ACV Auctions Inc.

ACV Auctions Inc.

ACVA·NASDAQ

$7.54

-0.98%
Consumer CyclicalAuto - Dealerships

ACV Auctions Inc. operates a digital marketplace that connects buyers and sellers for the online auction of wholesale vehicles. It also provides data services that offer insights into the condition and value of used vehicles, as well as offers customer financing services. ACV Auctions Inc. was incorporated in 2014 and is headquartered in Buffalo, New York.

At a Glance

Live Snapshot
Market Cap$1.30B
EPS-0.4800
P/E Ratio-15.72
Earnings Date02/18/2026

Intrinsic Alpha Methodology

Thesis Lenses

Signal · Driver · Risk

Signal

Medium confidence

Valuation multiple is compressed (P/E -15.7).

Valuation inputs: P/E -15.7, earnings yield N/A, momentum -1.0%.

If multiples stay elevated while momentum fades, downside repricing risk rises.

Driver

High confidence

Return profile is soft (ROE -18.1%, ROIC -14.0%).

Profitability stack: net margin -12.5%, ROE -18.1%, ROIC -14.0%.

Quality deterioration often appears in margins before it shows up in headline EPS.

Risk

High confidence

Risk profile is balanced but has notable pressure points to monitor.

Risk factors: liabilities/assets +55.3%, momentum -1.0%, net margin -12.5%.

Higher leverage with weak momentum and thin margins can amplify drawdown severity.

acva

ACV Auctions Inc. Market vs Earnings Trajectory

ACVA · NASDAQ

Loading price and EPS data...

ACV Auctions Inc.

ACV Auctions Inc. Fair Value Envelope

ACVA · NASDAQ

Our analysis suggests that ACVA has a fair value of HIDDEN per share in the Base Case projection. With shares currently trading at $7.545, this represents a potential HIDDEN relative to our calculated worth for ACV Auctions Inc..

Intrinsic Value
Current Price: $7.545
3Y-4.0%
5Y-4.0%
10Y+109.0%
3Y+78.0%
5Y+496.0%
10Y+1693.0%
3Y+2.0%
5Y+3.0%
10Y+123.0%
3Y-23.0%
5Y-190.0%
10Y-190.0%
3Y-15.0%
5Y-177.0%
10Y-177.0%
3Y-
5Y+223.0%
10Y+223.0%
ACV Auctions Inc.

ACV Auctions Inc. Profit Bridge

ACVA · NASDAQ
Revenue637.16M
Cost of Goods Sold (248.21M)
Gross Profit388.95M
Operating Expenses (473.05M)
Operating Income-84.11M
Interest Expense (4.24M)
Other Income/Expense5.09M
Pretax Income-79.01M
Income Tax (688.00K)
Net Income-79.70M
Net Income
-79.70M

Profitability Analysis

Gross Margin

61.0%

Exceptional pricing power and cost management. The company retains over half of revenue after direct costs.

Operating Margin

-13.2%

Operating losses indicate the core business is unprofitable. Requires restructuring or revenue growth.

Net Profit Margin

-12.5%

Net losses indicate the company is burning cash. Sustainability depends on path to profitability.

Profitability Insight

Margin squeeze alert: Healthy gross margins but weak operating margins suggest excessive operating expenses. Cost optimization could unlock significant value.

61.04%
Gross Profit Margin
24%
3Y+42.0%
5Y+171.0%
10Y+58.0%
-13.20%
Operating Profit Margin
-29%
3Y-38.0%
5Y-82.0%
10Y-87.0%
-12.51%
Net Profit Margin
-20%
3Y-43.0%
5Y-83.0%
10Y-88.0%
-18.11%
Return on Equity
10%
3Y+29.0%
5Y-125.0%
10Y-
-8.10%
Return on Assets
-1%
3Y+2.0%
5Y-68.0%
10Y-
-13.95%
Return on Invested Capital
-8%
3Y+2.0%
5Y-63.0%
10Y-
ACVA

ACV Auctions Inc. Cash Conversion Engine

ACVA · NASDAQ
Net Income-79.70M
Depreciation & Amortization36.81M
Stock-Based Compensation68.01M
Change in Working Capital29.55M
Others10.73M
Capital Expenditures-4.54M
Free Cash Flow60.86M

Cash Flow Quality Analysis

FCF Conversion Rate

-76.4%

Negative free cash flow despite positive earnings raises concerns about cash generation ability or heavy capital requirements.

CapEx Intensity

6.9%

Asset-light business model. Low capital requirements leave more cash available for shareholders and growth investments.

FCF Growth Trend

+232.1%

Strong FCF growth demonstrates improving cash generation and business momentum. Positive signal for sustainability.

Working Capital Impact

+$29.55M

Working capital inflow boosted cash flow. Efficient management of receivables, inventory, and payables contributing positively.

acva

ACV Auctions Inc. Funding & Solvency Profile

ACVA · NASDAQ
Cash & Cash Equivalents265.34M
Net Receivables218.95M
Inventory0.00
Other Current Assets227.54M
Total Current Assets763 M
Property, Plant & Equipment11.74M
Goodwill & Intangible Assets267.37M
Long-Term Investments0.00
Other Non-Current Assets124.88M
Total Non-Current Assets137 M
Total Assets
1.17B

Financial Health Analysis

Current Ratio

1.62x

Strong liquidity. The company has adequate resources to meet short-term liabilities.

Debt-to-Equity Ratio

1.68x

Elevated leverage. Debt exceeds equity, which amplifies both gains and risks. Monitor debt servicing ability.

Working Capital

291 M

Strong working capital position provides significant operational flexibility and financial cushion.

Asset Composition

65% Current

Asset-light business model with high liquidity. Majority of assets are easily convertible to cash.

acva

ACV Auctions Inc. Street Expectations Map

ACVA · NASDAQ

Wall Street analysts project that ACVA stock may rise significantly over the coming 12 months. The consensus 1-year price target stands at 11.13, with estimates ranging from a low of 8.00 to a high of 16.00.

Lowest Target
8.00
6.03%
Consensus Target
11.13
47.51%
Highest Target
16.00
112.06%

The consensus 1-year price target stands at 11.13, with estimates ranging from a low of 8.00 to a high of 16.00.

Analyst Consensus Analysis

Upside Potential

+47.5%

Substantial upside potential. Analysts see significant value gap, suggesting the stock may be materially undervalued at current levels.

Analyst Agreement

71.9% spread

High uncertainty. Very wide target spread indicates significant disagreement among analysts—major valuation uncertainty or transformation underway.

Analyst Conviction

Low

High uncertainty: Wide dispersion indicates analysts struggle to agree on valuation—proceed with caution and independent analysis.

Market Sentiment Insight

High risk, high reward: Substantial upside potential exists, but wide analyst disagreement signals execution risk or unclear catalysts. Thorough due diligence essential before committing capital.

acva

ACV Auctions Inc. Insider Positioning

ACVA · NASDAQ

During the last 12 months, insiders have purchased $6.12M and sold $44K worth of ACVA shares, resulting in $6.08M of net buying activity.

3 Months

Bought

0

0.00

Sold

0

0.00

Net Activity

+0

+$0

3-6 Months

Bought

45.5K

374.30K

Sold

3.5K

29.54K

Net Activity

+345K

+$345K

6-9 Months

Bought

1.0M

5.75M

Sold

1.8K

14.00K

Net Activity

+5.7M

+$5.73M

9-12 Months

Bought

0

0.00

Sold

0

0.00

Net Activity

+0

+$0

Top Buyers

1
GRP

Goodman Robert P

Director

912.4K shares1 transactions

$5.12M

2
HB

Hirsch Brian

Director

80.6K shares1 transactions

$500K

3
CG

Chamoun George

Director, Officer: Chief Executive Officer

45.5K shares2 transactions

$374K

4
CK

Castillo Kirsten

Director

20.0K shares2 transactions

$125K

5
PA

Peer Andrew

Officer: Vp, Corporate Controller & Cao

1.8K shares1 transactions

$4K

Top Sellers

1
PA

Peer Andrew

Officer: Vp, Corporate Controller & Cao

5.3K shares3 transactions

$44K

Insider Activity Analysis

Net Insider Sentiment

Bullish

Strong bullish signal with $6.08M net buying. Insiders are aggressively accumulating shares, suggesting significant confidence in future prospects.

Buy/Sell Ratio

140.61:1

Exceptional buy/sell ratio. Buying dramatically outweighs selling—one of the strongest possible insider signals.

Insider Participation

High Buying

5 insider buyers vs. 1 sellers. Broad-based buying across management team suggests widespread confidence.

Insider Activity Insight

Compelling insider conviction: The combination of strong buy/sell ratio and multiple buyers suggests insiders see attractive risk/reward. Consider this alongside fundamental analysis for confirmation.

No Dividend Yield Data

ACVA has not reported any dividend yield values in the available annual periods.

 

acva Dividend History

ACVA
10Y CAGR +0%
Latest $0
Annual $0
Stable dividend payments
Last Period: +0%