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Accel Entertainment (ACEL) To Report Earnings Tomorrow: Here Is What To Expect

ACEL Cover Image

Slot machine and terminal operator Accel Entertainment (NYSE: ACEL) will be reporting results this Tuesday after market hours. Here’s what you need to know.

Accel Entertainment beat analysts’ revenue expectations last quarter, reporting revenues of $329.7 million, up 9.1% year on year. It was a satisfactory quarter for the company, with a beat of analysts’ EPS estimates but a miss of analysts’ adjusted operating income estimates. It reported 27,714 video gaming terminals sold, up 7.7% year on year.

Is Accel Entertainment a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.

This quarter, the market is expecting Accel Entertainment’s revenue to grow 5.7% year on year, slowing from the 6.9% increase it recorded in the same quarter last year.

Accel Entertainment Total Revenue

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Accel Entertainment has a history of exceeding Wall Street’s expectations.

Looking at Accel Entertainment’s peers in the consumer discretionary - gaming solutions segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Rush Street Interactive delivered year-on-year revenue growth of 27.8%, beating analysts’ expectations by 6.6%, and Churchill Downs reported revenues up 6.7%, topping estimates by 0.7%. Rush Street Interactive traded up 7.3% following the results while Churchill Downs was down 6%.

Read our full analysis of Rush Street Interactive’s results here and Churchill Downs’s results here.

Investors in the consumer discretionary - gaming solutions segment have had steady hands going into earnings, with share prices flat over the last month. Accel Entertainment’s stock price was unchanged during the same time and is heading into earnings with an average analyst price target of $15.17 (compared to the current share price of $11.36).

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