-2.03%
-1.62%
22.90%
24.41%
63.83%
60.25%
-32.00%

Company Description

ACV Auctions Inc.operates a digital marketplace that connects buyers and sellers for the online auction of wholesale vehicles.It also provides data services that offer insights into the condition and value of used vehicles, as well as offers customer financing services.


ACV Auctions Inc.was incorporated in 2014 and is headquartered in Buffalo, New York.

Market Data

Last Price 21.25
Change Percentage -2.03%
Open 21.69
Previous Close 21.69
Market Cap ( Millions) 3562
Volume 676140
Year High 23.46
Year Low 12.84
M A 50 21.54
M A 200 19.12

Financial Ratios

FCF Yield 0.87%
Dividend Yield 0.00%
ROE -16.80%
Debt / Equity 25.21%
Net Debt / EBIDTA 323.47%
Price To Book 7.72
Price Earnings Ratio -45.85
Price To FCF 115.09
Price To sales 5.98
EV / EBITDA -80.55

News

Business Breakdown

Expected Mid-Term Growth

Segment nΒ°1 -> Auction Marketplace

Expected Growth : 10.27 %

What the company do ?

Auction Marketplace from ACV Auctions Inc. is a digital platform where dealers can purchase inventory from a vast network of sellers, ensuring a seamless and efficient car-buying experience.

Why we expect these perspectives ?

ACV Auctions Inc.'s Auction Marketplace growth is driven by increasing adoption of digital marketplaces, rising demand for used vehicles, and expanding dealer networks. Additionally, the company's focus on transparency, efficiency, and data-driven decision making is attracting more buyers and sellers, further fueling growth.

Segment nΒ°2 -> Other Marketplace

Expected Growth : 10.27 %

What the company do ?

The Other Marketplace from ACV Auctions Inc. is a digital platform for dealers to purchase vehicles not meeting traditional auction standards, often at lower prices.

Why we expect these perspectives ?

ACV Auctions Inc.'s Other Marketplace segment growth of 10.27% is driven by increasing adoption of digital marketplaces, rising demand for used vehicles, expansion into new geographic markets, and strategic partnerships with dealerships and OEMs. Additionally, the company's focus on providing a seamless user experience, robust inventory management, and competitive pricing also contribute to its growth momentum.

Segment nΒ°3 -> Customer Assurance

Expected Growth : 9.9 %

What the company do ?

Customer Assurance from ACV Auctions Inc. ensures vehicle inspections, condition reports, and arbitration policy for buyer protection and confidence in online car auctions.

Why we expect these perspectives ?

ACV Auctions Inc.'s 9.9% Customer Assurance growth is driven by increasing adoption of digital auction platforms, rising demand for vehicle inspections and condition reports, and expanding partnerships with dealerships and OEMs. Additionally, investments in AI-powered vehicle valuation and enhanced customer experience contribute to the growth.

Segment nΒ°4 -> Data Services

Expected Growth : 9.9 %

What the company do ?

Data Services from ACV Auctions Inc. provides vehicle inspection and valuation data to dealers, lenders, and other stakeholders in the automotive industry.

Why we expect these perspectives ?

ACV Auctions Inc.'s 9.9% growth in Data Services is driven by increasing adoption of digital marketplaces, rising demand for vehicle inspection and valuation data, expansion into new markets, and strategic partnerships with dealerships and OEMs, further fueled by investments in AI-powered analytics and data visualization tools.

Acv Auctions Inc. Products

Product Range What is it ?
Vehicles ACV Auctions Inc. provides a platform for dealers to purchase vehicles at auction, offering a wide range of makes and models.
Condition Reports ACV Auctions provides detailed condition reports for vehicles, including photos and descriptions of any damage or issues.
Inspection Services ACV Auctions offers inspection services to verify the condition of vehicles, providing an added layer of assurance for buyers.
Transportation Services ACV Auctions provides transportation services to help dealers get vehicles from the auction to their dealership.
Financing Options ACV Auctions offers financing options to help dealers purchase vehicles at auction.
Market Data and Analytics ACV Auctions provides market data and analytics to help dealers make informed purchasing decisions.

ACV Auctions Inc.'s Porter Forces

The threat of substitutes for ACV Auctions Inc. is medium, as there are some alternatives available in the market, but they are not very attractive to customers.

The bargaining power of customers for ACV Auctions Inc. is low, as customers have limited options and the company has a strong brand presence.

The bargaining power of suppliers for ACV Auctions Inc. is medium, as the company relies on a few key suppliers, but has some flexibility in its supply chain.

The threat of new entrants for ACV Auctions Inc. is high, as the market is attractive and there are low barriers to entry.

The intensity of rivalry for ACV Auctions Inc. is high, as the market is highly competitive and there are many established players.

Capital Structure

Value
Debt Weight 20.35%
Debt Cost 3.95%
Equity Weight 79.65%
Equity Cost 11.75%
WACC 10.16%
Leverage 25.55%

Historical Valuation

Price/Earnings Ratio

Margin Valuation

Peers Valuation

Competitors

Company Rational
ABG Asbury Automotive Group, Inc., together with its subsidiaries, operates as an automotive retailer in the United States. It offers a range of automotive products and services, including new and used …
GPI Group 1 Automotive, Inc., through its subsidiaries, operates in the automotive retail industry. The company sells new and used cars, light trucks, and vehicle parts, as well as service and …
LAD Lithia Motors, Inc. operates as an automotive retailer in the United States. The company operates through three segments: Domestic, Import, and Luxury. It offers new and used vehicles; vehicle financing …
KMX CarMax, Inc., together with its subsidiaries, operates as a retailer of used vehicles in the United States. The company operates through two segments, CarMax Sales Operations and CarMax Auto Finance. …
PAG Penske Automotive Group, Inc., a diversified transportation services company, operates automotive and commercial truck dealerships. The company operates through four segments: Retail Automotive, Retail Commercial Truck, Other, and Non-Automotive Investments. …

Peers Metrics

DCF BETA

Parameters

Short Term Growth
Short term Time
Long-Term Growth
WACC
Target Price
21.25$
Current Price
21.25$
Potential
-0.00%

Expected Cash-Flows

Scoring Insights

Peers Group Analysis

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