ACI Worldwide

ACIW · NASDAQ

$54.54+$2.32 (+4.44%)TodayMarket closed · Oct 20, 5:29 PM ET

Prev close $52.22

ACIW analyst rating

BuyConsensus of 2 analysts over the last 12 months. 100% rate it a buy.

Strong buy0
Buy2
Hold0
Underperform0
Sell0

12-month price target · 6 analysts

Average $66.78 (+22.4% upside)

Low: $60.47
Now: $54.54
High: $73.50

Upgrades and downgrades

The latest rating actions, newest first

ACIW analyst upgrades, downgrades and rating actions
Firm	Date	Action	Rating	Price target	Hit rate
DA Davidson	Sep 2, 2026	Maintains	Buy	$66.00	57%
DA Davidson	Aug 7, 2026	Maintains	Buy	$64.00 → $66.00	57%
DA Davidson	Jul 15, 2026	Maintains	Buy	$60.00 → $64.00	57%
DA Davidson	May 11, 2026	Maintains	Buy	$60.00	57%
Seaport Global	Jan 14, 2026	Maintains	Buy	$77.00 → $70.00	39%

The case for and against

Updated Oct 18, 2026

Bull case

ACI Worldwide is viewed positively because its core payment software franchise is delivering solid top-line momentum, with 2Q revenue up 7% year over year to $430M and adjusted EBITDA up 12% to $91M, while margins expanded 200 basis points to 34.3% on stronger high-margin Software License Fees. The company also benefits from a healthier mix, as recurring revenue reached 78% of sales, Payment Software grew 10% to $196M, and management raised 2026 guidance midpoints for revenue and EBITDA, signaling confidence in continued execution. Longer term, demand for real-time payments, international exposure with natural FX hedges, and plans to expand the Bank segment addressable market through ACI Connetic support durable organic growth, modest margin expansion, and low- to mid-teens Non-GAAP EPS growth.

Bear case

ACI Worldwide is facing a weak fundamental setup as new ARR bookings fell 25% Y/Y in 2Q to $18M and were down 15% Y/Y over the trailing twelve months, while License and Services bookings also declined 12% Y/Y to $255M, signaling softer demand and poorer visibility. Management’s 3Q guidance calls for a 12%-14% Y/Y revenue decline to $417M-$427M and a 44%-47% Y/Y drop in adjusted EBITDA to $90M-$95M, reflecting a sharp falloff in high-margin software license revenue after unusually strong comparisons in 3Q25 and 3Q24. Although the business remains globally scaled and recurring, its heavy reliance on 4Q renewal timing, ASC 606 front-loaded revenue recognition, and exposure to economic, regulatory, and industry-consolidation risks create volatile quarterly results and downside risk to margins.

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