Accenture (ACN) Suffers a Larger Drop Than the General Market: Key Insights

Accenture (ACN) ended the recent trading session at $241.72, demonstrating a -2.35% change from the preceding day's closing price. This change lagged the S&P 500's daily loss of 0.08%. Elsewhere, the Dow saw a downswing of 0.51%, while the tech-heavy Nasdaq appreciated by 0.35%. Prior to today's trading, shares of the consulting company had lost 16.77% lagged the Computer and Technology sector's gain of 3.95% and the S&P 500's gain of 1.21%.Investors will be eagerly watching for the performance of Accenture in its upcoming earnings disclosure. On that day, Accenture is projected to report earnings of $2.98 per share, which would represent year-over-year growth of 6.81%. Meanwhile, our latest consensus estimate is calling for revenue of $17.33 billion, up 5.6% from the prior-year quarter. In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $12.88 per share and a revenue of $69.41 billion, indicating changes of +7.78% and +6.95%, respectively, from the former year. Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Accenture. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook. Our research shows that these estimate changes are directly correlated with near-term stock prices. 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. Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, there's been a 0.01% fall in the Zacks Consensus EPS estimate. Accenture is currently a Zacks Rank #3 (Hold). From a valuation perspective, Accenture is currently exchanging hands at a Forward P/E ratio of 19.22. This denotes a premium relative to the industry average Forward P/E of 17.37. Meanwhile, ACN's PEG ratio is currently 2.25. 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. As of the close of trade yesterday, the Computers - IT Services industry held an average PEG ratio of 2.05. The Computers - IT Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 149, putting it in the bottom 40% 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. Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com. Should You Invest in Accenture PLC (ACN)?Before you invest in Accenture PLC (ACN), want to know the best stocks to buy for the next 30 days? Check out Zacks Investment Research for our free report on the 7 best stocks to buy.Zacks Investment Research has been committed to providing investors with tools and independent research since 1978. For more than a quarter century, the Zacks Rank stock-rating system has more than doubled the S&P 500 with an average gain of +24.08% per year. (These returns cover a period from January 1, 1988 through May 6, 2024.)Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Accenture PLC (ACN): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks