ACN vs. CSCO: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at ACN and CSCO, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
ACN’s market capitalization stands at 190.80 billion USD, while CSCO’s is 274.71 billion USD, indicating their market valuations are broadly comparable.
ACN’s beta of 1.33 points to significantly higher volatility compared to CSCO (beta: 0.88), suggesting ACN has greater potential for both gains and losses relative to market movements.
| Symbol | ACN | CSCO |
|---|---|---|
| Company Name | Accenture plc | Cisco Systems, Inc. |
| Country | IE | US |
| Sector | Technology | Technology |
| Industry | Information Technology Services | Communication Equipment |
| CEO | Julie T. Spellman Sweet | Charles H. Robbins |
| Price | 304.78 USD | 69.37 USD |
| Market Cap | 190.80 billion USD | 274.71 billion USD |
| Beta | 1.33 | 0.88 |
| Exchange | NYSE | NASDAQ |
| IPO Date | July 19, 2001 | February 16, 1990 |
| ADR | No | No |
Historical Performance
This chart compares the performance of ACN and CSCO by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.
Data is adjusted for dividends and splits.
Profitability
Return on Equity
ACN
27.11%
Information Technology Services Industry
- Max
- 47.24%
- Q3
- 23.27%
- Median
- 12.85%
- Q1
- 2.22%
- Min
- -26.63%
In the upper quartile for the Information Technology Services industry, ACN’s Return on Equity of 27.11% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
CSCO
21.50%
Communication Equipment Industry
- Max
- 30.07%
- Q3
- 8.07%
- Median
- 1.84%
- Q1
- -11.93%
- Min
- -31.65%
In the upper quartile for the Communication Equipment industry, CSCO’s Return on Equity of 21.50% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
Return on Invested Capital
ACN
17.83%
Information Technology Services Industry
- Max
- 28.29%
- Q3
- 13.19%
- Median
- 7.24%
- Q1
- 0.23%
- Min
- -18.82%
In the upper quartile for the Information Technology Services industry, ACN’s Return on Invested Capital of 17.83% signifies a highly effective use of its capital to generate profits when compared to its peers.
CSCO
11.48%
Communication Equipment Industry
- Max
- 11.59%
- Q3
- 6.61%
- Median
- 2.97%
- Q1
- -2.58%
- Min
- -13.18%
In the upper quartile for the Communication Equipment industry, CSCO’s Return on Invested Capital of 11.48% signifies a highly effective use of its capital to generate profits when compared to its peers.
Net Profit Margin
ACN
11.61%
Information Technology Services Industry
- Max
- 20.47%
- Q3
- 11.62%
- Median
- 5.97%
- Q1
- 1.89%
- Min
- -4.62%
ACN’s Net Profit Margin of 11.61% is aligned with the median group of its peers in the Information Technology Services industry. This indicates its ability to convert revenue into profit is typical for the sector.
CSCO
17.60%
Communication Equipment Industry
- Max
- 23.65%
- Q3
- 9.21%
- Median
- 2.46%
- Q1
- -8.56%
- Min
- -29.87%
A Net Profit Margin of 17.60% places CSCO in the upper quartile for the Communication Equipment industry, signifying strong profitability and more effective cost management than most of its peers.
Operating Profit Margin
ACN
15.38%
Information Technology Services Industry
- Max
- 29.42%
- Q3
- 14.75%
- Median
- 8.92%
- Q1
- 2.62%
- Min
- -11.92%
An Operating Profit Margin of 15.38% places ACN in the upper quartile for the Information Technology Services industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
CSCO
20.30%
Communication Equipment Industry
- Max
- 30.72%
- Q3
- 11.64%
- Median
- 5.79%
- Q1
- -2.28%
- Min
- -18.20%
An Operating Profit Margin of 20.30% places CSCO in the upper quartile for the Communication Equipment industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
Profitability at a Glance
| Symbol | ACN | CSCO |
|---|---|---|
| Return on Equity (TTM) | 27.11% | 21.50% |
| Return on Assets (TTM) | 12.55% | 8.17% |
| Return on Invested Capital (TTM) | 17.83% | 11.48% |
| Net Profit Margin (TTM) | 11.61% | 17.60% |
| Operating Profit Margin (TTM) | 15.38% | 20.30% |
| Gross Profit Margin (TTM) | 32.07% | 65.24% |
Financial Strength
Current Ratio
ACN
1.46
Information Technology Services Industry
- Max
- 3.41
- Q3
- 2.37
- Median
- 1.58
- Q1
- 1.20
- Min
- 0.00
ACN’s Current Ratio of 1.46 aligns with the median group of the Information Technology Services industry, indicating that its short-term liquidity is in line with its sector peers.
CSCO
0.95
Communication Equipment Industry
- Max
- 3.40
- Q3
- 2.59
- Median
- 1.62
- Q1
- 1.32
- Min
- 0.86
CSCO’s Current Ratio of 0.95 falls into the lower quartile for the Communication Equipment industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
Debt-to-Equity Ratio
ACN
0.19
Information Technology Services Industry
- Max
- 2.63
- Q3
- 1.16
- Median
- 0.48
- Q1
- 0.09
- Min
- 0.01
ACN’s Debt-to-Equity Ratio of 0.19 is typical for the Information Technology Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
CSCO
0.64
Communication Equipment Industry
- Max
- 1.82
- Q3
- 1.00
- Median
- 0.53
- Q1
- 0.20
- Min
- 0.02
CSCO’s Debt-to-Equity Ratio of 0.64 is typical for the Communication Equipment industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio
ACN
210.82
Information Technology Services Industry
- Max
- 17.52
- Q3
- 10.04
- Median
- 4.66
- Q1
- 0.80
- Min
- -10.50
With an Interest Coverage Ratio of 210.82, ACN demonstrates a superior capacity to service its debt, placing it well above the typical range for the Information Technology Services industry. This stems from either robust earnings or a conservative debt load.
CSCO
6.87
Communication Equipment Industry
- Max
- 16.12
- Q3
- 9.22
- Median
- 2.52
- Q1
- -0.75
- Min
- -12.07
CSCO’s Interest Coverage Ratio of 6.87 is positioned comfortably within the norm for the Communication Equipment industry, indicating a standard and healthy capacity to cover its interest payments.
Financial Strength at a Glance
| Symbol | ACN | CSCO |
|---|---|---|
| Current Ratio (TTM) | 1.46 | 0.95 |
| Quick Ratio (TTM) | 1.46 | 0.87 |
| Debt-to-Equity Ratio (TTM) | 0.19 | 0.64 |
| Debt-to-Asset Ratio (TTM) | 0.09 | 0.24 |
| Net Debt-to-EBITDA Ratio (TTM) | -0.32 | 1.39 |
| Interest Coverage Ratio (TTM) | 210.82 | 6.87 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for ACN and CSCO. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
ACN
1.88%
Information Technology Services Industry
- Max
- 16.57%
- Q3
- 1.39%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
With a Dividend Yield of 1.88%, ACN offers a more attractive income stream than most of its peers in the Information Technology Services industry, signaling a strong commitment to shareholder returns.
CSCO
2.34%
Communication Equipment Industry
- Max
- 4.72%
- Q3
- 0.38%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
With a Dividend Yield of 2.34%, CSCO offers a more attractive income stream than most of its peers in the Communication Equipment industry, signaling a strong commitment to shareholder returns.
Dividend Payout Ratio
ACN
45.10%
Information Technology Services Industry
- Max
- 112.81%
- Q3
- 20.98%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ACN’s Dividend Payout Ratio of 45.10% is in the upper quartile for the Information Technology Services industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.
CSCO
65.54%
Communication Equipment Industry
- Max
- 91.96%
- Q3
- 26.44%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
CSCO’s Dividend Payout Ratio of 65.54% is in the upper quartile for the Communication Equipment industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.
Dividend at a Glance
| Symbol | ACN | CSCO |
|---|---|---|
| Dividend Yield (TTM) | 1.88% | 2.34% |
| Dividend Payout Ratio (TTM) | 45.10% | 65.54% |
Valuation
Price-to-Earnings Ratio
ACN
23.94
Information Technology Services Industry
- Max
- 49.12
- Q3
- 36.91
- Median
- 24.84
- Q1
- 15.88
- Min
- 1.55
ACN’s P/E Ratio of 23.94 is within the middle range for the Information Technology Services industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
CSCO
28.20
Communication Equipment Industry
- Max
- 44.37
- Q3
- 41.98
- Median
- 30.61
- Q1
- 23.44
- Min
- 2.14
CSCO’s P/E Ratio of 28.20 is within the middle range for the Communication Equipment industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
Forward P/E to Growth Ratio
ACN
2.73
Information Technology Services Industry
- Max
- 5.35
- Q3
- 3.79
- Median
- 2.23
- Q1
- 1.19
- Min
- 0.03
ACN’s Forward PEG Ratio of 2.73 is within the middle range of its peers in the Information Technology Services industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.
CSCO
3.99
Communication Equipment Industry
- Max
- 15.97
- Q3
- 6.99
- Median
- 2.78
- Q1
- 0.66
- Min
- 0.05
The Forward PEG Ratio is often not a primary valuation metric in the Communication Equipment industry.
Price-to-Sales Ratio
ACN
2.79
Information Technology Services Industry
- Max
- 8.15
- Q3
- 4.17
- Median
- 2.14
- Q1
- 1.00
- Min
- 0.10
ACN’s P/S Ratio of 2.79 aligns with the market consensus for the Information Technology Services industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
CSCO
4.94
Communication Equipment Industry
- Max
- 6.38
- Q3
- 3.88
- Median
- 2.17
- Q1
- 1.15
- Min
- 0.37
CSCO’s P/S Ratio of 4.94 is in the upper echelon for the Communication Equipment industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.
Price-to-Book Ratio
ACN
6.23
Information Technology Services Industry
- Max
- 11.78
- Q3
- 6.14
- Median
- 3.23
- Q1
- 1.97
- Min
- 0.42
The P/B Ratio is often not a primary valuation metric for the Information Technology Services industry.
CSCO
6.01
Communication Equipment Industry
- Max
- 14.42
- Q3
- 7.01
- Median
- 3.09
- Q1
- 1.38
- Min
- 0.41
CSCO’s P/B Ratio of 6.01 is within the conventional range for the Communication Equipment industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
Valuation at a Glance
| Symbol | ACN | CSCO |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 23.94 | 28.20 |
| Forward PEG Ratio (TTM) | 2.73 | 3.99 |
| Price-to-Sales Ratio (P/S, TTM) | 2.79 | 4.94 |
| Price-to-Book Ratio (P/B, TTM) | 6.23 | 6.01 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 60.08 | 21.46 |
| EV-to-EBITDA (TTM) | 15.83 | 19.54 |
| EV-to-Sales (TTM) | 2.73 | 5.32 |