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Accenture's GenAI Services: Will This Create Growth Wave?

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Key Takeaways

  • Accenture launched Reinvention Services to unify its strategy, consulting, tech and AI offerings.
  • GenAI success lifted bookings to $5.9B and tripled revenues to $2.7B in fiscal 2025.
  • New alliances with Google Cloud and Microsoft aim to boost client reinvention through GenAI.

Accenture (ACN - Free Report) has recently announced a revamp of its growth model and leadership focus on GenAI.The company disclosed its motivation to act as its clients’ reinvention partner of choice and lead in GenAI.

Effective from September 2025, Accenture brought its core services — strategy, consulting, Song, technology and operations, deep industry and functional experience, and unmatched tech ecosystem partnerships — under an umbrella called Reinvention Services. This newly formed business unit will create leading solutions faster and embed data and AI swiftly into its solutions and delivery under the leadership of Manish Sharma, Accenture’s CEO of the Americas.

Early success from Reinvention Services was witnessed by Accenture, where nearly 80% of its large deals encompass multiple AI-enabled services. Efforts in GenAI drove tangible results for the company as bookings nearly doubled to $5.9 billion in fiscal 2025. The company was handed over with 6,000 projects and, most importantly, revenues tripled to $2.7 billion.

At the beginning of this year, Accenture launched AI Refinery, built with NVIDIA AI Enterprise software. The goal is to assist organizations in building and deploying a network of AI agents swiftly to improve their workforce, address industry-centric problems and drive business value faster. This decision was made banking on the company’s support for more than 2,000 projects in GenAI reinvention for clients.

Accenture is not shy of partnering with tech giants to drive its GenAI growth. On Thursday, ACN and Google Cloud announced their alliance to drive client reinvention with Gemini Enterprise agentic AI solutions. The aim is to create a new agentic platform designed to bring Google AI’s full power to employees and workflow.

Similarly, in July, the company announced the expansion of its collaboration with Microsoft to develop advanced GenAI-driven cyber solutions, helping organizations mitigate threats while controlling operational costs. At the beginning of the year, Telstra and Accenture announced a proposed joint venture, wherein Telstra would benefit from Accenture’s $3-billion AI investment in assets, ventures and others.

Accenture’s readiness to dive into the next wave of digital transformation as AI adoption boosts is impressive. The consolidation of business units, an improving top line as bookings rise and partnerships position GenAI as the primary growth driver in the long haul.

ACN’s Price Performance, Valuation & Estimates

Accenture has lost 30.1% in the past year compared with a 13.5% decline in its industry and 18.3% growth in the Zacks S&P 500 Composite. The stock has underperformed its industry peers Genpact (G - Free Report) and Leidos’s (LDOS - Free Report) 3.2% and 16.1% growth, respectively.

1-Year Price Performance

 

Zacks Investment ResearchImage Source: Zacks Investment Research

 

From a valuation standpoint, ACN trades at a forward price-to-earnings ratio of 18.19, below the industry’s 26.39. However, the stock is trading at a premium when compared with Genpact’s 10.63 and Leidos’s 16.67.

P/E - F12M

 

Zacks Investment ResearchImage Source: Zacks Investment Research

 

Accenture and Leidos have a Value Score of B. Genpact carries a Value Score of A.

The Zacks Consensus Estimate for ACN’s earnings for fiscal 2026 and 2027 has increased 0.4% and 0.5%, respectively, over the past 60 days.

 

Zacks Investment ResearchImage Source: Zacks Investment Research

 

ACN carries a Zacks Rank #3 (Hold) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.


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