Accenture plc - Class A
Exchange: NYSESector: TechnologyIndustry: Information Technology Services
Accenture is a leading global professional services company that helps the world’s leading businesses, governments and other organizations build their digital core, optimize their operations, accelerate revenue growth and enhance citizen services—creating tangible value at speed and scale. We are a talent- and innovation-led company with approximately 801,000 people serving clients in more than 120 countries. Technology is at the core of change today, and we are one of the world’s leaders in helping drive that change, with strong ecosystem relationships. We combine our strength in technology and leadership in cloud, data and AI with unmatched industry experience, functional expertise and global delivery capability. Our broad range of services, solutions and assets across Strategy & Consulting, Technology, Operations, Industry X and Song, together with our culture of shared success and commitment to creating 360° value, enable us to help our clients reinvent and build trusted, lasting relationships. We measure our success by the 360° value we create for our clients, each other, our shareholders, partners and communities.
Did you know?
Trading 93% below its estimated fair value of $388.27.
Current Price
$201.33
+2.17%GoodMoat Value
$388.27
92.9% undervaluedProfile
Valuation (TTM)
Market Cap$133.03B
P/E17.39
EV$131.10B
P/B4.26
Shares Out660.73M
P/Sales1.84
Revenue$72.11B
EV/EBITDA10.10
Accenture plc - Class A (ACN) Stock Analysis
GoodMoat Analysis
Accenture is a global IT services and consulting leader with a durable competitive moat, trading at a price that suggests a significant margin of safety relative to its estimated intrinsic value. Its strong financial quality and moderate growth profile warrant a closer look from a value investor.
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Accenture plc is a global leader in IT services and consulting, providing strategy, digital, technology, and operations services to a vast, diversified client base. Applying the GoodMoat framework, the company demonstrates a potentially durable moat, scoring well on criteria like Switching Costs (mission-critical services with high migration costs), Brand & Culture (significant global brand recognition), and Strategic Partnerships (long-term, mega-contracts with Fortune 500 clients). Its scale and deep industry expertise create significant barriers to entry. Financially, Accenture shows high quality with an ROE of 24.5% (exceeding the 15-20% threshold), a strong FCF Yield of 8.6%, and a conservative Debt/Equity ratio of 0.26. Revenue growth is moderate at 6.0% YoY. The valuation appears favourable. The current P/E of 16.6x is reasonable for a high-quality firm, and the provided GoodMoat Target of $388.27 implies the stock is trading at a deep discount to its estimated intrinsic value, suggesting a substantial margin of safety. Following the Decision Framework, Accenture passes the Moat & Quality Gate with a likely high business score. The combination of a durable moat, strong financials, and a price implying a significant margin of safety makes this a company worth investigating further for a value investor. Analysis based on data as of 2024-05-15.
Market Cap$133.03B
Current Price$201.33
P/E Ratio17.39
Forward P/E—
PEG Ratio4.51
EPS$12.15
Book Value$47.21
P/B Ratio4.26
ACN Financial Charts
FCF vs CAPEX
FCFCAPEX
Forward estimates use 10.3% FCF growth (CAGR)
Cash vs Debt
Net Cash: 3.3B
Revenue
43.2B
FY19
44.3B
FY20
50.5B
FY21
61.6B
FY22
64.1B
FY23
64.9B
FY24
69.7B
FY25
Net Income
4.8B
FY19
5.1B
FY20
5.9B
FY21
6.9B
FY22
6.9B
FY23
7.3B
FY24
7.7B
FY25
ACN 52-Week Range
$191.50
$317.53
50-Day MA: $220.02200-Day MA: $249.30
Did you know?
Earnings per share grew at a 10.3% CAGR.
Accenture plc - Class A (ACN) Financial Summary
Accenture plc - Class A (ACN) is a Technology company in the Information Technology Services industry, listed on NYSE. The stock currently trades at $201.33 with a market capitalization of $133.03B.
Key valuation metrics include a P/E ratio of 17.39, price-to-book ratio of 4.26, and EPS of $12.15. The company reports a profit margin of 10.6% and return on equity of 24.5%.
ACN Key Financial Metrics
| Metric | Value |
|---|---|
| Market Cap | $133.03B |
| P/E Ratio | 17.39 |
| EPS | $12.15 |
| P/B Ratio | 4.26 |
| P/S Ratio | 1.84 |
| EV/EBITDA | 10.10 |
| Dividend Yield | 2.78% |
| Profit Margin | 10.6% |
| Return on Equity | 24.5% |
| Debt/Equity | 0.26 |
ACN Revenue & Earnings History
| Year | Revenue | Net Income |
|---|---|---|
| FY19 | $43.22B | $4.78B |
| FY20 | $44.33B | $5.11B |
| FY21 | $50.53B | $5.91B |
| FY22 | $61.59B | $6.88B |
| FY23 | $64.11B | $6.87B |
| FY24 | $64.90B | $7.26B |
| FY25 | $69.67B | $7.68B |
Accenture plc - Class A (ACN) Valuation
Based on GoodMoat's DCF model, Accenture plc - Class A has a fair value estimate of $388.27. At the current price of $201.33, the stock appears 48.1% undervalued relative to our intrinsic value estimate.
ACN Quality Indicators
Accenture plc - Class A maintains a profit margin of 10.6% and an operating margin of 14.7%. Return on equity stands at 24.5%. The current ratio is 1.42. Debt-to-equity ratio is 0.26.
About Accenture plc - Class A
Accenture is a leading global professional services company that helps the world’s leading businesses, governments and other organizations build their digital core, optimize their operations, accelerate revenue growth and enhance citizen services—creating tangible value at speed and scale. We are a talent- and innovation-led company with approximately 801,000 people serving clients in more than 120 countries. Technology is at the core of change today, and we are one of the world’s leaders in helping drive that change, with strong ecosystem relationships. We combine our strength in technology and leadership in cloud, data and AI with unmatched industry experience, functional expertise and global delivery capability. Our broad range of services, solutions and assets across Strategy & Consulting, Technology, Operations, Industry X and Song, together with our culture of shared success and commitment to creating 360° value, enable us to help our clients reinvent and build trusted, lasting relationships. We measure our success by the 360° value we create for our clients, each other, our shareholders, partners and communities.
ACN Free Cash Flow
Accenture plc - Class A generated $10.87B in trailing twelve-month free cash flow, representing an FCF yield of 8.17%. This strong FCF yield suggests the company generates substantial cash relative to its market value.
ACN Shares Outstanding
Accenture plc - Class A has 0.66 billion shares outstanding at a share price of $201.33, giving it a market capitalization of $133.03B.
ACN Recent Insider Trades
Recent insider transactions at Accenture plc - Class A include:
| Insider | Type | Shares | Value |
|---|---|---|---|
| Sweet Julie Spellman (Chair and CEO) | SELL | 217 | $51235.87 |
| Walsh John F (CEO-The Americas) | SELL | 2 | $471.53 |
| Sweet Julie Spellman (Chair and CEO) | SELL | 1,046 | $249919.11 |