Acacia Research (NASDAQ:ACTG) Posts Quarterly Earnings Results, Beats Expectations By $0.02 EPS

Acacia Research (NASDAQ:ACTG) issued its quarterly earnings results on Thursday. The business services provider reported ($0.07) EPS for the quarter, beating the consensus estimate of ($0.09) by $0.02, FiscalAI reports. The business had revenue of $54.24 million during the quarter, compared to the consensus estimate of $50.00 million. Acacia Research had a net margin of 7.60% and a return on equity of 4.11%. During the same quarter in the prior year, the firm earned $0.25 EPS.

Here are the key takeaways from Acacia Research’s conference call:

• Benchmark drilled its first Cherokee well (online late March) at a development cost of about $11.5M, targeting >2.5x MOIC (>60% IRR) with company-record April production (over 63,000 barrels), which should begin to boost results in Q2–Q3.
• Acacia recorded a large unrealized mark-to-market hedge loss (~$9.7M) because oil hedges are struck near $70 while WTI was $101 at March 31, materially depressing GAAP net income and book value this quarter despite being non-cash.
• Deflecto completed the Portland→Dover consolidation and expects roughly $2M of annualized cost savings with benefits starting in H2 2026, though the company incurred near-term restructuring and CapEx.
• Printronix remained a steady cash generator, producing about $4.8M of cash flow over the past 12 months (~15% yield on acquisition) as it shifts toward a higher-consumables, recurring-revenue model.
• The intellectual property segment was episodic this quarter (only $0.7M revenue and a negative $3.5M adjusted EBITDA) with no Atlas-sized settlement like in Q1 2025, creating near-term volatility despite ongoing enforcement activity in R2/Atlas portfolios.

Acacia Research Stock Down 1.2%

ACTG stock traded down $0.06 during midday trading on Friday, reaching $4.65. The company had a trading volume of 196,571 shares, compared to its average volume of 286,500. Acacia Research has a 1 year low of $3.12 and a 1 year high of $5.27. The company has a current ratio of 9.18, a quick ratio of 8.64 and a debt-to-equity ratio of 0.10. The company has a market capitalization of $448.66 million, a P/E ratio of 20.20 and a beta of 0.49. The company has a 50 day moving average of $4.79 and a two-hundred day moving average of $4.13.

Institutional Investors Weigh In On Acacia Research

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. First Trust Advisors LP lifted its position in Acacia Research by 2.8% in the 2nd quarter. First Trust Advisors LP now owns 114,872 shares of the business services provider’s stock worth $411,000 after buying an additional 3,113 shares in the last quarter. Invesco Ltd. raised its holdings in shares of Acacia Research by 4.4% during the 4th quarter. Invesco Ltd. now owns 77,143 shares of the business services provider’s stock valued at $289,000 after purchasing an additional 3,252 shares in the last quarter. The Manufacturers Life Insurance Company raised its holdings in shares of Acacia Research by 22.7% during the 2nd quarter. The Manufacturers Life Insurance Company now owns 19,016 shares of the business services provider’s stock valued at $68,000 after purchasing an additional 3,517 shares in the last quarter. Geode Capital Management LLC raised its holdings in shares of Acacia Research by 0.4% during the 4th quarter. Geode Capital Management LLC now owns 846,307 shares of the business services provider’s stock valued at $3,166,000 after purchasing an additional 3,525 shares in the last quarter. Finally, Barclays PLC raised its holdings in shares of Acacia Research by 10.8% during the 4th quarter. Barclays PLC now owns 53,468 shares of the business services provider’s stock valued at $200,000 after purchasing an additional 5,203 shares in the last quarter. Hedge funds and other institutional investors own 86.69% of the company’s stock.

Wall Street Analysts Forecast Growth

ACTG has been the subject of several research analyst reports. Wall Street Zen downgraded shares of Acacia Research from a “buy” rating to a “hold” rating in a research report on Saturday, March 14th. Craig Hallum upped their price target on shares of Acacia Research from $5.00 to $6.00 and gave the company a “buy” rating in a research report on Thursday, March 12th. Finally, Weiss Ratings upgraded shares of Acacia Research from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Friday, March 13th. One research analyst has rated the stock with a Buy rating and one has given a Hold rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $6.00.

About Acacia Research

Acacia Research Corporation is a publicly traded patent licensing company based in New York City. The firm specializes in acquiring patented technologies through a network of wholly owned subsidiaries and seeking licensing agreements or settlements with companies that utilize those technologies. Since its founding in 1993, Acacia has built a business model centered on identifying innovative inventions and monetizing them through patent enforcement and strategic partnerships.

The company’s activities span a broad range of technology sectors, including life sciences, medical devices, software, telecommunications and consumer electronics.