📊 ACEL Key Takeaways
Is Accel Entertainment, Inc. (ACEL) a Good Investment?
Accel Entertainment demonstrates solid operational performance with 8.1% revenue growth and improving profitability (EPS up 46.3% YoY), supported by strong free cash flow generation of $62M and healthy liquidity metrics. The company's 19.1% ROE and 4.7% ROA indicate efficient capital deployment, though elevated debt levels (2.25x D/E ratio) and modest net margins (3.9%) warrant monitoring.
Accel Entertainment shows solid revenue growth, strong liquidity, and positive free cash flow, which supports a fundamentally stable operating profile. However, net income growth is nearly flat, margins remain thin, and leverage is elevated, limiting the quality of earnings and reducing balance-sheet flexibility. The business looks fundamentally sound but not strong enough to justify an aggressive rating without clearer improvement in margin expansion and deleveraging.
Why Buy Accel Entertainment, Inc. Stock? ACEL Key Strengths
- Strong revenue growth of 8.1% YoY with net income growth of 0.4% and EPS growth of 46.3% indicating operational leverage
- Robust free cash flow generation of $62M (4.7% FCF margin) providing capital allocation flexibility
- Excellent liquidity position with 2.61x current ratio and $296.6M cash despite high absolute debt levels
- Attractive return metrics with 19.1% ROE and 7.9x interest coverage demonstrating profitable operations
- Revenue grew 8.1% year over year while operating income remained solid, indicating continued underlying demand and operating scale
- Liquidity is strong, with $296.57M of cash and current and quick ratios above 2.5x, which provides near-term financial flexibility
- Operating cash flow of $150.88M and positive free cash flow of $61.95M show the business is converting earnings into cash despite capital intensity
ACEL Stock Risks: Accel Entertainment, Inc. Investment Risks
- High financial leverage with 2.25x debt-to-equity ratio and $607.4M long-term debt creating refinancing and operational risk
- Low net profit margin of 3.9% leaves limited room for margin compression if revenue growth slows
- Amusement & recreation sector is cyclical and sensitive to consumer discretionary spending and economic downturns
- Modest revenue growth rate of 8.1% may not justify debt burden if growth trajectory decelerates
- Net income increased only 0.4% year over year and net margin is just 3.9%, suggesting limited earnings leverage and vulnerability to cost pressure
- Debt remains high at $607.42M with debt-to-equity of 2.25x, which increases financial risk even though interest coverage is currently acceptable
- Free cash flow margin of 4.7% is modest, leaving less room for operational missteps, higher capex, or weaker consumer spending
Key Metrics to Watch
- Revenue growth sustainability - monitor if 8.1% growth rate continues or trends lower
- Operating margin expansion - current 8.1% margin has room to improve with operational efficiency
- Debt reduction progress - track ability to deleverage from 2.25x D/E ratio toward healthier levels
- Free cash flow consistency - ensure $62M FCF is sustainable to fund debt service and growth investments
- Net margin and operating margin trend
- Debt reduction and interest coverage
Accel Entertainment, Inc. (ACEL) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The relatively thin 4.7% FCF margin may limit capital allocation flexibility. Strong liquidity with a 2.61x current ratio provides a solid financial cushion.
ACEL Profit Margin, ROE & Profitability Analysis
ACEL vs Services Sector: How Accel Entertainment, Inc. Compares
How Accel Entertainment, Inc. compares to Services sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Accel Entertainment, Inc. Stock Overvalued? ACEL Valuation Analysis 2026
Based on fundamental analysis, Accel Entertainment, Inc. shows some fundamental concerns relative to the Services sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Accel Entertainment, Inc. Balance Sheet: ACEL Debt, Cash & Liquidity
ACEL Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Accel Entertainment, Inc.'s revenue has grown significantly by 81% over the 5-year period, indicating strong business expansion. The most recent EPS of $0.53 reflects profitable operations.
ACEL Revenue Growth, EPS Growth & YoY Performance
ACEL Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $302.2M | $4.9M | $0.06 |
| Q2 2025 | $309.4M | $7.3M | $0.08 |
| Q1 2025 | $301.8M | $7.4M | $0.09 |
| Q3 2024 | $287.5M | $4.9M | $0.06 |
| Q2 2024 | $292.6M | $7.4M | $0.11 |
| Q1 2024 | $293.2M | $7.4M | $0.09 |
| Q3 2023 | $267.0M | $9.2M | $0.12 |
| Q2 2023 | $227.9M | $9.2M | $0.11 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Accel Entertainment, Inc. Dividends, Buybacks & Capital Allocation
ACEL SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Accel Entertainment, Inc. (CIK: 0001698991)
📋 Recent SEC Filings
| Date | Form | Document | Action |
|---|---|---|---|
| Apr 2, 2026 | 4 | xslF345X06/wk-form4_1775163907.xml | View → |
| Mar 23, 2026 | 4 | xslF345X06/wk-form4_1774303281.xml | View → |
| Mar 23, 2026 | 4 | xslF345X06/wk-form4_1774303274.xml | View → |
| Mar 23, 2026 | 4 | xslF345X06/wk-form4_1774303268.xml | View → |
| Mar 23, 2026 | 4 | xslF345X06/wk-form4_1774303261.xml | View → |
❓ Frequently Asked Questions about ACEL
What is the AI rating for ACEL?
Accel Entertainment, Inc. (ACEL) has a Combined AI Rating of BUY from Claude (BUY) and ChatGPT (HOLD) with 73% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are ACEL's key strengths?
Claude: Strong revenue growth of 8.1% YoY with net income growth of 0.4% and EPS growth of 46.3% indicating operational leverage. Robust free cash flow generation of $62M (4.7% FCF margin) providing capital allocation flexibility. ChatGPT: Revenue grew 8.1% year over year while operating income remained solid, indicating continued underlying demand and operating scale. Liquidity is strong, with $296.57M of cash and current and quick ratios above 2.5x, which provides near-term financial flexibility.
What are the risks of investing in ACEL?
Claude: High financial leverage with 2.25x debt-to-equity ratio and $607.4M long-term debt creating refinancing and operational risk. Low net profit margin of 3.9% leaves limited room for margin compression if revenue growth slows. ChatGPT: Net income increased only 0.4% year over year and net margin is just 3.9%, suggesting limited earnings leverage and vulnerability to cost pressure. Debt remains high at $607.42M with debt-to-equity of 2.25x, which increases financial risk even though interest coverage is currently acceptable.
What is ACEL's revenue and growth?
Accel Entertainment, Inc. reported revenue of $1.3B.
Does ACEL pay dividends?
Accel Entertainment, Inc. does not currently pay dividends.
Where can I find ACEL SEC filings?
Official SEC filings for Accel Entertainment, Inc. (CIK: 0001698991) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is ACEL's EPS?
Accel Entertainment, Inc. has a diluted EPS of $0.60.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is ACEL a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Accel Entertainment, Inc. has a BUY rating with 73% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is ACEL stock overvalued or undervalued?
Valuation metrics for ACEL: ROE of 19.1% (sector avg: 16%), net margin of 3.9% (sector avg: 10%). Higher ROE suggests strong returns relative to peers.
Should I buy ACEL stock in 2026?
Our dual AI analysis gives Accel Entertainment, Inc. a combined BUY rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is ACEL's free cash flow?
Accel Entertainment, Inc.'s operating cash flow is $150.9M, with capital expenditures of $88.9M. FCF margin is 4.7%.
How does ACEL compare to other Services stocks?
Vs Services sector averages: Net margin 3.9% (avg: 10%), ROE 19.1% (avg: 16%), current ratio 2.61 (avg: 1.5).
Is Accel Entertainment, Inc. carrying too much debt?
ACEL has a debt-to-equity ratio of 2.25x, which is above the Services sector average of 0.7x. However, the current ratio of 2.61 suggests adequate short-term liquidity.