Acacia Research Stock Analysis, Valuation (NASDAQ:ACTG)
Acacia Research Stock Analysis
View the Acacia Research stock analysis video on Amigobulls. This is our analyst opinion covering the buy and sell arguments for ACTG stock.
Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.
Acacia Research Corp Stock Rating 3.3/5
Amigobulls ACTG stock analysis takes into account various financial ratios like relative valuation, Acacia Research revenue, growth and return on equity based on latest quarter 2017 Q3 financial statements. We also check Acacia Research dividend performance. We also use relative valuation metrics like PE ratio and price to sales ratio for Acacia Research valuation analysis. Our Acacia Research stock rating is based on company's fundamentals like balance sheet risk and cash flow position.
Should you buy ACTG stock?
- Net margins came in at average 33.9% for Acacia Research over the last twelve months.
- The price to earnings multiple of 1.2 is attractive when compared with the industry average PE ratio of 21.4.
Should you sell ACTG stock?
- The company saw an average annual sales decline of -23.6% in sales over the last 5 years.
- Acacia Research reported an average operating margin of -41.7% over the Last Twelve Months (LTM).
- The company is trading at a price to sales multiple of 2.9, which is higher in comparison to the Business Services industry average of 1.6, making ACTG stock expensive.
- Acacia Research has a negative ROIC (Return on Invested Capital) of -15.9%.
- Acacia Research has a negative FCF (Free Cash Flow) margin of -634.4%.
Investors can use Amigobulls Acacia Research stock analysis as a tool to arrive at accurate conclusions regarding financial health of the company and its valuation. Fundamental analysis of a company is the most often used approach to find the intrinsic value of a stock.
Acacia Research revenue growth and profit or net income are the main underlying forces which could detremine the direction of the share price. Investors could make use of ACTG technical analysis to check whether the fundamental story is reflected in the market sentiment.