Acme United Corporation (ACU)
Valuation Overview•Is Acme United Corporation Overvalued or Undervalued?
The market is pricing the stock in line with historical averages, assuming steady-state growth.
Moderate quality score of 61/100, reflecting stable operating margins and manageable leverage.
Wall Street forecasts a balanced outlook with consensus price targets near the current price.
Verdict: Solid fundamental quality, though profitability presents a headwind.
Wall Street sentiment is generally neutral. However, capital return yields remain modest, anchored by a strong, well-covered dividend yield.
ACU struggles with subpar profitability and pressured margins. This is supported by a highly conservative balance sheet featuring strong liquidity and pristine Altman Z safety.
The company exhibits steady, low-single-digit revenue growth paired with highly explosive earnings growth (44.8% EPS 3Y CAGR). Operating efficiency remains adequate with margins around 8.5%.
| Financial Metric | Trend (12Q) | Latest Qtr | 1Y Growth | 3Y CAGR | 5Y CAGR | 10Y CAGR |
|---|---|---|---|---|---|---|
| Revenue | $52K | +1.1% | +0.4% | +3.7% | +6.0% | |
| EBITDA | $1.7M | — | +24.9% | — | — | |
| Net Income | $985.00 | +1.6% | +49.7% | — | +7.8% | |
| EPS (Diluted) | $0.24 | +1.6% | +44.8% | +1.5% | +6.7% | |
| Free Cash Flow | $0.00 | +57.0% | — | +19.2% | — |
| Metric | TTM | 3Y Avg | 5Y Avg | 10Y Avg |
|---|---|---|---|---|
| Gross Margin | 39.5% | 38.8% | 36.9% | 36.8% |
| Operating Margin | 8.5% | 7.2% | 6.4% | 6.3% |
| Net Margin | 5.7% | 6.5% | 5.7% | 4.9% |
| FCF Margin | 8.1% | 6.3% | 3.5% | 3.3% |
| Quarter | EPS Est. | EPS Act. | Surprise | EPS | Rev |
|---|---|---|---|---|---|
| Q2'26Latest | $0.55 | $0.24 | -56.4% | ||
| Q1'26 | $0.46 | $0.46 | +0.0% | ||
| Q4'25 | $0.63 | $0.46 | -27.0% | ||
| Q3'25 | $0.50 | $1.16 | +132.0% | ||
| Q2'25 | $0.59 | $0.41 | -30.5% | ||
| Q1'25 | $0.53 | $0.41 | -22.6% | ||
| Q4'24 | $0.72 | $0.54 | -25.0% | ||
| Q3'24 | $0.94 | $1.09 | +16.0% |
Total return is +20.7% (1Y), lagging the benchmark by -1.6%
| Period | Total Return | vs S&P 500 (Alpha) | Dividend Contribution |
|---|---|---|---|
| YTD | +15.5% | +8.1% | — |
| 1Y | +20.7% | -1.6% | +1.7% |
| 3YCAGR | +23.5% | +5.2% | +7.2% |
| 5YCAGR | +2.0% | -9.6% | +6.5% |
| 10YCAGR | +10.9% | -2.6% | — |
The S&P 500 is at 30.6x trailing P/E — Expensive relative to historical averages.
Quick answers to common questions about Acme United Corporation (ACU) valuation, health, and returns.
Based on peer relative multiples, Acme United Corporation appears Fair versus peers compared to industry peers.
Acme United Corporation has multiple valuation anchors: Peer Relative Fair Value: $47.27. A convergence of these signals offers higher conviction.
Acme United Corporation displays good financial health with a composite quality score of 61/100, supported by a Altman Z-Score of 4.1 (safe zone), Piotroski F-Score of 7/9, Return on Invested Capital (ROIC) of 7.9%.
Acme United Corporation pays a 1.2% dividend yield, covered by a 23% payout ratio with 5 years of growth, supplemented by a 0.0% buyback yield.
Acme United Corporation's current growth trajectory is Stable. The company achieved +1.1% 1Y revenue growth and +1.6% 1Y EPS growth, compared to its 3Y revenue CAGR of +0.4%.
Wall Street consensus is Buy based on 1 analysts, beating EPS expectations in 33% of recent quarters with a -3-quarter streak. The consensus price target represents a N/A change from current levels.
Investment risks for Acme United Corporation include: -20.4% 1-year max drawdown. Volatility risk is characterized by a beta of 0.83x.
No. These computations are purely quantitative model outputs for informational purposes. They do not account for qualitative management shifts or macro events. Always consult a licensed RIA before buying or selling shares.
Disclaimer: This page is for informational purposes only and does not constitute financial advice. All valuation models, scores, and target estimates are automated computations under stated assumptions and should not be relied upon as the sole basis for any investment decision.