Is the business good?
How good a business is ACVA?
ACV Auctions Inc. earns −51% on the capital it employs against a 9.0% cost of capital, so growth costs more than it returns.
−51%
Return on invested capital · cost of capital 9.0% · 60 points below what the capital costs: growth destroys value
- Operating margin
- −7.4%
Operating margin · Auto & Truck Dealerships median 5.3% · 12 months to Q1 2026
- Share count, year on year
- +3.0%
Share count, year on year · shareholders own a smaller slice than a year ago
| Year | Operating margin |
|---|---|
| FY2020 | −20% |
| FY2021 | −21% |
| FY2022 | −25% |
| FY2023 | −19% |
| FY2024 | −13% |
| FY2025 | −8.3% |
Details›
- Operating margin12 months to Q1 2026
- −7.4%
- Net margin12 months to Q1 2026
- −8.0%
- Free cash flow margin
- 10%
- Revenue, trailing twelve months
- $781M
- Free cash flow, trailing twelve months
- $79M
- Net income, trailing twelve months
- −$62M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- −51%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Auto & Truck Dealerships
Ranks #15 of 15 by Smart Score