Is the business good?
How good a business is ACIW?
ACI Worldwide, Inc. earns 12% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
12%
Return on invested capital · cost of capital 9.0% · 3.1 points above what the capital costs: growth creates value
- Operating margin
- 18%
Operating margin · Software - Infrastructure median 6.1% · 12 months to Q1 2026
- Cash conversion
- 1.43×
Cash conversion · 1.11× a year ago · every dollar of reported profit arrived as cash, and more
- Share count, year on year
- −3.7%
Share count, year on year · bought back, each share owns more of the company
| Year | Operating margin |
|---|---|
| FY2020 | 11% |
| FY2021 | 15% |
| FY2022 | 14% |
| FY2023 | 15% |
| FY2024 | 19% |
| FY2025 | 19% |
Details›
- Gross margin12 months to Q1 2026
- 49%
- Operating margin12 months to Q1 2026
- 18%
- Net margin12 months to Q1 2026
- 12%
- Free cash flow margin
- 16%
- R&D as % of revenue
- 9.6%
- Revenue, trailing twelve months
- $1.79B
- Free cash flow, trailing twelve months
- $295M
- Net income, trailing twelve months
- $206M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 12%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Software - Infrastructure
Ranks #53 of 78 by Smart Score