- ACI Worldwide‘s second quarter adjusted EPS surpassed expectations, coming in at 35 cents compared to an estimate of 26 cents. However, it was lower than the previous year’s 47 cents.
- The company reported revenue of $401.3 million, a 7.4% increase year-over-year, exceeding the estimate of $380.8 million.
- Adjusted EBITDA for the second quarter reached $80.9 million, though it reflected a 13% decrease year-over-year. This figure was still above the estimated $59.4 million.
- ACI Worldwide anticipates total revenue for the third quarter of 2025 to range between $460 million and $470 million.
- The company expects adjusted EBITDA for Q3 2025 to be between $155 million and $165 million.
- The CEO, Thomas Warsop, attributed the solid quarterly and first-half results to organizational improvements and successful renewals and new business deals secured early in the year.
- Reflecting a strong business performance, ACI Worldwide has raised its full-year forecast for both revenue and adjusted EBITDA in 2025.
- Current analyst recommendations for the stock include 4 buys and 2 holds, with no sell ratings.
ACI Worldwide on Smartkarma
Two independent analysts on Smartkarma have recently shared their insights on ACI Worldwide, offering contrasting perspectives on the company’s performance and future challenges.
Baptista Research, in their report titled “ACI Worldwide’s Bank-Merchant Integration Is a Game-Changer—Here’s What Investors Must Know!” expressed bullish sentiment following ACI Worldwide Inc.’s impressive financial results for Q1 2025. The company reported a 25% revenue increase to $395 million and a significant 95% surge in adjusted EBITDA to $94 million. President and CEO Tom Warsop highlighted the success in closing renewals and new business deals as driving factors for the company’s robust performance.
In another report by Baptista Research titled “ACI Worldwide: Here Are The 5 Biggest Challenges That Can Hinder Growth In The Future!”, the analysts acknowledged ACI Worldwide‘s strong financial performance in 2024, surpassing internal expectations. Total revenue grew by 10% to $1.6 billion, with adjusted EBITDA rising by 18% to $466 million. The report emphasized operational efficiencies and a scalable software model as key drivers behind the company’s improved adjusted EBITDA margin, which expanded by over 300 basis points to 41%.
A look at ACI Worldwide Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 1 | |
| Growth | 4 | |
| Resilience | 4 | |
| Momentum | 2 | |
| OVERALL SMART SCORE | 2.8 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Analysing ACI Worldwide‘s long-term outlook using the Smartkarma Smart Scores reveals a promising future ahead. With a strong Growth score of 4 and Resilience score of 4, the company is positioned well for expansion and able to withstand market challenges. These scores indicate that ACI Worldwide is focused on growing its business steadily and has a robust ability to adapt to changing market conditions.
However, the company’s lower scores in Value (3) and Dividend (1) suggest that investors may need to consider other factors when evaluating ACI Worldwide as an investment opportunity. The Momentum score of 2 indicates that the company may be facing some short-term challenges. Overall, ACI Worldwide, Inc. shows promise in terms of growth and resilience, which could bode well for its long-term success in the electronic funds transfer market.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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