Accel Entertainment (NYSE:ACEL) Hits New 1-Year High – Still a Buy?

Accel Entertainment, Inc. (NYSE:ACEL) reached a new 52-week high during trading on Monday. The stock traded as high as $14.00 and last traded at $13.84, with a volume of 80,865 shares. The stock had previously closed at $13.72.

Analyst Ratings Changes

Several analysts have recently weighed in on the stock. Wells Fargo & Company started coverage on shares of Accel Entertainment in a research report on Friday, August 21st. They set an “equal weight” rating and a $14.00 price objective for the company. Wall Street Zen upgraded Accel Entertainment from a “buy” rating to a “strong-buy” rating in a research note on Saturday. Weiss Ratings upgraded shares of Accel Entertainment from a “buy (b-)” rating to a “buy (b)” rating in a research report on Monday. Citigroup restated a “market outperform” rating on shares of Accel Entertainment in a research report on Wednesday, August 5th. Finally, Citizens Jmp raised their price target on Accel Entertainment from $14.00 to $15.00 and gave the company a “market outperform” rating in a research report on Wednesday, August 5th. Three equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $14.25.

Accel Entertainment Price Performance

The company has a market capitalization of $1.12 billion, a PE ratio of 18.22 and a beta of 1.09. The company has a current ratio of 2.27, a quick ratio of 2.20 and a debt-to-equity ratio of 1.76. The company’s 50 day moving average price is $11.47 and its 200-day moving average price is $11.76.

Accel Entertainment (NYSE:ACEL) last released its quarterly earnings data on Tuesday, November 3rd. The company reported $0.25 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.18 by $0.07. Accel Entertainment had a net margin of 4.49% and a return on equity of 22.62%. The company had revenue of $363.56 million during the quarter, compared to analyst estimates of $358.62 million. On average, sell-side analysts forecast that Accel Entertainment, Inc. will post 0.76 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, insider Derek Harmer sold 26,324 shares of the company’s stock in a transaction on Friday, September 11th. The shares were sold at an average price of $11.63, for a total value of $306,148.12. Following the completion of the transaction, the insider directly owned 170,929 shares in the company, valued at approximately $1,987,904.27. This represents a 13.35% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO Mark Phelan sold 25,000 shares of the company’s stock in a transaction dated Monday, November 2nd. The shares were sold at an average price of $12.00, for a total transaction of $300,000.00. Following the completion of the transaction, the chief executive officer directly owned 216,464 shares of the company’s stock, valued at approximately $2,597,568. The trade was a 10.35% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders have sold 65,036 shares of company stock worth $765,180. Corporate insiders own 14.47% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in the stock. USA Financial Formulas acquired a new position in Accel Entertainment in the third quarter worth about $41,000. Versant Capital Management Inc increased its stake in Accel Entertainment by 61.5% during the 3rd quarter. Versant Capital Management Inc now owns 6,676 shares of the company’s stock valued at $71,000 after buying an additional 2,542 shares during the period. Oppenheimer & Co. Inc. bought a new stake in Accel Entertainment during the third quarter worth approximately $128,000. Uhlmann Price Securities LLC bought a new stake in shares of Accel Entertainment in the 3rd quarter worth $203,000. Finally, Caxton Associates LLP bought a new stake in Accel Entertainment in the first quarter worth about $208,000. 55.39% of the stock is owned by institutional investors and hedge funds.

About Accel Entertainment

Accel Entertainment, Inc. is a distributed gaming operator that supplies and manages video gaming terminals and related equipment at licensed locations. Its gaming machines are typically placed in bars, restaurants and other local businesses that share in the revenue generated by play. The company provides services such as installing, maintaining and monitoring its equipment, along with support for the regulatory requirements involved in operating gaming terminals. Accel’s business model gives local venues access to gaming without requiring them to manage the machines themselves.