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Accenture (ACNN) AI Stock Analysis

MX:ACNN

Accenture

(BMV:ACNN)

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Positive Factors
Profitable, cash-generative modelAccenture combines strong profitability with high cash conversion, indicating that reported earnings are supported by substantial underlying cash generation. This financial profile provides capacity to fund acquisitions, technology investment, talent development, dividends and buybacks while maintaining resilience through normal demand fluctuations.
Negative Factors
Organic growth is deceleratingThe outlook indicates that underlying growth may slow even as acquisitions contribute 2% to 2.5% of fiscal 2027 revenue growth. A lower organic trajectory could reflect more measured client spending and would require continued execution, innovation and cross-selling to sustain expansion.

Accenture (ACNN) vs. SPDR S&P 500 ETF (SPY)

-60%-50%-40%-30%-20%-10%0%10%20%MX:ACNN+10.61%SPY+11.79%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
MXN 158.03B
Dividend Yield
2.51%
Average Volume (3M)
1,605
Price to Earnings (P/E)
18.9
Beta (1Y)
0.19
Revenue Growth
-4.35%
EPS Growth
-0.43%
Country
Mexico
Employees
814,000
Sector
Technology
Sector Strength
61
Industry
Information Technology Services

Accenture Business Overview & Revenue Model

Company Description

Accenture plc is a global professional services firm that delivers a wide array of strategy, consulting, interactive, technology, and operations services worldwide. Its comprehensive offerings include application services such as agile transformation...

Accenture Earnings Call Summary

Earnings Call Date:Sep 30, 2026(Q4-2026)|% Change Since:48.79%|Next Earnings Date:Dec 16, 2026
Earnings Call SentimentPositive

The call was strongly positive, supported by Q4 revenue and bookings above guidance, broad-based growth, margin and EPS expansion, record free cash flow and shareholder returns, continued AI demand, and a constructive fiscal 2027 outlook. The company also acknowledged meaningful challenges, including the approximately $1 billion annualized Middle East headwind, uncertain discretionary spending, intense competition, lower pricing in some areas, lumpy managed services bookings and AI-related productivity and renewal pressure. Overall, the highlights significantly outweighed the lowlights.

Positive Updates

Q4 Revenue Growth Above Guidance
Q4 revenue was $18.7 billion, increasing 6% in U.S. dollars and 7% in local currency, above the top end of the guided range. Growth was broad-based across markets, industries and both types of work.

Negative Updates

Middle East Headwind Worsened
The direct impact from the Middle East continued to be a headwind and worsened in Q4. Management said the impact is roughly $1 billion on an annualized basis and expects it to continue in fiscal 2027; the top end of guidance assumes no growth from it, while the bottom end allows for deterioration.

Company Guidance

For the first quarter of fiscal '27, Accenture expects revenues to be in the range of $18.95 billion to $19.6 billion, assuming the impact of FX will be about negative 1% compared to the first quarter of fiscal '26 and reflecting an estimated 2% to 6% growth in local currency. For full fiscal '27, it assumes the impact of FX on results in U.S. dollars will be about flat compared to fiscal '26, revenue growth in the range of 3% to 6% in local currency, an inorganic contribution of 2% to 2.5%, operating margin of 15.9% to 16.1%, a 10 to 30 basis point expansion, an annual effective tax rate in the range of 24.5% to 26.5%, diluted earnings per share in the range of $14.39 to $14.81 or 3% to 6% growth, operating cash flow in the range of $11.9 billion to $12.7 billion, property and equipment additions of approximately $900 million, and free cash flow in the range of $11 billion to $11.8 billion with a free cash flow to net income ratio of 1.2 to 1.3. Accenture currently expects to deploy another approximately $5 billion in acquisitions, return at least $9.5 billion to shareholders through dividends growing 5% per share and $5.5 billion in share repurchases, reduce its weighted average share count by approximately 3%, and pay a quarterly cash dividend of $1.71 per share.

Accenture Risk Analysis

Accenture disclosed 21 risk factors in its most recent earnings report. Accenture reported the most risks in the "Finance & Corporate" category.

Higher RiskSector Avg.Lower RiskFinance & CorporateTech & InnovationLegal & RegulatoryProductionAbility to SellMacro & Political
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Latest Risks Added

0 New Risks

Accenture Peers Comparison

Overall Rating

UnderperformOutperform
Sector (61)

Financial Indicators

MX:ACNN against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
INFYINFY80Outperform$50.52B20.9534.59%4.17%-1.35%3.37%
GG79Outperform$6.63B11.6522.91%1.85%6.89%11.22%
IBMIBM79Outperform$243.66B21.6632.95%2.61%6.83%39.80%
CTSHCTSH77Outperform$29.11B11.8617.36%2.00%4.96%27.16%
WITWIT70Outperform$20.64B15.5515.94%4.02%0.38%-8.33%
Sector *61Neutral$37.18B12.37-10.20%1.83%8.50%-7.62%

* Technology Sector Average

Performance Comparison

-40%-20%0%20%MX:ACNNCTSHGINFYIBMWITDec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
MX:ACNN and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
MX:ACNNAccenture Plc4860.00466.0610.61%
CTSHCognizant Technology Solutions65.11-6.02-8.46%
GGenpact39.622.256.01%
INFYInfosys12.55-3.56-22.12%
IBMInternational Business Machines Corporation257.81-39.20-13.20%
WITWipro Limited2.16-0.37-14.49%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.