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Accenture (ACN) Dips More Than Broader Markets: What You Should Know
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Accenture (ACN - Free Report) closed the most recent trading day at $275.12, moving -0.5% from the previous trading session. This change lagged the S&P 500's 0.38% loss on the day. At the same time, the Dow lost 0.5%, and the tech-heavy Nasdaq lost 0.46%.
Coming into today, shares of the consulting company had lost 3.38% in the past month. In that same time, the Business Services sector lost 6.05%, while the S&P 500 lost 6.69%.
Accenture will be looking to display strength as it nears its next earnings release, which is expected to be June 23, 2022. In that report, analysts expect Accenture to post earnings of $2.84 per share. This would mark year-over-year growth of 18.33%. Our most recent consensus estimate is calling for quarterly revenue of $16.06 billion, up 21.12% from the year-ago period.
ACN's full-year Zacks Consensus Estimates are calling for earnings of $10.80 per share and revenue of $62.08 billion. These results would represent year-over-year changes of +22.73% and +22.85%, respectively.
It is also important to note the recent changes to analyst estimates for Accenture. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. The Zacks Consensus EPS estimate remained stagnant within the past month. Accenture is currently a Zacks Rank #3 (Hold).
Investors should also note Accenture's current valuation metrics, including its Forward P/E ratio of 25.6. Its industry sports an average Forward P/E of 19.3, 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 2.56. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Consulting Services stocks are, on average, holding a PEG ratio of 1.28 based on yesterday's closing prices.
The Consulting Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 34, which puts it in the top 14% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Accenture (ACN) Dips More Than Broader Markets: What You Should Know
Accenture (ACN - Free Report) closed the most recent trading day at $275.12, moving -0.5% from the previous trading session. This change lagged the S&P 500's 0.38% loss on the day. At the same time, the Dow lost 0.5%, and the tech-heavy Nasdaq lost 0.46%.
Coming into today, shares of the consulting company had lost 3.38% in the past month. In that same time, the Business Services sector lost 6.05%, while the S&P 500 lost 6.69%.
Accenture will be looking to display strength as it nears its next earnings release, which is expected to be June 23, 2022. In that report, analysts expect Accenture to post earnings of $2.84 per share. This would mark year-over-year growth of 18.33%. Our most recent consensus estimate is calling for quarterly revenue of $16.06 billion, up 21.12% from the year-ago period.
ACN's full-year Zacks Consensus Estimates are calling for earnings of $10.80 per share and revenue of $62.08 billion. These results would represent year-over-year changes of +22.73% and +22.85%, respectively.
It is also important to note the recent changes to analyst estimates for Accenture. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. The Zacks Consensus EPS estimate remained stagnant within the past month. Accenture is currently a Zacks Rank #3 (Hold).
Investors should also note Accenture's current valuation metrics, including its Forward P/E ratio of 25.6. Its industry sports an average Forward P/E of 19.3, 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 2.56. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Consulting Services stocks are, on average, holding a PEG ratio of 1.28 based on yesterday's closing prices.
The Consulting Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 34, which puts it in the top 14% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.