Acme United (ACU) AI Stock Analysis

• Market Cap: $164.93M
• Dividend Yield: 1.48%
• Average Volume (3M): 9.50K
• Price to Earnings (P/E): 20.4
• Beta (1Y): 0.62
• Revenue Growth: 2.35%
• EPS Growth: -50.52%
• Country: US
• Employees: 633
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Household & Personal Products
• EPS (TTM): 0.46
• Shares Outstanding: 3,808,225
• 10 Day Avg. Volume: 11,184
• 30 Day Avg. Volume: 9,501
• PEG Ratio: -20.31
• Price to Book (P/B): 1.30
• Price to Sales (P/S): 0.78
• P/FCF Ratio: 0.02
• Enterprise Value/Market Cap: 1.19
• Enterprise Value/Revenue: 1.00
• Enterprise Value/Gross Profit: 2.53
• Enterprise Value/Ebitda: 9.09
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 2.18
• Revenue Forecast (FY): $205.73M

• Rating: 54 Neutral
• Price Target: $44.00 ▲(18.76% Upside)
• Action: Reiterated Date: 03/12/26
• Date: Action: Reiterated 03/12/26

The score is held back primarily by financial statement risk/uncertainty (very low reported 2025 equity and unusual cash flow vs. earnings) despite stable revenue and solid gross margins. Offsetting positives come from a constructive earnings call (record results, deleveraging, and strategic expansion), while technical indicators are neutral and valuation is reasonable but not exceptionally cheap.

Positive Factors

Strategic M&A and capacity expansion

Acquisitions and the Tennessee facility materially expand Acme's first aid and medical footprint, adding direct‑to‑consumer channels, incremental revenue and manufacturing capacity. These structural moves diversify revenue mix and create longer‑term cross‑sell and scale advantages.

Sustained gross margins and operating discipline

Consistent ~39% gross margins and recent operating profit improvement signal enduring product economics and pricing/expense discipline. Durable gross margin support underpins cash generation potential and funds reinvestment in automation, M&A and capacity over the medium term.

Supply chain diversification & automation

Broadened sourcing and automation reduce tariff and single‑source exposure while lowering unit costs and lead times. Robotics and inventory optimization create durable operational leverage, improving fulfillment and margin sustainability as supply‑chain volatility recurs.

Negative Factors

Extremely thin reported 2025 equity

A virtually nonexistent reported equity base magnifies leverage metrics and increases solvency and volatility risk. Even if due to accounting items, the thin capital cushion limits financial flexibility, heightens refinancing sensitivity and raises material downside risk in stress scenarios.

Inconsistent cash flow quality

Uneven free cash flow and data inconsistencies reduce confidence in cash conversion forecasts. This unpredictability complicates capital allocation (capex, acquisitions, dividends) and weakens the reliability of deleveraging and reinvestment plans over the medium term.

Modest organic growth; U.S. weakness

Minimal organic growth and flat U.S. sales suggest limited underlying demand in core markets, forcing reliance on M&A and international expansion to lift top line. Structural slow growth constrains operating leverage and raises dependence on execution of integration plans.

Acme United Business Overview & Revenue Model

Company Description

Acme United Corporation supplies first aid and safety, cutting, sharpening, and measuring products to the school, home, office, hardware, sporting goods, and industrial markets in the United States, Canada, Europe, and internationally. The company offers scissors, shears, knives, rulers, pencil sharpeners, paper trimmers, safety cutters, lettering products, glue guns, and other craft products under the Westcott brand name; and cutting tools under the Clauss brand. It also provides fixed blades, folding knives, sight cutting tools, and tactical tools under the Camillus brand; fishing tools and knives, as well as cut and puncture resistant gloves, telescopic landing nets, net containment systems, and tools and fishing gaffs under the Cuda brand; and sharpening tools under the DMT brand. In addition, the company offers first aid kit and safety solutions under the First Aid Only brand; portable eyewash solution and over-the-counter medication, including active ingredients aspirin, acetaminophen, and ibuprofen under the PhysiciansCare brand; bodily fluid and spill clean-up solution under the Spill Magic brand; various first aid kit, refill, and safety supplies, including CPR kits, burn kits, and automotive and emergency first aid kits under the First Aid Central; and alcohol prep pads, alcohol wipes, benzalkonium chloride wipes, various antiseptic wipes, castile soaps, and lens cleaning wipes under the Med-Nap brand. It sells its products directly and through its independent manufacturer representatives to wholesale, contract, and retail stationery distributors; office supply super stores; school supply distributors; industrial distributors; wholesale florists; mass market and e-commerce retailers; and hardware chains, as well as sells a selection of products through its websites. The company was formerly known as Acme Shear Company and changed its name to Acme United Corporation in 1971. Acme United Corporation was founded in 1867 and is based in Shelton, Connecticut.

How the Company Makes Money

Acme United generates revenue through the sale of its wide range of products across various sectors. The company's revenue model is primarily based on direct sales to retailers, wholesalers, and distributors, as well as through e-commerce platforms. Key revenue streams include the sale of school and office supplies, industrial safety products, and medical kits. Additionally, Acme United has established significant partnerships with major retail chains and wholesalers which help to expand its market reach. The company also benefits from brand recognition and customer loyalty in its product categories, contributing to repeat sales and stable revenue growth.

Acme United Financial Statement Overview

Summary

Income statement is moderate (stable revenue, ~39% gross margin, but weaker net/EBIT margins vs. 2023). Reported balance sheet and cash flow are the key risks: 2025 equity is extremely low and 2025 cash flow magnitude vs. earnings is unusual, increasing uncertainty and perceived financial risk.

Income Statement

Revenue has been broadly stable with modest growth recently (2024 up ~1.6%; 2025 up ~0.8%), but profitability has been choppy. Gross margin improved versus 2022 and has held near ~39% in 2024–2025, supporting steadier core earnings. However, net margin fell from a strong 2023 level (~9.3%) to ~5.2% in 2024–2025, and operating profitability (EBIT margin) is well below 2023, signaling either higher costs, mix pressure, or less favorable one-time items. Overall: solid margins for the category, but earnings power is not consistently compounding.

Balance Sheet

The balance sheet looks normal through 2024 with moderate leverage (debt-to-equity ~0.31) and improving positioning versus 2022 (~0.80). However, 2025 reported equity collapses to an extremely low level (stockholders’ equity ~0.12M), which mathematically drives leverage and return metrics to extreme levels (debt-to-equity ~244x; return on equity ~86.6x). Even if this reflects an accounting/one-time balance-sheet event rather than operating stress, the reported 2025 capital base is unusually thin and increases financial risk and volatility in shareholder returns.

Cash Flow

Cash generation is inconsistent year to year. Free cash flow was negative in 2021–2022, rebounded strongly in 2023, then declined in 2024 (free cash flow about 40% of net income), suggesting weaker cash conversion and/or working-capital drag. 2025 cash flow figures appear outsized versus the income statement (operating cash flow and free cash flow are orders of magnitude larger than earnings), which raises data consistency concerns and limits confidence in trend interpretation. Net: cash flow quality and predictability are the main weak spots.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	196.54M	194.49M	191.50M	193.96M	182.09M
Gross Profit	77.41M	76.35M	72.21M	63.56M	64.80M
EBITDA	21.57M	20.44M	30.90M	10.59M	20.30M
Net Income	10.19M	10.02M	17.79M	3.03M	13.66M
Balance Sheet
Total Assets	171.00K	162.17M	149.24M	164.38M	144.44M
Cash, Cash Equivalents and Short-Term Investments	3.60K	6.40M	4.80M	6.10M	4.84M
Total Debt	28.72M	32.84M	25.51M	63.42M	47.48M
Total Liabilities	56.99M	55.19M	51.34M	85.35M	67.36M
Stockholders Equity	117.61M	106.98M	97.90M	79.03M	77.08M
Cash Flow
Free Cash Flow	7.58B	4.83M	23.92M	-1.71M	-1.23M
Operating Cash Flow	18.23B	11.98M	28.90M	2.89M	5.14M
Investing Cash Flow	-12.30M	-12.94M	7.43M	-14.23M	-6.37M
Financing Cash Flow	-8.88M	2.00M	-38.44M	14.28M	2.04M

Acme United Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 37.05
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ACU, the sentiment is Neutral. The current price of 37.05 is below the 20-day moving average (MA) of 44.17, below the 50-day MA of 43.52, and below the 200-day MA of 40.79, indicating a neutral trend. The MACD of 0.15 indicates Positive momentum. The RSI at 47.44 is Neutral, neither overbought nor oversold. The STOCH value of 60.40 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for ACU.

Acme United Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EWCZ	64 Neutral	$314.13M	17.43	15.38%	―	-5.47%	13.42%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
NUS	55 Neutral	$345.55M	2.96	20.36%	2.39%	-12.10%	―
ACU	54 Neutral	$164.93M	20.44	8.95%	1.48%	2.35%	-50.52%
EPC	52 Neutral	$928.26M	-3.02	1.62%	3.51%	-1.34%	-73.59%
SLSN	49 Neutral	$57.18M	-50.67	6.53%	―	30.04%	-53.50%
SKIN	47 Neutral	$150.77M	-5.47	-19.78%	―	-13.14%	57.98%

Acme United Corporate Events

Acme United Completes My Medic and Rapid Medical Acquisition

On January 15, 2026, Acme United Corporation acquired substantially all of the assets of SLED Distribution, LLC, doing business as My Medic, and Rapid Medical, LLC, Utah-based businesses that manufacture and sell emergency and first aid kits, medical packs, tourniquets and related trauma and emergency response products, primarily through a direct-to-consumer model. The deal, valued at a maximum of $18.7 million including $14.6 million paid in cash at closing and up to $4.1 million in contingent and holdback amounts tied to revenue milestones and indemnification, brings My Medic’s approximately $19 million in 2025 revenue, intellectual property, customer relationships, and its sizable social media following into Acme’s safety portfolio, while leaving pre-closing liabilities with the sellers; Acme plans to keep operations in North Salt Lake, Utah and leverage combined marketing, distribution, sourcing and manufacturing capabilities to expand My Medic’s product range and distribution in the U.S. and Canada.

The most recent analyst rating on (ACU) stock is a Hold with a $46.00 price target. To see the full list of analyst forecasts on Acme United stock, see the ACU Stock Forecast page.