Acme United (ACU) AI Stock Analysis

• Market Cap: $164.06M
• Dividend Yield: 1.41%
• Average Volume (3M): 28.05K
• Price to Earnings (P/E): 17.2
• Beta (1Y): 0.66
• Revenue Growth: 0.70%
• EPS Growth: -48.75%
• Country: US
• Employees: 633
• Sector: Industrials
• Sector Strength: 95
• Industry: Household & Personal Products
• EPS (TTM): 1.16
• Shares Outstanding: 3,790,689
• 10 Day Avg. Volume: 10,579
• 30 Day Avg. Volume: 28,049
• PEG Ratio: 22.44
• Price to Book (P/B): 1.44K
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 21.93
• Enterprise Value/Market Cap: 1.00
• Enterprise Value/Revenue: 0.24
• Enterprise Value/Gross Profit: 4.53
• Enterprise Value/Ebitda: 2.01
• 1Y Price Target: $42.00
• Price Target Upside: -2.96% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 77 Outperform
• Price Target: $49.00 ▲(13.22%Upside)

Acme United's stock is rated strong, driven by robust financial performance and effective management of challenges such as high tariffs. The technical indicators point to a stable momentum, while valuation metrics suggest the stock is fairly priced. The positive earnings call and strategic corporate event further support the company's growth prospects, though monitoring of tariff impacts is necessary.

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 makes money primarily through the sale of its wide range of products across multiple distribution channels, including retail outlets, e-commerce platforms, and direct sales to businesses and institutions. The company's revenue streams are diversified across its various product categories, such as cutting tools, measuring instruments, and first aid supplies. Acme United benefits from strategic partnerships with major retailers and distributors, which enhance its market reach and drive sales growth. Additionally, the company invests in product innovation and branding to maintain competitive advantage and customer loyalty in its target markets.

Acme United Financial Statement Overview

Summary

Acme United demonstrates strong financial health with robust profitability and efficient balance sheet management. The stability in revenue and margins signifies a well-managed operation, despite the need to monitor increasing debt levels. The company's financials position it well for sustained performance and growth.

Income Statement

Acme United's income statement highlights strong profitability with a consistent gross profit margin of around 39%, which is robust for its industry. The net profit margin has slightly improved to 5.1% TTM from 5.2% last year, indicating effective cost management. Revenue growth is modest, with a 0.5% increase TTM, signaling stable performance. EBITDA and EBIT margins are healthy at 10.4% and 7.2% TTM respectively, suggesting solid operational efficiency.

Balance Sheet

The balance sheet reflects a stable financial position with a debt-to-equity ratio of 0.32, showing good leverage management. The return on equity (ROE) is a strong 9.3% TTM, reflecting efficient use of shareholders' funds. The equity ratio stands at 66.4% TTM, indicating a strong equity base relative to total assets, enhancing financial stability. However, the slight increase in total debt might require monitoring.

Cash Flow

Acme United's cash flow statement shows a significant improvement in free cash flow, increasing by 147% TTM, which enhances financial flexibility. The operating cash flow to net income ratio is robust at 1.87 TTM, indicating strong cash generation relative to net income. The free cash flow to net income ratio of 1.19 TTM further supports the sustainability of cash flows. These metrics highlight strong cash flow health, although capital expenditures have increased slightly.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	194.49M	191.50M	193.96M	182.09M	164.00M
Gross Profit	76.35M	72.21M	63.56M	64.80M	59.59M
EBITDA	20.44M	30.90M	10.59M	20.30M	14.61M
Net Income	10.02M	17.79M	3.03M	13.66M	8.10M
Balance Sheet
Total Assets	162.17M	149.24M	164.38M	144.44M	129.87M
Cash, Cash Equivalents and Short-Term Investments	6.40M	4.80M	6.10M	4.84M	4.17M
Total Debt	32.40M	25.93M	63.83M	48.50M	47.98M
Total Liabilities	58.72M	54.72M	87.05M	68.67M	68.60M
Stockholders Equity	106.98M	97.90M	79.03M	77.08M	62.72M
Cash Flow
Free Cash Flow	4.83M	23.92M	-1.71M	-1.23M	3.15M
Operating Cash Flow	11.98M	28.90M	2.89M	5.14M	5.72M
Investing Cash Flow	-12.94M	7.43M	-14.23M	-6.37M	-13.95M
Financing Cash Flow	2.00M	-38.44M	14.28M	2.04M	5.29M

Acme United Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 43.28
• 50DMA: Positive
• 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 Positive. The current price of 43.28 is above the 20-day moving average (MA) of 42.62, above the 50-day MA of 40.50, and above the 200-day MA of 39.52, indicating a bullish trend. The MACD of 0.70 indicates Positive momentum. The RSI at 59.17 is Neutral, neither overbought nor oversold. The STOCH value of 79.43 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ACU.

Acme United Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ACU	77 Outperform	$164.06M	17.17	9.50%	1.41%	0.70%	-48.75%
EPC	69 Neutral	$1.27B	15.76	5.53%	2.22%	-2.11%	-28.79%
Sector *	65 Neutral	$11.18B	15.79	5.49%	1.92%	3.14%	-24.90%
NWL	60 Neutral	$2.62B	―	-8.46%	4.47%	-6.09%	17.71%
NUS	58 Neutral	$432.36M	―	-4.93%	2.74%	-11.85%	-1080.00%
SPB	57 Neutral	$1.48B	28.82	2.79%	3.04%	1.46%	-95.70%
HELE	44 Neutral	$553.45M	5.74	-23.99%	―	-4.39%	-326.42%

Acme United Corporate Events

Acme United Extends Credit Facility with HSBC

Acme United Corporation has extended the maturity of its $65 million secured revolving credit facility with HSBC Bank USA, N.A. from May 31, 2026, to May 31, 2027, as part of Amendment No. 11 to their Loan and Security Agreement, effective June 26, 2025. This extension provides Acme United with continued financial flexibility, potentially impacting its operational strategies and stakeholder interests positively by maintaining access to capital for an additional year.

The most recent analyst rating on (ACU) stock is a Buy with a $50.00 price target. To see the full list of analyst forecasts on Acme United stock, see the ACU Stock Forecast page.