Back to top

Image: Bigstock

Accenture (ACN) Stock Moves -0.17%: What You Should Know

Read MoreHide Full Article

Accenture (ACN - Free Report) closed at $308 in the latest trading session, marking a -0.17% move from the prior day. The stock outperformed the S&P 500, which registered a daily loss of 0.21%. Elsewhere, the Dow lost 0.1%, while the tech-heavy Nasdaq lost 0.26%.

The the stock of consulting company has fallen by 1.91% in the past month, lagging the Business Services sector's gain of 3.14% and the S&P 500's gain of 5.04%.

The investment community will be paying close attention to the earnings performance of Accenture in its upcoming release. The company's upcoming EPS is projected at $3.14, signifying a 1.57% drop compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $16.57 billion, reflecting a 0.01% rise from the equivalent quarter last year.

ACN's full-year Zacks Consensus Estimates are calling for earnings of $12.09 per share and revenue of $65.31 billion. These results would represent year-over-year changes of +3.6% and +1.87%, respectively.

Investors should also note any recent changes to analyst estimates for Accenture. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Accenture currently has a Zacks Rank of #4 (Sell).

Investors should also note Accenture's current valuation metrics, including its Forward P/E ratio of 25.51. This denotes a premium relative to the industry's average Forward P/E of 24.03.

One should further note that ACN currently holds a PEG ratio of 2.92. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As the market closed yesterday, the Consulting Services industry was having an average PEG ratio of 1.46.

The Consulting Services industry is part of the Business Services sector. This industry, currently bearing a Zacks Industry Rank of 73, finds itself in the top 29% echelons of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual 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.

Remember to apply to follow these and more stock-moving metrics during the upcoming trading sessions.

See More Zacks Research for These Tickers

Normally $25 each - click below to receive one report FREE:

Accenture PLC (ACN) - free report >>

Published in