Analyst Forecasts For Accel Leisure, Inc. (NYSE:ACEL) Are Surging Greater

Celebrations may be appropriate for Accel Entertainment, Inc. ((NYSE: THAT) Shareholders, with analysts vastly improving their legal estimates for the company. Consensus estimates suggest that investors can expect sharp increases in statutory sales and earnings per share, with analysts modeling a real improvement in business performance. Investors were pretty bullish on Accel Entertainment, too, with its stock rising 11% to $ 13.46 over the past week. It will be interesting to see if today’s upgrade is enough to propel the stock any higher.

After the upgrade, the six analysts at Accel Entertainment are now forecasting sales of $ 684 million in 2021. If that were achieved, it would mean a significant increase in sales of 92% compared to the previous 12 months. The losses are expected to go away in the next year, with earnings projected at $ 0.37 per share this year. Prior to this last update, analysts had forecast sales of $ 612 million and earnings per share (EPS) of $ 0.26 for 2021. So we can see that analyst sentiment has risen significantly lately in both sales and earnings per share according to the latest estimates.

Check out our latest analysis for Accel Entertainment

NYSE: ACEL earnings and revenue growth May 15, 2021

It won’t be surprising to learn that as a result of these upgrades, analysts increased their target price for Accel Entertainment by 8.7% to $ 15.58. However, setting a single price target can be unwise because the consensus target is effectively the average of the analyst price targets. As a result, some investors enjoy looking at the various estimates to see if there are different opinions about company valuation. There are a few different perceptions at Accel Entertainment, with the most bullish analyst rating it at $ 20.00 and the most bearish at $ 13.00 per share. Analysts definitely have different views on the business, but we don’t think the spread of estimates is wide enough to suggest extreme results could be awaiting Accel Entertainment shareholders.

One way to get more context about these predictions is to examine how they compare to past performance and how other companies in the same industry are doing. For example, we’ve determined that Accel Entertainment’s rate of growth is expected to accelerate significantly. Annual sales growth of 138% is forecast by the end of 2021. This is well above the historic decline of 18% per year last year. In contrast, our data suggests that other companies (with analyst coverage) in the industry are forecasting revenue growth of 22% per year. Not only are Accel Entertainment revenues expected to improve, but analysts expect faster growth than the industry as a whole.

The bottom line

Most importantly, with this upgrade, analysts have revised their earnings per share estimates for this year in anticipation of an improvement in business conditions. They have also updated their sales estimates for this year, and sales are expected to grow faster than the broader market. Given that the consensus seems almost broadly bullish with a significant increase in forecasts and a higher price target, Accel Entertainment may be worth investigating further.

Analysts are definitely bullish at Accel Entertainment, but no company is perfect. In fact, you should know that there are a few potential concerns to be aware of, including last year’s dilutive stock issue. For more information, you can click through to our platform Learn more about this and the other two flags we identified .

Another way to look for interesting companies that might be Reaching a turning point is to track whether the management buys or sells with ours free List of growing companies that insider buy.

Funded
To trade with Accel Entertainment, open an account with the lowest cost * platform trusted by professionals. Interactive broker. Your clients from over 200 countries and territories trade stocks, options, futures, forex, bonds and funds worldwide from a single integrated account.

This article from Simply Wall St is of a general nature. It is not a recommendation to buy or sell stocks and does not take into account your goals or your financial situation. We want to provide you with a long-term, focused analysis based on fundamental data. Note that our analysis may not take into account the latest price sensitive company announcements or quality materials. Simply Wall St has no position in the stocks mentioned.
* Interactive brokers have been rated as Lowest Cost Brokers by StockBrokers.com. Annual online review 2020

Do you have any feedback on this article? Concerned about the content? Get in touch directly with us. Alternatively, you can also send an email to the editorial team (at) simplywallst.com.

Accel Leisure, Inc. (NYSE:ACEL) Insiders Have Been Promoting

We often see insiders buying stocks in companies that are doing well over the long term. On the flip side, it wouldn’t be worth mentioning that insider selling is known to precede tough times for a company. So we’re going to look to see if insiders bought or sold stocks of Accel Entertainment, Inc. ((NYSE: THAT).

What is insider selling?

It is perfectly legal for company insiders, including board members, to buy and sell shares in a company. However, most countries require the company to disclose such transactions to the market.

We would never suggest that investors base their decisions solely on what a company’s directors have done. But we would also consider it foolish to ignore insider trading altogether. For example a Harvard University study found that “insider buying generates unusual returns in excess of 6% per year”.

Check out our latest analysis for Accel Entertainment

The last 12 months of insider trading at Accel Entertainment

Co-founder Andrew Rubenstein made the biggest insider sale in the past 12 months. That single transaction involved shares valued at $ 867,000 priced at $ 9.63 each. This means that an insider was selling shares at a price slightly below the current price ($ 10.96). If an insider sells below the current price, it indicates that they consider that lower price to be fair. That makes us wonder what you think of the (higher) recent rating. Please note, however, that sellers can sell for a variety of reasons, so we do not know exactly what they think of the stock price. It’s worth noting that this sale was only 1.0% of Andrew Rubenstein’s stake.

Accel Entertainment insiders haven’t bought any shares in the past year. The following graph shows insider transactions (by companies and individuals) over the past year. If you want to know exactly who sold how much and when, just click on the graphic below!

NYSE: ACEL Insider Trading Volume March 21, 2021

If you are like me you will Not want to miss that free List of growing companies that insider buy.

Inside ownership of Accel Entertainment

Many investors enjoy checking out how much of a company is owned by insiders. A high level of insider responsibility often leads to corporate management taking greater account of the interests of shareholders. Accel Entertainment insiders own 23% of the company, currently valued at approximately $ 248 million based on the current share price. I like this level of insider ownership because it increases the chances that management will ponder the best interests of shareholders.

What does this data suggest about Accel Entertainment Insider?

The fact that there hasn’t been any insider trading by Accel Entertainment recently certainly doesn’t bother us. It is encouraging that insiders are abundant in stocks, but we would like more insider buying since Accel Entertainment’s final year of insider trading has not left us with confidence. While it is helpful to know what insiders are doing to buy or sell, it is also helpful to know the risks a particular company is facing. In performing our analysis, we found that Accel Entertainment did this 1 warning sign and it would be unwise to ignore it.

But note: Accel Entertainment may not be the best stock to buy. So take a look at it free List of interesting companies with high ROE and low debt.

For the purposes of this article, insiders are persons who report their transactions to the competent supervisory authority. We currently consider open market transactions and private sales, but not derivative transactions.

Funded
To trade with Accel Entertainment, open an account with the lowest cost * platform trusted by professionals. Interactive broker. Your clients from over 200 countries and territories trade stocks, options, futures, forex, bonds and funds worldwide from a single integrated account.

This article from Simply Wall St is of a general nature. It is not a recommendation to buy or sell stocks and does not take into account your goals or your financial situation. We want to provide you with a long-term, focused analysis based on fundamental data. Note that our analysis may not take into account the latest price sensitive company announcements or quality materials. Simply Wall St has no position in the stocks mentioned.
* Interactive brokers have been rated as Lowest Cost Brokers by StockBrokers.com. Annual online review 2020

Do you have any feedback on this article? Concerned about the content? Get in touch directly with us. Alternatively, you can also send an email to the editorial team (at) simplywallst.com.