Overall Score

Revenue Growth

ACEL continues to trade at a low sales multiple, with EV/Sales TTM at 0.95x and Price/Sales TTM at 0.72x, which supports room for upside if growth persists.

No fresh revenue growth data or news was provided this month, so the growth trajectory remains unchanged from last month.

Profitability

Margins remain positive, with gross margin at 31.8%, EBITDA margin at 14.7%, and net margin at 4.1%.

Return on equity is solid at 20.7% and return on invested capital is 8.3%, indicating decent capital efficiency.

Income quality remains weak at 28.1%, suggesting reported earnings are not yet strongly backed by cash conversion.

Financial Strength

Liquidity is strong, with a current ratio of 2.47 and quick ratio of 2.40.

Leverage is manageable but meaningful, with net debt to EBITDA at 1.56x and debt to equity at 2.02x.

Cash generation is healthy, with free cash flow yield at 16.7% and operating cash flow coverage supporting the balance sheet.

Growth Efficiency

Capital efficiency is respectable, with ROIC at 8.3% and ROCE at 11.8%.

Asset turnover of 1.27x and a negative cash conversion cycle of -6.3 days indicate efficient working-capital management.

Capex intensity is low at 1.35% of revenue, leaving room for cash generation and reinvestment.