ACME reports steady subscription growth and updates annual margin outlook
Review revenue growth, margin guidance, bookings, cash flow, and any change to annual assumptions.
Inputs: growth · margin · FCFACME Corporation
ACME · NASDAQ · USD · Application Software
Market price$74.00+$0.82 · +1.12%
Market cap$18.4B
Enterprise value$18.9B
Next earningsAug 6
Revenue TTM$4.8B
Operating margin13.1%
Net debt / EBITDA1.2×
Price vs Worth
Observed market price compared with conditional scenario values.
Market price$74
Bear scenario$63
Base scenario$91
Bull scenario$118
Base gap: +23% · The modeled difference depends most on operating margin, the exit multiple, and durable revenue growth. These are scenarios, not forecasts or recommendations.
Financial history
Annual results, changes, and multi-year context.
Income & cash flowBalance sheetMarginsPer share
| Metric | 2021 | 2022 | 2023 | 2024 | 2025 | TTM | 5Y avg. |
|---|---|---|---|---|---|---|---|
| Revenue | 3,420 | 3,650 | 3,890 | 4,130 | 4,510 | 4,800 | +7.0% |
| Revenue growth | — | 6.7% | 6.6% | 6.2% | 9.2% | 8.2% | 7.4% |
| Operating income | 349 | 387 | 432 | 475 | 582 | 629 | +12.5% |
| Operating margin | 10.2% | 10.6% | 11.1% | 11.5% | 12.9% | 13.1% | 11.6% |
| Free cash flow | 301 | 326 | 310 | 381 | 365 | 420 | +6.9% |
| Shares outstanding | 263 | 259 | 255 | 251 | 246 | 248 | −1.2% |
Operating performance and capital allocation
More of the evidence that supports—or challenges—the valuation assumptions.
Gross margin68.4%5Y avg. 66.9%
EBITDA margin17.6%Peer median 20.1%
ROIC12.8%Estimated, source required
Cash conversion81%FCF / operating income
Cash$610M$2.46 per share
Total debt$1.10B4.7% weighted rate
Stock compensation$146M3.0% of revenue
Buybacks, 3Y$380MAverage price $69
Revenue by segment
Revenue by geography
Definitions and calculation cautions
ROIC, cash conversion, stock compensation, and segment measures require exact definitions, reconciliation rules, source dates, and provider rights. Production calculations should expose those definitions rather than treating labels from different vendors as automatically comparable.
Peer and sector comparison
Relative context—not proof that the market’s peer pricing is correct.
| Company | Revenue growth | Operating margin | EV / Revenue | EV / EBITDA | FCF yield | Fit |
|---|---|---|---|---|---|---|
| ACME | 8.2% | 13.1% | 3.9× | 22.1× | 2.3% | — |
| WorkflowCo | 10.4% | 18.2% | 4.8× | 23.9× | 2.8% | Good |
| DataSuite | 6.9% | 21.5% | 4.1× | 19.0× | 3.5% | Moderate |
| CloudWorks | 12.1% | 9.4% | 5.2× | 31.7× | 1.6% | Moderate |
| Peer median | 9.1% | 17.2% | 4.7× | 23.9× | 2.8% | — |
How should peer fit be judged?
Compare business model, customer type, recurring revenue, growth, margins, capital intensity, geography, size, and accounting. A familiar ticker is not automatically a suitable peer, and relative valuation can repeat market-wide mispricing.
Company, market, and world news
Headlines with possible valuation relevance kept separate from verified company evidence.
ACME-specific
ACME expands analytics partnership for international customers
Potential relevance depends on contract size, implementation cost, timing, and customer commitments.
Inputs: international growth · reinvestmentACME discloses updated share-based compensation authorization
Check potential dilution, vesting terms, share count, and whether buybacks merely offset issuance.
Inputs: dilution · per-share valueMarket and world context
Long-term interest rates rise as markets reassess inflation
Could affect required returns and valuation multiples, but does not establish why ACME moved today.
Inputs: required return · exit multipleEnterprise software budgets face renewed scrutiny
Compare the broad report with ACME’s retention, pipeline, bookings, and management commentary.
Inputs: growth · sales efficiencyCurrency volatility increases across several international markets
May affect reported growth, costs, and overseas demand; evaluate ACME’s actual geographic exposure.
Inputs: revenue · margins · FXProduction rows should include publisher, timestamp, direct source link, attribution, duplicate handling, entity matching, and a clear label when Price vs Worth adds an explanation of possible relevance.
Assumption workspace
Editable inputs with evidence kept beside the valuation.
| Input | Bear | Base | Bull | Historical / evidence context |
|---|---|---|---|---|
| Revenue growth | 5Y average 7.4% · TTM 8.2% | |||
| Operating margin | TTM 13.1% · peer median 17.2% | |||
| FCF margin | 5Y range 7.8%–10.2% | |||
| Exit multiple | Peer range 14×–23× | |||
| Required return | Higher rate lowers modeled value |
Open the Assumption Helper’s technical guidance
Each production input should expose its definition, historical range, linked source, update date, method eligibility, and the specific effect a higher or lower value has on the model.
Estimates and comparison context
External estimates stay visibly separate from Price vs Worth scenarios.
| Measure | Current year | Next year | Longer term | Source role |
|---|---|---|---|---|
| Revenue growth | 8.0% | 7.3% | 6.4% | Assumption context |
| EPS growth | 11.2% | 10.1% | 8.0% | Cross-check only |
| Analyst price estimate | $86 median · $62–$121 range | Separate external opinion | ||
Educational research scenarios only. Not forecasts, guarantees, personalized recommendations, or Buy/Hold/Sell signals.