Accel Entertainment Inc. (ACEL)

FairStock Score: 61/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I approach Accel as a Graham-style analyst: it is a distributed gaming operator, installing and running terminals in authorized non-casino locations. The business has produced steady growth: in fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $368.1M and net income $12.5M, compared with revenue $335.9M and net income $7.3M in fiscal Q2 2025. Full-year fiscal 2025 revenue was $1.3B with net income $51.5M and diluted EPS $0.60, versus fiscal 2024 revenue $1.2B, net income $35.3M and diluted EPS $0.41. FairStock classifies it as a STALWART — steady growth: profit 13.0% a year over four years, revenue 16.0%. That is a decent record. At the close on 2026-10-13, price was $11.30 and market cap $917.5M. FairStock calculations show P/E 16.87, P/B 3.23, PEG 0.24, EV/EBITDA 6.38, FCF yield 8.6% on TTM FCF $78.9M. The cash-flow metrics are attractive, but Graham Number $7.25 and margin of safety -55.86% warn that the price is well above a conservative asset-and-earnings value. Financial health is mixed: FairStock return metrics show ROE 20.47% but ROCE 7.12%, D/E 1.99 and Altman Z-Score 1.60. FairStock's Piotroski F-Score is 7/9. Margins are thin: Q2 2026 net margin was 3.39%. The moat, if any, comes from local licenses and relationships in regulated non-casino gaming, but leverage and regulation are real risks. Growth trajectory is positive, but the balance sheet demands watching.

In plain English: Accel runs gambling terminals in places like bars, restaurants and truck stops. It earned $12.5 million in profit on $368.1 million of sales in the quarter ended June 30, 2026, and full-year sales were $1.3 billion in fiscal 2025. At $11.30, the shares look a bit costly against a very conservative asset-based measure, but not unreasonable against the cash the business generates.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer