ACME UNITED CORP (ACU)
US0048161048 - Common Stock
ACU gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 84 industry peers in the Commercial Services & Supplies industry. Both the health and profitability get an excellent rating, making ACU a very profitable company, without any liquidiy or solvency issues. ACU has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year ACU was profitable.
ACU had a positive operating cash flow in the past year.
Each year in the past 5 years ACU has been profitable.
Each year in the past 5 years ACU had a positive operating cash flow.
1.2 Ratios
ACU's Return On Assets of 11.92% is amongst the best of the industry. ACU outperforms 91.57% of its industry peers.
ACU has a better Return On Equity (18.17%) than 87.95% of its industry peers.
ACU's Return On Invested Capital of 8.62% is fine compared to the rest of the industry. ACU outperforms 77.11% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ACU is below the industry average of 10.10%.
The 3 year average ROIC (6.82%) for ACU is below the current ROIC(8.62%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.92% | ||
| ROE | 18.17% | ||
| ROIC | 8.62% |
ROA(3y)7.74%
ROA(5y)6.89%
ROE(3y)13.24%
ROE(5y)12.51%
ROIC(3y)6.82%
ROIC(5y)7.21%
1.3 Margins
The Profit Margin of ACU (9.29%) is better than 85.54% of its industry peers.
ACU's Profit Margin has improved in the last couple of years.
ACU has a Operating Margin of 6.89%. This is comparable to the rest of the industry: ACU outperforms 57.83% of its industry peers.
In the last couple of years the Operating Margin of ACU has grown nicely.
ACU has a Gross Margin of 37.71%. This is in the better half of the industry: ACU outperforms 65.06% of its industry peers.
ACU's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.89% | ||
| PM (TTM) | 9.29% | ||
| GM | 37.71% |
OM growth 3Y-0.35%
OM growth 5Y4.87%
PM growth 3Y23.45%
PM growth 5Y22.64%
GM growth 3Y1.24%
GM growth 5Y0.44%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so ACU is still creating some value.
ACU has more shares outstanding than it did 1 year ago.
The number of shares outstanding for ACU has been increased compared to 5 years ago.
ACU has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 4.67 indicates that ACU is not in any danger for bankruptcy at the moment.
ACU's Altman-Z score of 4.67 is amongst the best of the industry. ACU outperforms 83.13% of its industry peers.
The Debt to FCF ratio of ACU is 1.00, which is an excellent value as it means it would take ACU, only 1.00 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of ACU (1.00) is better than 81.93% of its industry peers.
ACU has a Debt/Equity ratio of 0.24. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.24, ACU is doing good in the industry, outperforming 69.88% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | 1 | ||
| Altman-Z | 4.67 |
ROIC/WACC1
WACC8.59%
2.3 Liquidity
A Current Ratio of 3.54 indicates that ACU has no problem at all paying its short term obligations.
With an excellent Current ratio value of 3.54, ACU belongs to the best of the industry, outperforming 87.95% of the companies in the same industry.
ACU has a Quick Ratio of 1.41. This is a normal value and indicates that ACU is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.41, ACU perfoms like the industry average, outperforming 56.63% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.54 | ||
| Quick Ratio | 1.41 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 184.62% over the past year.
The Earnings Per Share has been growing by 11.64% on average over the past years. This is quite good.
Looking at the last year, ACU shows a decrease in Revenue. The Revenue has decreased by -1.27% in the last year.
ACU shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.88% yearly.
EPS 1Y (TTM)184.62%
EPS 3Y-0.89%
EPS 5Y11.64%
EPS growth Q2Q335.29%
Revenue 1Y (TTM)-1.27%
Revenue growth 3Y5.3%
Revenue growth 5Y6.88%
Revenue growth Q2Q-4.92%
3.2 Future
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
EPS Next Y15.1%
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year3.63%
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
4. Valuation
4.1 Price/Earnings Ratio
ACU is valuated rather expensively with a Price/Earnings ratio of 18.72.
73.49% of the companies in the same industry are more expensive than ACU, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of ACU to the average of the S&P500 Index (24.55), we can say ACU is valued slightly cheaper.
A Price/Forward Earnings ratio of 16.26 indicates a correct valuation of ACU.
68.67% of the companies in the same industry are more expensive than ACU, based on the Price/Forward Earnings ratio.
ACU's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 20.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.72 | ||
| Fwd PE | 16.26 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ACU is valued a bit cheaper than 69.88% of the companies in the same industry.
92.77% of the companies in the same industry are more expensive than ACU, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.34 | ||
| EV/EBITDA | 9.27 |
4.3 Compensation for Growth
ACU's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of ACU may justify a higher PE ratio.
PEG (NY)1.24
PEG (5Y)1.61
EPS Next 2YN/A
EPS Next 3YN/A
5. Dividend
5.1 Amount
ACU has a Yearly Dividend Yield of 1.48%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 2.38, ACU pays a bit more dividend than its industry peers.
ACU's Dividend Yield is slightly below the S&P500 average, which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.48% |
5.2 History
The dividend of ACU has a limited annual growth rate of 4.67%.
ACU has paid a dividend for at least 10 years, which is a reliable track record.
ACU has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)4.67%
Div Incr Years3
Div Non Decr Years10
5.3 Sustainability
ACU pays out 11.20% of its income as dividend. This is a sustainable payout ratio.
ACU's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP11.2%
EPS Next 2YN/A
EPS Next 3YN/A
ACME UNITED CORP
NYSEARCA:ACU (5/2/2024, 12:45:27 PM)
41.56
+0.41 (+1%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap151.69M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.48% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
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EPS beat(16)
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Revenue beat(2)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.72 | ||
| Fwd PE | 16.26 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)1.24
PEG (5Y)1.61
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.92% | ||
| ROE | 18.17% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 6.89% | ||
| PM (TTM) | 9.29% | ||
| GM | 37.71% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 3.54 | ||
| Quick Ratio | 1.41 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)184.62%
EPS 3Y-0.89%
EPS 5Y
EPS growth Q2Q
EPS Next Y15.1%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-1.27%
Revenue growth 3Y5.3%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y