ACI Worldwide (NASDAQ:ACIW) Posts Quarterly Earnings Results, Beats Estimates By $0.16 EPS

Key Points

• Beat and raised guidance — ACI reported $0.61 EPS versus a $0.45 consensus and $425.8M in revenue (≈+7.9% YoY), and raised full‑year guidance to $1.89B–$1.92B in revenue and $540M–$555M adjusted EBITDA.
• Product momentum — The Connetic platform is gaining traction with early SaaS wins and a healthy pipeline, while Biller/Speedpay One drove a 39% jump in new ARR bookings ($12M) and 10% biller revenue growth.
• Shareholder returns and caution — ACI repurchased ~1.5M shares (~$65M) and plans to allocate 50%–60% of operating cash flow to buybacks in 2026 with net leverage ~1.3x and ~$560M liquidity, but Q1 cash flow was weaker and management flagged macro/geopolitical risks.

ACI Worldwide (NASDAQ:ACIW - Get Free Report) released its quarterly earnings data on Thursday. The technology company reported $0.61 earnings per share for the quarter, beating the consensus estimate of $0.45 by $0.16, FiscalAI reports. ACI Worldwide had a net margin of 12.88% and a return on equity of 16.44%. The firm had revenue of $425.75 million during the quarter, compared to analysts' expectations of $410.08 million. During the same period in the previous year, the company earned $0.51 earnings per share. The firm's quarterly revenue was up 7.9% on a year-over-year basis.

Here are the key takeaways from ACI Worldwide's conference call:

• ACI posted a strong Q1 with ~6% organic revenue growth (6% CC), $426M total revenue, and a 12% year-over-year increase in adjusted EBITDA to $105M, and has raised full‑year guidance to $1.89B–$1.92B revenue and $540M–$555M adjusted EBITDA.
• Connetic momentum is building—ACI expanded the platform (multi‑rail, embedded fraud/verification), is seeing interest from large and mid‑tier banks, has early SaaS wins, and a healthy pipeline though Connetic revenue is not yet material to 2026 guidance.
• Biller/Speedpay One traction drove a 39% increase in new ARR bookings ($12M) and 10% Biller revenue growth, with new logos and meaningful expansions in utilities, insurance and consumer finance supporting recurring revenue strength.
• Capital allocation and balance sheet remain supportive of shareholder returns: ACI repurchased ~1.5M shares (~$65M) in Q1, plans to direct 50%–60% of operating cash flow to buybacks in 2026, and finished the quarter with net leverage ~1.3x and ~$560M total liquidity.
• Near‑term cash flow was weaker due to working capital timing (Q1 operating cash flow $64M vs $78M Y/Y) and management flagged macro/geopolitical uncertainty (Middle East/energy) as potential downside risks.

ACI Worldwide Stock Performance

ACIW stock traded up $3.38 during midday trading on Thursday, reaching $46.65. 1,323,850 shares of the company's stock traded hands, compared to its average volume of 740,979. The company has a current ratio of 1.54, a quick ratio of 1.54 and a debt-to-equity ratio of 0.51. ACI Worldwide has a 52-week low of $38.05 and a 52-week high of $54.28. The stock has a market cap of $4.73 billion, a P/E ratio of 21.50 and a beta of 1.01. The stock's 50-day moving average is $41.69 and its 200 day moving average is $44.31.

More ACI Worldwide News

Here are the key news stories impacting ACI Worldwide this week:

• Positive Sentiment: Q1 earnings and revenue beat expectations — ACI delivered $0.61 EPS (vs. $0.45 consensus) and $425.8M in revenue (vs. ~$410M consensus), with revenue up ~8% year‑over‑year, signaling solid top‑line and margin performance. Zacks: Q1 beat
• Positive Sentiment: Company raised 2026 outlook — Management increased full‑year guidance after the strong quarter and issued Q2 revenue guidance of about $420M–$440M (consensus roughly $429M), which supports upside to consensus estimates. TipRanks: Raises 2026 outlook
• Positive Sentiment: Profitability metrics look healthy — Q1 net margin (~12.9%) and return on equity (~16.4%) indicate efficient operations and improving profitability, which supports investor confidence. MarketBeat: Q1 metrics & press release
• Neutral Sentiment: Management commentary and details available — The earnings call transcript and slide deck provide color on customer wins, product demand and margin drivers; investors will look there for sustainability of growth. Seeking Alpha: Q1 earnings call transcript
• Negative Sentiment: Valuation and upside considerations — At a P/E around 21.5 and with the stock still below its 52‑week high, some of the beat may already be priced in; investors should watch whether guidance/forward estimates are raised enough to justify a higher multiple.

Insider Activity at ACI Worldwide

In other ACI Worldwide news, Director Adalio T. Sanchez purchased 3,000 shares of the firm's stock in a transaction on Monday, March 2nd. The shares were acquired at an average cost of $40.98 per share, for a total transaction of $122,940.00. Following the completion of the transaction, the director owned 64,378 shares of the company's stock, valued at approximately $2,638,210.44. The trade was a 4.89% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Juan Benitez II purchased 2,400 shares of the firm's stock in a transaction on Tuesday, March 3rd. The stock was acquired at an average price of $41.90 per share, for a total transaction of $100,560.00. Following the completion of the transaction, the director directly owned 16,881 shares of the company's stock, valued at approximately $707,313.90. This trade represents a 16.57% increase in their position. The SEC filing for this purchase provides additional information. 1.10% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in the business. Pacer Advisors Inc. raised its position in ACI Worldwide by 31.6% in the fourth quarter. Pacer Advisors Inc. now owns 2,789 shares of the technology company's stock worth $133,000 after acquiring an additional 670 shares during the period. Mercer Global Advisors Inc. ADV increased its stake in shares of ACI Worldwide by 12.0% in the fourth quarter. Mercer Global Advisors Inc. ADV now owns 10,473 shares of the technology company's stock worth $501,000 after purchasing an additional 1,119 shares in the last quarter. Fuller & Thaler Asset Management Inc. increased its stake in shares of ACI Worldwide by 90.3% in the fourth quarter. Fuller & Thaler Asset Management Inc. now owns 1,816,588 shares of the technology company's stock worth $86,851,000 after purchasing an additional 861,779 shares in the last quarter. Tudor Investment Corp ET AL purchased a new stake in shares of ACI Worldwide in the fourth quarter worth $1,501,000. Finally, Twinbeech Capital LP purchased a new stake in shares of ACI Worldwide in the fourth quarter worth $382,000. 94.73% of the stock is currently owned by institutional investors.

Analyst Upgrades and Downgrades

Several research analysts have recently weighed in on ACIW shares. Weiss Ratings cut shares of ACI Worldwide from a "buy (b-)" rating to a "hold (c+)" rating in a report on Wednesday, February 18th. Zacks Research cut shares of ACI Worldwide from a "hold" rating to a "strong sell" rating in a report on Tuesday, March 10th. Three equities research analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat.com, the company currently has an average rating of "Hold" and an average price target of $60.00.

About ACI Worldwide

ACI Worldwide NASDAQ: ACIW is a global software company that provides electronic payment and banking solutions to financial institutions, merchants and billers. The company's platforms enable real-time processing of credit, debit, ACH, bill payments, faster payments and money transfers, as well as integrated fraud prevention services. Headquartered in Naples, Florida, ACI serves clients across banking, payments and commerce sectors worldwide.

ACI's modular suite of applications can be deployed on-premise, in the cloud or in hybrid environments to meet diverse operational needs.

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