ACI Worldwide develops broad line software that facilitates electronic payments. Its products are used by banks, payment processors, merchants, corporations, ATM machines, POS terminals, e-commerce websites, and other transaction endpoints. ACI Worldwide has a network spanning the entire world in diverse geographies like the Americas, Middle East, Europe, Africa, and Asia-Pacific. Its customers are financial institutions. It is counted among the top software stocks to buy now.
ACI Worldwide has a reasonably significant backlog of $5.8 billion spread out across the next 5 years. That provides some revenue visibility for the business. Just to put things into perspective, ACI Worldwide’s FY 2019 revenues were $1.03 billion while the adjusted EBITDA was $308 million.
There are over 1,000 financial institutions and intermediaries, in addition to global merchants, who rely on ACI Worldwide’s systems to execute transactions worth $14 trillion every single day. Additionally, there are many other organizations that use ACI Worldwide’s payment services and electronic bill presentment. ACI Worldwide delivers its suite of software solutions via a third-party cloud technology and also through ACI Worldwide’s own cloud platform. This setup allows ACI Worldwide to provide immediate real-time payments and power the financial industry’s omnichannel payments experience.
Price Performances Of The Top Software Stocks To Buy Now
ACI Worldwide’s stock closed at $33.14 on 27th November 2020. In the preceding month, the stock gained about 14%. On a year-to-date basis, the stock was down 13% while on a longer-term 5-year basis, the stock was up 40%. ACI Worldwide’s peer Intelligent Systems Corporation, meanwhile, closed at $39.55 on 27th November 2020. Its stock is up about 4% over the preceding month and down 2.8% on a year-to-date basis. On a longer 5-year basis, the stock has done really well, having gone from a price of around $3 to $39. However, Intelligent Systems Corporation’s market cap is almost a tenth of that of ACI Worldwide.