ACCOACCO Brands Corporation
Is the business good?
A genuinely good business: earnings fully cash-backed (1.1×) and margins widening.
Operating profit is fully backed by cash. Conversion is worsening vs a year ago.
Operating margin has widened over the past few years, the business is getting more profitable per dollar of sales.
A balanced mix of margins, efficiency, and leverage. ROE 8% = margin × turnover × leverage.
Unless marked, from derived.
Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.
How good a business is ACCO?
ACCO Brands Corporation earns 4.5% on the capital it employs against a 9.0% cost of capital, so growth costs more than it returns.
Return on invested capital · cost of capital 9.0% · 4.5 points below what the capital costs: growth destroys value
- Operating margin
- 5.5%
Operating margin · Industrials median 9.5% · 12 months to Q2 2026
- Cash conversion
- 1.08×
Cash conversion · 1.33× a year ago · operating cash flow covers the operating profit after tax
- Share count, year on year
- +2.7%
Share count, year on year · shareholders own a smaller slice than a year ago
| Year | Operating margin |
|---|---|
| FY2020 | 6.8% |
| FY2021 | 7.5% |
| FY2022 | 1.8% |
| FY2023 | 2.4% |
| FY2024 | −2.2% |
| FY2025 | 6.0% |
Details›
- Gross margin12 months to Q2 2026
- 33%
- Operating margin12 months to Q2 2026
- 5.5%
- Net margin12 months to Q2 2026
- 3.7%
- Revenue, trailing twelve months
- $1.57B
- Net income, trailing twelve months
- $59M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 4.5%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.