Deluxe Corporation (NYSE:DLX) and Acacia Research Corporation (NASDAQ:ACTG) compete against each other in the Business Services sector. We will compare them and contrast their profitability, institutional ownership, analyst recommendations, risk, dividends, earnings and valuation.
Valuation and Earnings
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Deluxe Corporation | 2.00B | 0.92 | 149.01M | 3.20 | 13.98 |
| Acacia Research Corporation | 85.76M | 1.76 | 203.66M | -4.05 | 0.00 |
Table 1 demonstrates Deluxe Corporation and Acacia Research Corporation’s top-line revenue, earnings per share and valuation.
Profitability
Table 2 has Deluxe Corporation and Acacia Research Corporation’s return on equity, net margins and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Deluxe Corporation | 7.45% | 14.9% | 6.5% |
| Acacia Research Corporation | -237.48% | -82% | -74.2% |
Risk and Volatility
Deluxe Corporation has a 1.35 beta, while its volatility is 35.00%, thus making it more volatile than Standard and Poor’s 500. From a competition point of view, Acacia Research Corporation has a 0.85 beta which is 15.00% less volatile compared to Standard and Poor’s 500.
Liquidity
Deluxe Corporation’s Current Ratio and Quick Ratio are 1.1 and 1 respectively. The Current Ratio and Quick Ratio of its competitor Acacia Research Corporation are 9.7 and 9.7 respectively. Acacia Research Corporation therefore has a better chance of paying off short and long-term obligations compared to Deluxe Corporation.
Dividends
The annual dividend that Deluxe Corporation pay is $1.2 per share with a dividend yield of 2.82%. Meanhile, Acacia Research Corporation’s yearly dividend is $0.12 per share and 4.18% dividend yield.
Analyst Ratings
The following table given below contains the ratings and recommendations for Deluxe Corporation and Acacia Research Corporation.
| Sell Ratings | Hold Ratings | Buy Ratings | Rating Score | |
| Deluxe Corporation | 0 | 1 | 0 | 2.00 |
| Acacia Research Corporation | 0 | 0 | 0 | 0.00 |
Deluxe Corporation has a 18.62% upside potential and a consensus target price of $50.
Insider and Institutional Ownership
Institutional investors owned 87.6% of Deluxe Corporation shares and 62.5% of Acacia Research Corporation shares. 0.3% are Deluxe Corporation’s share owned by insiders. Comparatively, insiders own roughly 0.2% of Acacia Research Corporation’s shares.
Performance
Here are the Weekly, Monthly, Quarterly, Half Yearly, Yearly and YTD Performance of both pretenders.
| Performance (W) | Performance (M) | Performance (Q) | Performance (HY) | Performance (Y) | Performance (YTD) | |
| Deluxe Corporation | -8.3% | -4.68% | -10.44% | -25.51% | -36.48% | 16.47% |
| Acacia Research Corporation | -3.8% | 0% | -2.88% | -21.04% | -11.88% | 2.01% |
For the past year Deluxe Corporation was more bullish than Acacia Research Corporation.
Summary
Deluxe Corporation beats on 12 of the 14 factors Acacia Research Corporation.
Deluxe Corporation provides checks, forms, marketing solutions, accessories, and other products and services for small businesses and financial institutions. It operates through three segments: Small Business Services, Financial Services, and Direct Checks. The company provides checks; printed forms, such as deposit tickets, billing forms, work orders, job proposals, purchase orders, invoices, and personnel forms, as well as computer forms and check registers; and accessories and other products comprising envelopes, office supplies, stamps, and labels, as well as checkbook covers. It also offers Web services, which include logo and Web design; hosting and other Web services; search engine optimization; and marketing programs, including email, mobile, and social media, and other self-service marketing solutions. In addition, the company provides fraud protection and security, online and offline payroll services, and electronic checks; and promotional solutions, such as postcards, brochures, retail packaging supplies, apparel, greeting cards, and business cards. Further, it offers financial technology solutions to larger financial institutions, which comprise data-driven marketing solutions, including outsourced marketing campaign targeting and execution; treasury management solutions; and digital enablement solutions, including loyalty and rewards programs. It operates in the United States, Canada, Europe, and North and South America. The company was formerly known as Deluxe Check Printers, Incorporated and changed its name to Deluxe Corporation in 1988. Deluxe Corporation was founded in 1915 and is headquartered in Shoreview, Minnesota.
