Acer Incorporated
Acer Incorporated Fundamental Analysis
Acer Incorporated (ACEYY) shows weak financial fundamentals with a PE ratio of 21.36, profit margin of 1.70%, and ROE of 6.17%. The company generates $266.0B in annual revenue with moderate year-over-year growth of 9.69%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 44.1/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze ACEYY's fundamental strength across five key dimensions:
Efficiency Score
WeakACEYY struggles to generate sufficient returns from assets.
Valuation Score
ExcellentACEYY trades at attractive valuation levels.
Growth Score
ExcellentACEYY delivers strong and consistent growth momentum.
Financial Health Score
ExcellentACEYY maintains a strong and stable balance sheet.
Profitability Score
WeakACEYY struggles to sustain strong margins.
Key Financial Metrics
Is ACEYY Expensive or Cheap?
P/E Ratio
ACEYY trades at 21.36 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, ACEYY's PEG of -0.10 indicates potential undervaluation.
Price to Book
The market values Acer Incorporated at 1.41 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 8.91 times EBITDA. This is generally considered low.
How Well Does ACEYY Make Money?
Net Profit Margin
For every $100 in sales, Acer Incorporated keeps $1.70 as profit after all expenses.
Operating Margin
Core operations generate 1.65 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $6.17 in profit for every $100 of shareholder equity.
ROA
Acer Incorporated generates $2.03 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Acer Incorporated generates limited operating cash flow of $3.21B, signaling weaker underlying cash strength.
Free Cash Flow
Acer Incorporated generates weak or negative free cash flow of $2.15B, restricting financial flexibility.
FCF Per Share
Each share generates $3.57 in free cash annually.
FCF Yield
ACEYY converts 2.23% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
21.36
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.10
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.41
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.36
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.49
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.29
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.06
vs 25 benchmark
ROA
Return on assets percentage
0.02
vs 25 benchmark
ROCE
Return on capital employed
0.04
vs 25 benchmark
How ACEYY Stacks Against Its Sector Peers
| Metric | ACEYY Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 21.36 | 35.87 | Better (Cheaper) |
| ROE | 6.17% | 1175.00% | Weak |
| Net Margin | 1.70% | -137082.00% (disorted) | Weak |
| Debt/Equity | 0.49 | 0.45 | Neutral |
| Current Ratio | 1.29 | 4.81 | Neutral |
| ROA | 2.03% | -312683.00% (disorted) | Weak |
ACEYY outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Acer Incorporated's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
13.80%
Industry Style: Growth, Innovation, High Beta
High GrowthEPS CAGR
111.95%
Industry Style: Growth, Innovation, High Beta
High GrowthFCF CAGR
-11.12%
Industry Style: Growth, Innovation, High Beta
Declining