Accenture (ACN) Stock Analysis
This is a peer-relative look at Accenture (ACN): its performance, risk, profitability, growth, financial strength, dividend, and valuation are each measured against its Software & Services peers, so every number reads in context rather than in isolation.
Company Profile
| Profile Item | ACN |
|---|---|
| Name | Accenture plc |
| Country/Region | Ireland |
| GICS Sector | Information Technology |
| GICS Industry Group | Software & Services |
| GICS Industry | IT Services |
| GICS Sub-Industry | IT Consulting & Other Services |
| Market Capitalization | 153.89 billion USD |
| Currency | USD |
| Exchange | NYSE |
| Listing Date | July 19, 2001 |
| Security Type | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | Current stock: ACN | Industry group median |
|---|---|---|
| Total Return (1Y) | 7.87% | -3.00% |
| Total Return (3Y, Annualized) | -4.56% | 8.28% |
| Total Return (5Y, Annualized) | -5.20% | -7.91% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | Current stock: ACN | Industry group median |
|---|---|---|
| Volatility (1Y, Annualized) | 50.02% | 61.69% |
| Beta (5Y) | 1.00 | 1.06 |
| Max Drawdown (5Y) | -68.17% | -76.52% |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | Current stock: ACN | Industry group median |
|---|---|---|
| Sharpe Ratio (1Y) | 0.07 | -0.13 |
| Sortino Ratio (1Y) | 0.10 | -0.19 |
Profitability
ROE (TTM)
Accenture (ACN) posts ROE of 26.03%, in the upper peer quartile. That suggests the company earns more from each dollar of shareholders’ equity than most industry peers, a useful capital-efficiency signal.
ACN
Software & Services industry group
26.03%
Group distribution
- Max
- 53.85%
- ACN
- 26.03%
- Q3
- 17.90%
- Median
- 6.59%
- Q1
- -9.59%
- Min
- -50.52%
Largest peers
- ORCL
- 41.19%
- PLTR
- 40.91%
- IBM
- 34.77%
- MSFT
- 34.22%
- ACN
- 26.03%
- SAP
- 18.18%
- PANW
- 1.74%
Net Margin (TTM)
Accenture (ACN) keeps 11.28% of revenue as net profit, roughly in line with the peer group’s normal net margin range. Its full cost stack is taking a typical share of sales for the industry.
ACN
Software & Services industry group
11.28%
Group distribution
- Max
- 41.17%
- Q3
- 15.28%
- ACN
- 11.28%
- Median
- 4.63%
- Q1
- -5.42%
- Min
- -33.17%
Largest peers
- PLTR
- 50.34%
- MSFT
- 41.17%
- ORCL
- 26.36%
- SAP
- 20.41%
- IBM
- 15.99%
- ACN
- 11.28%
- PANW
- 2.67%
Operating Margin (TTM)
Accenture (ACN) turns 17.83% of revenue into operating profit, putting operating margin in the upper peer quartile. Before financing and taxes enter the picture, the day-to-day business keeps more of each sales dollar than most industry peers.
ACN
Software & Services industry group
17.83%
Group distribution
- Max
- 46.89%
- ACN
- 17.83%
- Q3
- 17.64%
- Median
- 8.73%
- Q1
- -2.13%
- Min
- -30.45%
Largest peers
- MSFT
- 49.76%
- PLTR
- 46.89%
- ORCL
- 35.63%
- SAP
- 29.50%
- ACN
- 17.83%
- IBM
- 16.97%
- PANW
- 5.40%
Profitability Metrics
| Metric | Current stock: ACN | Industry group median |
|---|---|---|
| ROE (TTM) | 26.03% | 6.59% |
| ROA (TTM) | 10.95% | 2.45% |
| Net Margin (TTM) | 11.28% | 4.63% |
| Operating Margin (TTM) | 17.83% | 8.73% |
| Gross Margin (TTM) | 32.05% | 70.07% |
Growth
Revenue Growth
Accenture (ACN) grew revenue 6.47%, in the lower peer quartile. The top line is expanding more slowly than at most peers, which can reflect softer demand, lost share, or weaker pricing.
EPS Growth
Accenture (ACN) grew earnings per share 11.60%, roughly around the peer group's normal range. Bottom-line momentum looks broadly typical for the industry.
Growth Metrics
| Metric | Current stock: ACN | Industry group median |
|---|---|---|
| Revenue Growth (YoY) | 6.47% | 14.22% |
| Revenue Growth (3Y CAGR) | 4.98% | 13.52% |
| EPS Growth (YoY) | 11.60% | 7.85% |
| EPS Growth (3Y CAGR) | 7.98% | 18.19% |
Financial Strength
Current Ratio (MRQ)
Accenture (ACN) has current ratio of 1.43, in the healthier middle range for its industry. The short-term asset cushion looks balanced relative to peers rather than stretched thin.
ACN
Software & Services industry group
1.43
Group distribution
- Max
- 5.11
- Q3
- 2.77
- Median
- 1.67
- ACN
- 1.43
- Q1
- 1.01
- Min
- 0.03
Largest peers
- PLTR
- 7.10
- ACN
- 1.43
- MSFT
- 1.23
- ORCL
- 1.17
- SAP
- 1.16
- PANW
- 0.87
- IBM
- 0.86
Debt / Equity (MRQ)
Accenture (ACN) has debt-to-equity ratio of 0.40, roughly in line with the peer group’s normal leverage range. Its mix of debt and equity looks typical for the industry.
ACN
Software & Services industry group
0.40
Group distribution
- Max
- 2.52
- Q3
- 1.13
- Median
- 0.40
- ACN
- 0.40
- Q1
- 0.07
- Min
- 0.00
Largest peers
- ORCL
- 2.52
- IBM
- 1.85
- ACN
- 0.40
- MSFT
- 0.28
- SAP
- 0.23
- PANW
- 0.09
- PLTR
- 0.02
Financial Strength Metrics
| Metric | Current stock: ACN | Industry group median |
|---|---|---|
| Current Ratio (MRQ) | 1.43 | 1.67 |
| Debt / Equity (MRQ) | 0.40 | 0.40 |
| Net Debt / EBITDA | 0.04 | 0.17 |
Dividends
Dividend Yield (TTM)
Accenture (ACN) has dividend yield of 2.49%, above the entire industry range. That headline income is large, but yields this far above peers often come from a falling share price or an at-risk payout, so dividend safety matters more than the percentage itself.
ACN
Software & Services industry group
2.49%
Group distribution
- ACN
- 2.49%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Largest peers
- IBM
- 2.73%
- ACN
- 2.49%
- ORCL
- 1.74%
- SAP
- 1.03%
- MSFT
- 0.69%
- PLTR
- 0.00%
- PANW
- 0.00%
Dividend Payout Ratio (TTM)
Accenture (ACN) has payout ratio of 48.08%, above the peer distribution for its industry. The dividend consumes more reported earnings than peers normally do, leaving unusually thin earnings cover.
ACN
Software & Services industry group
48.08%
Group distribution
- ACN
- 48.08%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Largest peers
- IBM
- 57.51%
- ACN
- 48.08%
- SAP
- 36.45%
- ORCL
- 31.35%
- MSFT
- 19.00%
- PLTR
- 0.00%
- PANW
- 0.00%
Dividend Metrics
| Metric | Current stock: ACN | Industry group median |
|---|---|---|
| Dividend Yield (TTM) | 2.49% | 0.00% |
| Dividend Payout Ratio (TTM) | 48.08% | 0.00% |
Valuation
P/E Ratio (TTM)
Accenture (ACN) trades at P/E ratio of 19.21, near the industry’s usual earnings multiple. The stock is not showing a clear peer discount or premium on trailing earnings.
ACN
Software & Services industry group
19.21
Group distribution
- Max
- 112.94
- Q3
- 60.32
- Median
- 32.91
- ACN
- 19.21
- Q1
- 18.77
- Min
- 6.69
Largest peers
- PANW
- 784.60
- PLTR
- 112.94
- SAP
- 29.07
- MSFT
- 27.69
- IBM
- 20.90
- ACN
- 19.21
- ORCL
- 18.20
P/S Ratio (TTM)
Accenture (ACN) trades at 2.07 on P/S ratio, in the lower sales-valuation quartile for its industry. That points to a cheaper revenue stream than most peers, with margin quality still doing the heavy lifting.
ACN
Software & Services industry group
2.07
Group distribution
- Max
- 17.91
- Q3
- 8.78
- Median
- 4.25
- Q1
- 2.23
- ACN
- 2.07
- Min
- 0.02
Largest peers
- PLTR
- 53.02
- PANW
- 22.37
- MSFT
- 11.37
- SAP
- 6.84
- ORCL
- 5.04
- IBM
- 3.31
- ACN
- 2.07
P/B Ratio (MRQ)
Accenture (ACN) trades at 4.91 on P/B ratio, roughly in line with the industry’s normal price-to-book range. Its balance sheet is not being priced at a clear discount or premium versus peers.
ACN
Software & Services industry group
4.91
Group distribution
- Max
- 16.63
- Q3
- 8.50
- ACN
- 4.91
- Median
- 4.30
- Q1
- 1.92
- Min
- -3.90
Largest peers
- SAP
- 73.25
- PLTR
- 34.41
- PANW
- 9.30
- MSFT
- 8.38
- IBM
- 6.52
- ORCL
- 5.68
- ACN
- 4.91
Valuation Metrics
| Metric | Current stock: ACN | Industry group median |
|---|---|---|
| P/E Ratio (TTM) | 19.21 | 32.91 |
| P/S Ratio (TTM) | 2.07 | 4.25 |
| P/B Ratio (MRQ) | 4.91 | 4.30 |
| Free Cash Flow Yield (TTM) | 6.94% | 3.98% |