ACCENTURE PLC-CL A (ACN)
IE00B4BNMY34 - Common Stock
ACN gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 84 industry peers in the IT Services industry. ACN has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. While showing a medium growth rate, ACN is valued expensive at the moment. With these ratings, ACN could be worth investigating further for quality investing!.
1. Profitability
1.1 Basic Checks
In the past year ACN was profitable.
ACN had a positive operating cash flow in the past year.
Each year in the past 5 years ACN has been profitable.
ACN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of ACN (12.99%) is better than 92.68% of its industry peers.
The Return On Equity of ACN (25.68%) is better than 86.59% of its industry peers.
ACN has a better Return On Invested Capital (20.79%) than 93.90% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ACN is significantly above the industry average of 9.59%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.99% | ||
| ROE | 25.68% | ||
| ROIC | 20.79% |
ROA(3y)13.65%
ROA(5y)13.68%
ROE(3y)27.85%
ROE(5y)28.77%
ROIC(3y)22.55%
ROIC(5y)21.86%
1.3 Margins
The Profit Margin of ACN (11.19%) is better than 80.49% of its industry peers.
ACN's Profit Margin has been stable in the last couple of years.
ACN has a Operating Margin of 15.46%. This is amongst the best in the industry. ACN outperforms 87.80% of its industry peers.
In the last couple of years the Operating Margin of ACN has remained more or less at the same level.
ACN's Gross Margin of 32.61% is in line compared to the rest of the industry. ACN outperforms 45.12% of its industry peers.
ACN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.46% | ||
| PM (TTM) | 11.19% | ||
| GM | 32.61% |
OM growth 3Y0.83%
OM growth 5Y1.17%
PM growth 3Y-1.43%
PM growth 5Y0.24%
GM growth 3Y0.23%
GM growth 5Y1.14%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so ACN is creating value.
ACN has less shares outstanding than it did 1 year ago.
ACN has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, ACN has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 7.64 indicates that ACN is not in any danger for bankruptcy at the moment.
ACN has a Altman-Z score of 7.64. This is amongst the best in the industry. ACN outperforms 82.93% of its industry peers.
ACN has a debt to FCF ratio of 0.12. This is a very positive value and a sign of high solvency as it would only need 0.12 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 0.12, ACN belongs to the best of the industry, outperforming 90.24% of the companies in the same industry.
A Debt/Equity ratio of 0.00 indicates that ACN is not too dependend on debt financing.
ACN has a better Debt to Equity ratio (0.00) than 85.37% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.12 | ||
| Altman-Z | 7.64 |
ROIC/WACC2.88
WACC7.22%
2.3 Liquidity
A Current Ratio of 1.10 indicates that ACN should not have too much problems paying its short term obligations.
With a Current ratio value of 1.10, ACN is not doing good in the industry: 70.73% of the companies in the same industry are doing better.
A Quick Ratio of 1.10 indicates that ACN should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.10, ACN is doing worse than 69.51% of the companies in the same industry.
The current and quick ratio evaluation for ACN is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.1 | ||
| Quick Ratio | 1.1 |
3. Growth
3.1 Past
ACN shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 2.49%.
The Earnings Per Share has been growing by 10.20% on average over the past years. This is quite good.
Looking at the last year, ACN shows a small growth in Revenue. The Revenue has grown by 1.22% in the last year.
Measured over the past years, ACN shows a quite strong growth in Revenue. The Revenue has been growing by 8.47% on average per year.
EPS 1Y (TTM)2.49%
EPS 3Y10.15%
EPS 5Y10.2%
EPS Q2Q%2.95%
Revenue 1Y (TTM)1.22%
Revenue growth 3Y8.7%
Revenue growth 5Y8.47%
Sales Q2Q%2.63%
3.2 Future
Based on estimates for the next years, ACN will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.35% on average per year.
The Revenue is expected to grow by 8.60% on average over the next years. This is quite good.
EPS Next Y8.73%
EPS Next 2Y9.01%
EPS Next 3Y9.23%
EPS Next 5Y13.35%
Revenue Next Year6.77%
Revenue Next 2Y6.8%
Revenue Next 3Y7.15%
Revenue Next 5Y8.6%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 30.41, which means the current valuation is very expensive for ACN.
The rest of the industry has a similar Price/Earnings ratio as ACN.
The average S&P500 Price/Earnings ratio is at 28.96. ACN is around the same levels.
ACN is valuated quite expensively with a Price/Forward Earnings ratio of 27.97.
ACN's Price/Forward Earnings is on the same level as the industry average.
When comparing the Price/Forward Earnings ratio of ACN to the average of the S&P500 Index (23.82), we can say ACN is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.41 | ||
| Fwd PE | 27.97 |
4.2 Price Multiples
ACN's Enterprise Value to EBITDA is on the same level as the industry average.
The rest of the industry has a similar Price/Free Cash Flow ratio as ACN.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.4 | ||
| EV/EBITDA | 19.58 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ACN does not grow enough to justify the current Price/Earnings ratio.
ACN has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)3.48
PEG (5Y)2.98
EPS Next 2Y9.01%
EPS Next 3Y9.23%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.64%, ACN has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 2.85, ACN pays a better dividend. On top of this ACN pays more dividend than 90.24% of the companies listed in the same industry.
ACN's Dividend Yield is slightly below the S&P500 average, which is at 2.23.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.64% |
5.2 History
The dividend of ACN is nicely growing with an annual growth rate of 12.11%!
ACN has been paying a dividend for at least 10 years, so it has a reliable track record.
ACN has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)12.11%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
ACN pays out 44.62% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of ACN is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP44.62%
EPS Next 2Y9.01%
EPS Next 3Y9.23%
ACCENTURE PLC-CL A
NYSE:ACN (11/22/2024, 10:01:55 AM)
363.71
+2.66 (+0.74%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap244.66B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.64% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.41 | ||
| Fwd PE | 27.97 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)3.48
PEG (5Y)2.98
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.99% | ||
| ROE | 25.68% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 15.46% | ||
| PM (TTM) | 11.19% | ||
| GM | 32.61% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.16
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.1 | ||
| Quick Ratio | 1.1 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)2.49%
EPS 3Y10.15%
EPS 5Y
EPS Q2Q%
EPS Next Y8.73%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)1.22%
Revenue growth 3Y8.7%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y