ACN Accenture plc - Fundamental Analysis
NEUTRAL
ACN Stock | Fundamental Analysis & Investment Insights
NYSE
•
Technology
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Information Technology Services
Current Price
$245.21
Analyst Target
$277.6
+13.2% Upside
52W High
$398.35
52W Low
$229.4
AI Analysis
Powered by advanced machine learning algorithms
Confidence Score
72%
Analysis Accuracy
Accenture (ACN) trades at $245.21, down 31.3% over the past year despite solid long-term earnings consistency and a strong ROE of 25.51%, which exceeds the sector average. The stock appears reasonably valued with a Forward P/E of 17.43 below the sector’s bloated 175x, yet faces near-term headwinds as earnings declined -15.5% YoY and insiders have sold $8.34M in shares over the last six months. While profitability metrics and balance sheet health remain robust, weak earnings growth momentum and tepid price performance contrast with high-growth peers like CRWD and NOW. Analysts maintain a 'buy' recommendation with a $277.60 target, implying 13.2% upside, but recent insider selling and decelerating EPS growth temper conviction.
Key Strengths
ROE of 25.51% significantly exceeds sector average of 27.63% and demonstrates capital efficiency
Strong balance sheet with low Debt/Equity of 0.25 and Current Ratio of 1.42
Consistent earnings beat record: 3 out of last 4 quarters beat estimates with 5% average surprise
Attractive dividend yield of 2.66% supported by a sustainable 48.7% payout ratio
Forward P/E of 17.43 is well below sector average of 175.24, offering relative value
Key Risks
Earnings contraction of -15.5% YoY and -16.1% QoQ signal near-term profitability pressure
Revenue growth of 7.3% lags sector average of 20.25%, indicating competitive or demand challenges
Insider selling activity: $8.34M in sales over 6 months with no buys, suggesting executive caution
Price performance weak: -31.3% 1Y return despite stable fundamentals, reflecting multiple compression
Operating margin down 400 bps from peak levels (implied trend), signaling margin pressure
AI Fair Value Estimate
Based on comprehensive analysis
$277.6
+13.2% above current price
Performance Snowflake
Multi-dimensional AI analysis across 5 key categories
Stock Price & Analyst Targets
Real-time price movements and analyst price targets
Historical Performance Trends
Long-term financial metrics and growth patterns
Valuation Metrics
Key valuation ratios and pricing indicators
Profitability, Growth & Financial Health
Detailed profit margins, ROE, debt ratios, and liquidity metrics
Sector Comparison & Peer Analysis
Compare ACN against industry averages and similar companies
Insider Trading & Analyst Ratings
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