Financial Analysis: Acacia Research (ACTG) vs. Its Peers

Acacia Research (NASDAQ:ACTG – Get Free Report) is one of 341 publicly-traded companies in the “Financial Services” industry, but how does it compare to its peers? We will compare Acacia Research to similar companies based on the strength of its dividends, valuation, profitability, institutional ownership, risk, analyst recommendations and earnings.

Analyst Ratings

This is a summary of recent recommendations for Acacia Research and its peers, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Acacia Research 1 0 1 0 2.00
Acacia Research Competitors 1988 6946 11713 446 2.50

Acacia Research currently has a consensus target price of $6.00, suggesting a potential upside of 41.18%. As a group, “Financial Services” companies have a potential downside of 6.28%. Given Acacia Research’s higher probable upside, research analysts clearly believe Acacia Research is more favorable than its peers.

Earnings & Valuation

This table compares Acacia Research and its peers top-line revenue, earnings per share (EPS) and valuation.

Gross Revenue Net Income Price/Earnings Ratio
Acacia Research $285.23 million $21.68 million -28.33
Acacia Research Competitors $6.50 billion $1.09 billion 10.52

Acacia Research’s peers have higher revenue and earnings than Acacia Research. Acacia Research is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Profitability

This table compares Acacia Research and its peers’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Acacia Research -6.52% 1.67% 1.23%
Acacia Research Competitors -409.12% -40.47% -6.29%

Volatility & Risk

Acacia Research has a beta of 0.6, suggesting that its stock price is 40% less volatile than the S&P 500. Comparatively, Acacia Research’s peers have a beta of 2.51, suggesting that their average stock price is 151% more volatile than the S&P 500.

Insider and Institutional Ownership

86.7% of Acacia Research shares are owned by institutional investors. Comparatively, 43.0% of shares of all “Financial Services” companies are owned by institutional investors. 1.7% of Acacia Research shares are owned by insiders. Comparatively, 21.9% of shares of all “Financial Services” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Summary

Acacia Research peers beat Acacia Research on 8 of the 13 factors compared.

About Acacia Research

(Get Free Report)

Acacia is a publicly traded (Nasdaq: ACTG) company that is focused on acquiring and operating businesses across the industrial, energy and technology sectors where it believes it can leverage its expertise, significant capital base, and deep industry relationships to drive value. Acacia evaluates opportunities based on the attractiveness of the underlying cash flows, without regard to a specific investment horizon. Acacia operates its businesses based on three key principles of people, process, and performance and has built a management team with demonstrated expertise in research, transactions and execution, and operations and management.

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