ACTG

Acacia Research Corporation

Fundamental data last updated:October 28, 2026

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company profile

SECTOR

Industrials

industry

Specialty Business Services

Exchange

NASDAQ

County of HQ

United States

Next Earnings Date

11/05/2026

Business Summary

ACTG operates by acquiring and licensing patents, generating cash through strategic litigation and licensing agreements. This model creates a unique competitive moat, as it leverages intellectual property to secure revenue streams. However, its reliance on legal outcomes introduces volatility. The company's ability to lock in customers depends on the strength and breadth of its patent portfolio.

 


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VALUATION

P/E

-16.01

Market Cap ($M USD)

$410.84M

Forward P/E

-12.03

PEG

0.02

PRICE TO SALES

1.48

PRICE TO BOOK

0.77

EV / EBITDA

3.91

5-Year Average P/E

Free Cash Flow Yield

3.88%

DCF Value

$-33.07

Graham Number

N/A

Price to FCF

25.79

EV to FCF

12.88

Earnings Yield

-3.68%

FCF Yield

3.88%

DIVIDEND

Yield

0.00%

Annual Payout

$0.00

Payout Ratio

0.00%

Consecutive Years of Dividend Growth

5-Year Dividend Growth Rate

Financial Health & Profitability

Earnings Per Share

-$0.15

Next Year EPS Growth Estimate

-$0.34

Next Year Revenue Growth Estimate

$259.30M

Return on Equity (ROE)

-2.81%

FREE CASH FLOW

Operating Margin

-6.95%

Debt-to-Equity

0.19

Piotroski F-Score

4

Altman Z-Score

1.55

Return on Invested Capital (ROIC)

-2.40%

Current Ratio

4.76

Quick Ratio

4.51

Net Debt to EBITDA

-3.92

Interest Coverage

-2.44

Gross Profit margin

61.19%

FCF PER SHARE

$0.16

REVENUE PER SHARE

$2.87

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Gainseekers Quantitative Analysis

Summary

The market seems to be mispricing ACTG significantly. With a DCF value deeply negative and a Graham Number unavailable, the stock’s valuation is questionable. The Forward P/E and Earnings Yield suggest a bleak outlook, while the Altman Z-score of 1.55 indicates potential financial distress. Despite a “Buy” consensus, the numbers paint a picture of caution rather than confidence.

AI Exposure / Tech Reliance

Operating within the Specialty Business Services sector, ACTG is positioned to leverage AI advancements. However, its adaptability will depend on its ability to integrate tech solutions into its existing service offerings. The industry's evolution towards automation could either be a catalyst or a challenge, depending on execution.

The Bull Case

For the value investor, ACTG offers intriguing prospects. The low Price/Book ratio and robust FCF Yield of 3.88% suggest potential undervaluation. A Piotroski F-Score of 4 indicates moderate financial health, while a high Gross Profit Margin of 61.19% underscores pricing power. These metrics hint at efficient capital use and potential for long-term gains.

The Bear Case

ACTG faces significant structural risks. The negative EPS and ROIC of -2.40% highlight inefficiencies and poor profitability. Its Price/Sales ratio of 1.48, while not exorbitant, doesn't compensate for the lack of earnings. The stock's proximity to its 52-week high suggests technical overextension, raising concerns about its sustainability.

Market Sentiment & Smart Money

Short Interest %

Analyst Consensus

Buy

Average Analyst Price Target

N/A

Institutional Ownership %

1-Year Beta

0.44

Insider Buying % (6 Mo)

Distance to 52-Week High

25.18%

Distance to 52-Week Low

23.04%

EARNINGS SURPRISE %

244.44%

50-DAY SMA

$4.42

200-DAY SMA

$4.51

⚠️ Financial Disclaimer:
This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate. We may earn a commission from partner links.