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Accenture (ACN) Gains But Lags Market: What You Should Know
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Accenture (ACN - Free Report) closed at $316.17 in the latest trading session, marking a +0.96% move from the prior day. This move lagged the S&P 500's daily gain of 1.5%. Meanwhile, the Dow gained 0.28%, and the Nasdaq, a tech-heavy index, added 0.52%.
Heading into today, shares of the consulting company had lost 5.07% over the past month, outpacing the Business Services sector's loss of 5.56% and lagging the S&P 500's loss of 3.75% in that time.
Investors will be hoping for strength from Accenture as it approaches its next earnings release, which is expected to be March 17, 2022. In that report, analysts expect Accenture to post earnings of $2.36 per share. This would mark year-over-year growth of 16.26%. Meanwhile, our latest consensus estimate is calling for revenue of $14.66 billion, up 21.31% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $10.54 per share and revenue of $59.85 billion. These totals would mark changes of +19.77% and +18.44%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Accenture. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Accenture is currently sporting a Zacks Rank of #2 (Buy).
In terms of valuation, Accenture is currently trading at a Forward P/E ratio of 29.71. Its industry sports an average Forward P/E of 19.41, so we one might conclude that Accenture is trading at a premium comparatively.
It is also worth noting that ACN currently has a PEG ratio of 2.97. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. ACN's industry had an average PEG ratio of 1.1 as of yesterday's close.
The Consulting Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 74, which puts it in the top 30% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Accenture (ACN) Gains But Lags Market: What You Should Know
Accenture (ACN - Free Report) closed at $316.17 in the latest trading session, marking a +0.96% move from the prior day. This move lagged the S&P 500's daily gain of 1.5%. Meanwhile, the Dow gained 0.28%, and the Nasdaq, a tech-heavy index, added 0.52%.
Heading into today, shares of the consulting company had lost 5.07% over the past month, outpacing the Business Services sector's loss of 5.56% and lagging the S&P 500's loss of 3.75% in that time.
Investors will be hoping for strength from Accenture as it approaches its next earnings release, which is expected to be March 17, 2022. In that report, analysts expect Accenture to post earnings of $2.36 per share. This would mark year-over-year growth of 16.26%. Meanwhile, our latest consensus estimate is calling for revenue of $14.66 billion, up 21.31% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $10.54 per share and revenue of $59.85 billion. These totals would mark changes of +19.77% and +18.44%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Accenture. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Accenture is currently sporting a Zacks Rank of #2 (Buy).
In terms of valuation, Accenture is currently trading at a Forward P/E ratio of 29.71. Its industry sports an average Forward P/E of 19.41, so we one might conclude that Accenture is trading at a premium comparatively.
It is also worth noting that ACN currently has a PEG ratio of 2.97. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. ACN's industry had an average PEG ratio of 1.1 as of yesterday's close.
The Consulting Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 74, which puts it in the top 30% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.