.34%
Revenue NY rev (1m)0%
Revenue NY rev (3m)4.47%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.7 | ||
| Fwd PE | 12.12 | ||
| P/S | 0.74 | ||
| P/FCF | 16.67 | ||
| P/OCF | 7.52 | ||
| P/B | 3.57 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.71 |
EPS(TTM)0.91
EY8.54%
EPS(NY)0.88
Fwd EY8.25%
FCF(TTM)0.64
FCFY6%
OCF(TTM)1.42
OCFY13.3%
SpS14.39
BVpS2.98
TBVpS-1.65
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.36% | ||
| ROE | 13.82% | ||
| ROCE | 9.77% | ||
| ROIC | 6.6% | ||
| ROICexc | 9.46% | ||
| ROICexgc | 24.29% | ||
| OM | 7.38% | ||
| PM (TTM) | 2.86% | ||
| GM | 30.18% | ||
| FCFM | 4.44% |
ROA(3y)5.65%
ROA(5y)4.4%
ROE(3y)26.12%
ROE(5y)19.59%
ROIC(3y)8.03%
ROIC(5y)N/A
ROICexc(3y)10.89%
ROICexc(5y)N/A
ROICexgc(3y)26.43%
ROICexgc(5y)N/A
ROCE(3y)11.9%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y4.91%
ROICexc growth 3Y-45.76%
ROICexc growth 5Y18.5%
OM growth 3Y-8.24%
OM growth 5Y18.93%
PM growth 3Y-12.68%
PM growth 5YN/A
GM growth 3Y-2.7%
GM growth 5Y-2.48%
F-Score6
Asset Turnover1.17
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.2 | ||
| Debt/FCF | 10.89 | ||
| Debt/EBITDA | 3.56 | ||
| Cap/Depr | 99.98% | ||
| Cap/Sales | 5.41% | ||
| Interest Coverage | 2.77 | ||
| Cash Conversion | 76.98% | ||
| Profit Quality | 155.03% | ||
| Current Ratio | 2.76 | ||
| Quick Ratio | 2.69 | ||
| Altman-Z | 2.56 |
F-Score6
WACC8.03%
ROIC/WACC0.82
Cap/Depr(3y)113.18%
Cap/Depr(5y)92.53%
Cap/Sales(3y)5.76%
Cap/Sales(5y)5.9%
Profit Quality(3y)116.06%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-4.21%
EPS 3Y6.66%
EPS 5YN/A
EPS Q2Q%-16%
EPS Next Y-3.46%
EPS Next 2Y-0.23%
EPS Next 3Y1.05%
EPS Next 5YN/A
Revenue 1Y (TTM)5.18%
Revenue growth 3Y18.77%
Revenue growth 5Y23.49%
Sales Q2Q%6.88%
Revenue Next Year7.15%
Revenue Next 2Y5.71%
Revenue Next 3Y4.97%
Revenue Next 5YN/A
EBIT growth 1Y-15.43%
EBIT growth 3Y8.99%
EBIT growth 5Y46.87%
EBIT Next Year64.93%
EBIT Next 3Y22%
EBIT Next 5YN/A
FCF growth 1Y7.61%
FCF growth 3Y-12.29%
FCF growth 5Y17.12%
OCF growth 1Y-8.55%
OCF growth 3Y3.03%
OCF growth 5Y21.59%