AACAF (AAC Technologies Holdings) Financial Strength: 6 (As of Dec. 2025) — 14% Below Median

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AACAF AAC Technologies Holdings Inc AACAF
89 GF Score
Price $4.97
GF Value $6.01
Valuation Modestly Undervalued
! 2 Warning Signs
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What is AAC Technologies Holdings Financial Strength?

AAC Technologies Holdings AACAF 89 Financial Strength is 6 as of Dec. 2025, which is 14% below its 10-year median of 7.00. GuruFocus rates AACAF with a GF Score™ of 89/100 and a GF Value™ of $6.01 (Modestly Undervalued). The stock has 2 warning signs investors should review.

AAC Technologies Holdings has the Financial Strength Rank of 6.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is rated on a scale of 1 to 10 and is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.
4. Other debt related ratios.

A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

AAC Technologies Holdings's Interest Coverage for the quarter that ended in Dec. 2025 was 9.17. AAC Technologies Holdings's debt to revenue ratio for the quarter that ended in Dec. 2025 was 0.29. As of today, AAC Technologies Holdings's Altman Z-Score is 2.82.


AAC Technologies Holdings  (OTCPK:AACAF) Financial Strength Explanation

The rank is rated on a scale of 1 to 10. A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

AAC Technologies Holdings has the Financial Strength Rank of 6.


AAC Technologies Holdings Financial Strength Related Terms


AACAF vs CSCO, MSI, LITE: Financial Strength Comparison

For the Communication Equipment subindustry, AAC Technologies Holdings's Financial Strength, along with its competitors' market caps and Financial Strength data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


AAC Technologies Holdings Financial Strength vs Hardware Industry

For the Hardware industry and Technology sector, AAC Technologies Holdings's Financial Strength distribution charts can be found below:

* The bar in red indicates where AAC Technologies Holdings's Financial Strength falls into.


AACAF
89GF Score
AAC Technologies Holdings Inc AACAF
Financial Strength is just one metric. See GF Score™, valuation, warning signs, and more.
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AAC Technologies Holdings Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

AAC Technologies Holdings's Interest Expense for the months ended in Dec. 2025 was $-30 Mil. Its Operating Income for the months ended in Dec. 2025 was $272 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2025 was $1,181 Mil.

AAC Technologies Holdings's Interest Coverage for the quarter that ended in Dec. 2025 is

Interest Coverage=-1*Operating Income (Q: Dec. 2025 )/Interest Expense (Q: Dec. 2025 )
=-1*271.688/-29.638
=9.17

The higher the ratio, the stronger the company's financial strength is.

2. Debt to revenue ratio. The lower, the better.

AAC Technologies Holdings's Debt to Revenue Ratio for the quarter that ended in Dec. 2025 is

Debt to Revenue Ratio=Total Debt (Q: Dec. 2025 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(356.954 + 1180.744) / 5252.868
=0.29

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

AAC Technologies Holdings has a Z-score of 2.82, indicating it is in Grey Zones. This implies that AAC Technologies Holdings is in some kind of financial stress. If it is below 1.81, the company may faces bankrupcy risk.

Warning Sign:

Altman Z-score of 2.82 is in the grey area. This implies that the company is under some kind of financial stress. If it is below 1.8, the company may face bankruptcy risk.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Financial Strength →
What does a Financial Strength of 6 mean?
AAC Technologies Holdings (AACAF) has a Financial Strength of 6 as of Dec. 2025. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on AAC Technologies Holdings and its competitors. This is 14% below median its historical median of 7.00. Over the past decade, AAC Technologies Holdings' Financial Strength has ranged from 4.00 to 8.00.
Is AAC Technologies Holdings' Financial Strength too high?
AAC Technologies Holdings' current Financial Strength of 6 is 14% below median its 10-year median of 7.00. Over the past 10 years, this metric has ranged from a low of 4.00 to a high of 8.00. Overall, AAC Technologies Holdings has a GF Score™ of 89/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does AAC Technologies Holdings' Financial Strength compare to CSCO and MSI?
AAC Technologies Holdings' Financial Strength of 6 can be compared against companies in the Hardware industry. Historically, AAC Technologies Holdings' own Financial Strength has ranged from 4.00 to 8.00 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Financial Strength for a Hardware company?
A good Financial Strength depends on the Hardware industry context. However, Financial Strength should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Financial Strength mean?
A high Financial Strength can signal that a stock is expensive relative to its fundamentals. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on AAC Technologies Holdings and its competitors. AAC Technologies Holdings's current Financial Strength is 6, which is 14% below median its own 10-year median of 7.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is AAC Technologies Holdings stock overvalued right now?
Based on GuruFocus' analysis, AAC Technologies Holdings (AACAF) is currently considered Modestly Undervalued. The stock's GF Value™ is $6.01, compared to a current price of $4.97 — trading 17.3% below its estimated fair value. The current Financial Strength is 6, which is 14% below median its 10-year median of 7.00. AAC Technologies Holdings' overall GF Score™ is 89/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Financial Strength calculated?
Financial Strength is calculated from a company's financial statements. For AAC Technologies Holdings (AACAF), the current Financial Strength is 6 as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is AAC Technologies Holdings (AACAF) Overvalued in 2026?

Based on GuruFocus' analysis, AAC Technologies Holdings stock appears to be undervalued. The current stock price of $4.97 is trading 17.3% below its estimated GF Value™ of $6.01. GuruFocus considers AAC Technologies Holdings to be Modestly Undervalued.

Key valuation signals for AACAF:

  • Financial Strength: 6 (14% below median its 10-year median of 7.00)
  • GF Value™: $6.01 vs. price of $4.97 (17.3% below fair value)
  • GF Score™: 89/100 with 2 warning signs

No single metric tells the full story. See the AACAF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


AAC Technologies Holdings Business Description

Address 1 Hennessy Road, Suite 2601, 26th Floor, One Hennessy, Wanchai, Hong Kong, HKG
AAC Technologies is one of the world's largest manufacturers of miniature acoustic components, such as speakers and receivers, primarily for smartphones. Founded in 1993, the company has since expanded into the production of other handset components, such as electromagnetic drives (haptics), precision mechanical, lenses and camera modules, sensors, and MEMS microphones. AAC is headquartered in Shenzhen, China, and runs factories in China, Vietnam, Czechia, and Malaysia. It employed 44,181 people as at June 30, 2025.
89GF Score

Get the complete analysis for AACAF

Financial Strength is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$4.97
Price
$6.01
GF Value