ACME UNITED CORP (ACU) Stock Fundamental Analysis
USA - NYSEARCA:ACU - US0048161048 - Common Stock
40.87 USD
-0.58 (-1.4%)
We assign a fundamental rating of 6 out of 10 to ACU. ACU was compared to 84 industry peers in the Commercial Services & Supplies industry. ACU has an excellent profitability rating, but there are some minor concerns on its financial health. ACU has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
ACU had positive earnings in the past year.
In the past year ACU had a positive cash flow from operations.
Each year in the past 5 years ACU has been profitable.
ACU had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 6.05%, ACU is doing good in the industry, outperforming 75.00% of the companies in the same industry.
With a decent Return On Equity value of 9.09%, ACU is doing good in the industry, outperforming 67.86% of the companies in the same industry.
With a decent Return On Invested Capital value of 7.60%, ACU is doing good in the industry, outperforming 67.86% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for ACU is below the industry average of 10.60%.
The last Return On Invested Capital (7.60%) for ACU is above the 3 year average (6.73%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.05% | ||
| ROE | 9.09% | ||
| ROIC | 7.6% |
ROA(3y)6.65%
ROA(5y)7.13%
ROE(3y)10.46%
ROE(5y)12.4%
ROIC(3y)6.73%
ROIC(5y)7.34%
1.3 Margins
ACU's Profit Margin of 5.33% is fine compared to the rest of the industry. ACU outperforms 67.86% of its industry peers.
ACU's Profit Margin has improved in the last couple of years.
With a Operating Margin value of 7.23%, ACU perfoms like the industry average, outperforming 57.14% of the companies in the same industry.
ACU's Operating Margin has improved in the last couple of years.
ACU has a better Gross Margin (39.37%) than 66.67% of its industry peers.
In the last couple of years the Gross Margin of ACU has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.23% | ||
| PM (TTM) | 5.33% | ||
| GM | 39.37% |
OM growth 3Y1.21%
OM growth 5Y4.2%
PM growth 3Y-11.76%
PM growth 5Y5.89%
GM growth 3Y3.33%
GM growth 5Y1.47%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so ACU is destroying 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.
Compared to 1 year ago, ACU has a worse debt to assets ratio.
2.2 Solvency
ACU has an Altman-Z score of 4.42. This indicates that ACU is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 4.42, ACU is in the better half of the industry, outperforming 73.81% of the companies in the same industry.
The Debt to FCF ratio of ACU is 2.16, which is a good value as it means it would take ACU, 2.16 years of fcf income to pay off all of its debts.
ACU has a better Debt to FCF ratio (2.16) than 78.57% of its industry peers.
A Debt/Equity ratio of 0.23 indicates that ACU is not too dependend on debt financing.
With a decent Debt to Equity ratio value of 0.23, ACU is doing good in the industry, outperforming 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | 2.16 | ||
| Altman-Z | 4.42 |
ROIC/WACC0.89
WACC8.51%
2.3 Liquidity
ACU has a Current Ratio of 4.32. This indicates that ACU is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 4.32, ACU belongs to the top of the industry, outperforming 89.29% of the companies in the same industry.
ACU has a Quick Ratio of 1.88. This is a normal value and indicates that ACU is financially healthy and should not expect problems in meeting its short term obligations.
ACU has a Quick ratio of 1.88. This is in the better half of the industry: ACU outperforms 77.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.32 | ||
| Quick Ratio | 1.88 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 2.44% over the past year.
The Earnings Per Share has been growing by 8.85% on average over the past years. This is quite good.
ACU shows a small growth in Revenue. In the last year, the Revenue has grown by 0.70%.
The Revenue has been growing slightly by 6.42% on average over the past years.
EPS 1Y (TTM)2.44%
EPS 3Y-1.73%
EPS 5Y8.85%
EPS Q2Q%6.42%
Revenue 1Y (TTM)0.7%
Revenue growth 3Y2.22%
Revenue growth 5Y6.42%
Sales Q2Q%-2.58%
3.2 Future
Based on estimates for the next years, ACU will show a decrease in Earnings Per Share. The EPS will decrease by -7.57% on average per year.
ACU is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.13% yearly.
EPS Next Y5.99%
EPS Next 2Y-4.48%
EPS Next 3Y-7.57%
EPS Next 5YN/A
Revenue Next Year3.82%
Revenue Next 2Y3.99%
Revenue Next 3Y4.13%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
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 16.22 indicates a correct valuation of ACU.
Based on the Price/Earnings ratio, ACU is valued a bit cheaper than 75.00% of the companies in the same industry.
ACU is valuated rather cheaply when we compare the Price/Earnings ratio to 27.54, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 18.44 indicates a rather expensive valuation of ACU.
Based on the Price/Forward Earnings ratio, ACU is valued a bit cheaper than the industry average as 70.24% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of ACU to the average of the S&P500 Index (23.05), we can say ACU is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.22 | ||
| Fwd PE | 18.44 |
4.2 Price Multiples
ACU's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. ACU is cheaper than 72.62% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, ACU is valued cheaper than 83.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.71 | ||
| EV/EBITDA | 8.94 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ACU does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of ACU may justify a higher PE ratio.
A cheap valuation may be justified as ACU's earnings are expected to decrease with -7.57% in the coming years.
PEG (NY)2.71
PEG (5Y)1.83
EPS Next 2Y-4.48%
EPS Next 3Y-7.57%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.54%, ACU has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 2.34, ACU pays a better dividend. On top of this ACU pays more dividend than 83.33% of the companies listed in the same industry.
ACU's Dividend Yield is slightly below the S&P500 average, which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.54% |
5.2 History
The dividend of ACU has a limited annual growth rate of 4.57%.
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)4.57%
Div Incr Years4
Div Non Decr Years11
5.3 Sustainability
22.13% of the earnings are spent on dividend by ACU. This is a low number and sustainable payout ratio.
DP22.13%
EPS Next 2Y-4.48%
EPS Next 3Y-7.57%
NYSEARCA:ACU (9/29/2025, 1:02:48 PM)
40.87
-0.58 (-1.4%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners85.19%
Inst Owner Change8.27%
Ins Owners10.03%
Ins Owner Change0.05%
Market Cap155.31M
Analysts83.33
Price Target51.51 (26.03%)
Short Float %1.97%
Short Ratio6.36
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.54% |
Yearly Dividend0.6
Dividend Growth(5Y)4.57%
DP22.13%
Div Incr Years4
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-5.15%
Min EPS beat(2)-31.2%
Max EPS beat(2)20.9%
EPS beat(4)1
Avg EPS beat(4)-13.09%
Min EPS beat(4)-31.2%
Max EPS beat(4)20.9%
EPS beat(8)3
Avg EPS beat(8)-9.53%
EPS beat(12)4
Avg EPS beat(12)-29.69%
EPS beat(16)4
Avg EPS beat(16)-28.2%
Revenue beat(2)0
Avg Revenue beat(2)-5.57%
Min Revenue beat(2)-7.99%
Max Revenue beat(2)-3.14%
Revenue beat(4)1
Avg Revenue beat(4)-3.52%
Min Revenue beat(4)-10.71%
Max Revenue beat(4)7.74%
Revenue beat(8)1
Avg Revenue beat(8)-4.8%
Revenue beat(12)2
Avg Revenue beat(12)-4.33%
Revenue beat(16)4
Avg Revenue beat(16)-3.29%
PT rev (1m)3.59%
PT rev (3m)-4.27%
EPS NQ rev (1m)1.89%
EPS NQ rev (3m)-14.29%
EPS NY rev (1m)-1.73%
EPS NY rev (3m)-8.6%
Revenue NQ rev (1m)2.04%
Revenue NQ rev (3m)0.43%
Revenue NY rev (1m)-1.76%
Revenue NY rev (3m)-1.93%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.22 | ||
| Fwd PE | 18.44 | ||
| P/S | 0.8 | ||
| P/FCF | 12.71 | ||
| P/OCF | 8.51 | ||
| P/B | 1.37 | ||
| P/tB | 1.83 | ||
| EV/EBITDA | 8.94 |
EPS(TTM)2.52
EY6.17%
EPS(NY)2.22
Fwd EY5.42%
FCF(TTM)3.22
FCFY7.87%
OCF(TTM)4.8
OCFY11.75%
SpS51.07
BVpS29.93
TBVpS22.29
PEG (NY)2.71
PEG (5Y)1.83
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.05% | ||
| ROE | 9.09% | ||
| ROCE | 9.51% | ||
| ROIC | 7.6% | ||
| ROICexc | 7.79% | ||
| ROICexgc | 9.77% | ||
| OM | 7.23% | ||
| PM (TTM) | 5.33% | ||
| GM | 39.37% | ||
| FCFM | 6.3% |
ROA(3y)6.65%
ROA(5y)7.13%
ROE(3y)10.46%
ROE(5y)12.4%
ROIC(3y)6.73%
ROIC(5y)7.34%
ROICexc(3y)7.03%
ROICexc(5y)7.65%
ROICexgc(3y)9.08%
ROICexgc(5y)9.77%
ROCE(3y)8.42%
ROCE(5y)9.19%
ROICexcg growth 3Y1.62%
ROICexcg growth 5Y1.78%
ROICexc growth 3Y-0.2%
ROICexc growth 5Y1.97%
OM growth 3Y1.21%
OM growth 5Y4.2%
PM growth 3Y-11.76%
PM growth 5Y5.89%
GM growth 3Y3.33%
GM growth 5Y1.47%
F-Score6
Asset Turnover1.14
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | 2.16 | ||
| Debt/EBITDA | 1.29 | ||
| Cap/Depr | 97.89% | ||
| Cap/Sales | 3.1% | ||
| Interest Coverage | 7.85 | ||
| Cash Conversion | 90.43% | ||
| Profit Quality | 118.23% | ||
| Current Ratio | 4.32 | ||
| Quick Ratio | 1.88 | ||
| Altman-Z | 4.42 |
F-Score6
WACC8.51%
ROIC/WACC0.89
Cap/Depr(3y)105.52%
Cap/Depr(5y)108.49%
Cap/Sales(3y)2.88%
Cap/Sales(5y)2.74%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)2.44%
EPS 3Y-1.73%
EPS 5Y8.85%
EPS Q2Q%6.42%
EPS Next Y5.99%
EPS Next 2Y-4.48%
EPS Next 3Y-7.57%
EPS Next 5YN/A
Revenue 1Y (TTM)0.7%
Revenue growth 3Y2.22%
Revenue growth 5Y6.42%
Sales Q2Q%-2.58%
Revenue Next Year3.82%
Revenue Next 2Y3.99%
Revenue Next 3Y4.13%
Revenue Next 5YN/A
EBIT growth 1Y-4.49%
EBIT growth 3Y3.46%
EBIT growth 5Y10.9%
EBIT Next Year32.97%
EBIT Next 3Y5.51%
EBIT Next 5YN/A
FCF growth 1Y-15.66%
FCF growth 3YN/A
FCF growth 5Y-18%
OCF growth 1Y-1.95%
OCF growth 3Y32.56%
OCF growth 5Y-4.02%