Accenture (ACN)
Information Technology · $114B market cap · SEC CIK 0001467373
fundamentals score out of 100
Next reports on Mar 17, 2027, with analysts expecting $3.18 in earnings per share.
The case for ACN
- Generated $10.9B of free cash flow in FY2025, 16% of revenue.
- Free cash flow of 9.5% of its market value a year: a lot of cash for the price.
- Reasonably priced at 14.6× earnings.
- Return on equity of 25%.
- Barely leveraged. Debt is 0.16× equity.
- Pays a modest 1.5% dividend.
The case against
- Down 22.4% over the past year.
- Revenue growth of +6.7% is slower than 92% of Information Technology companies.
What the score is made of
Each factor is half a curve over reported figures and half a rank among the other Information Technology companies (momentum is judged against fixed thresholds only), and the five are blended by weight. It describes the last filing and the current price. It is not a forecast.
| Valuewhat you pay for the earnings, sales, assets and cash | 83 |
|---|---|
| Growthhow fast revenue and earnings are moving, this year and over five | 39 |
| Profitabilityhow much of the revenue becomes profit, and how much of that is cash | 49 |
| Momentumhow the price has behaved lately | 52 |
| Stabilityhow violently it moves, what it owes and what it pays you | 68 |
- Each factor except momentum is half fixed thresholds, half rank among the 73 Information Technology companies.
Key numbers
| Price / earnings | 14.6× |
|---|---|
| Price / book | 3.78× |
| Price / sales | 1.6× |
| Revenue growth (YoY) | +6.7% |
| EPS growth (YoY) | -0.4% |
| Gross margin | 32% |
| Operating margin | 14% |
| Net margin | 11% |
| Return on equity | 25% |
| Debt / equity | 0.16× |
| Current ratio | 1.34 |
| Dividend yield | 1.54% |
| Beta | 1.09 |
| 52-week range | $118.15 – $291.09 |
| Position in that range | 38% of the way up |
| 3-month return | +45.4% |
| 1-year return | -22.4% |
Five years of financials, as filed
Pulled from Accenture's XBRL filings on SEC EDGAR. Italic rows are derived from the rows above.
| FY2025 | FY2024 | FY2023 | FY2022 | FY2021 | |
|---|---|---|---|---|---|
| Revenue | $69.7B | $64.9B | $64.1B | $61.6B | $50.5B |
| Operating income | $10.2B | $9.6B | $8.8B | $9.4B | $7.6B |
| Net income | $7.7B | $7.3B | $6.9B | $6.9B | $5.9B |
| Operating cash flow | $11.5B | $9.1B | $9.5B | $9.5B | $9.0B |
| Capital expenditure | $600M | $517M | $528M | $718M | $580M |
| Total assets | $64.7B | $59.9B | $51.5B | $47.1B | $43.7B |
| Shareholder equity | $30.9B | $29.2B | $26.7B | $23.0B | $20.4B |
| Cash | $9.6B | $8.3B | $7.1B | $5.9B | $5.6B |
| Free cash flow | $10.9B | $8.6B | $9.0B | $8.8B | $8.4B |
| Operating margin | 14.7% | 14.8% | 13.7% | 15.2% | 15.1% |
| Net margin | 11.0% | 11.2% | 10.7% | 11.2% | 11.7% |
| Diluted shares | 632M | 636M | 639M | 643M | 646M |
Share count is essentially flat over 4 years.
What Accenture says it does
Overview Accenture is a leading solutions and global professional services company that helps the world’s leading enterprises reinvent by building their digital core and unleashing the power of AI to create value at speed across the enterprise, bringing together the talent of our approximately 779,000 people, our proprietary assets and platforms, and deep ecosystem relationships. Our strategy is to be the reinvention partner of choice for our clients and to be the most AI-enabled, client-focused, great place to work in the world. Through our Reinvention Services we bring together our capabilities across strategy, consulting, technology, operations, Song and Industry X with our deep industry expertise to create and deliver solutions and services for our clients. Our purpose is to deliver on the promise of technology and human ingenuity, and we measure our success by the 360° value we create for all our stakeholders. Fiscal 2025…
Risk factors ACN lists in its 10-K
- Risks and uncertainties related to the development and use of AI, including advanced AI, could harm our business, damage our reputation or give rise to legal or regulatory action
- We face legal, reputational and financial risks from any failure to protect client and/or Accenture data from security incidents or cyberattacks
- The markets in which we operate are highly competitive, and we might not be able to compete effectively
- If we do not successfully manage and develop our relationships with our ecosystem partners or if we fail to anticipate and establish new alliances in new technologies, our results of operations could be adversely affected
- Our ability to attract and retain business and employees may depend on our reputation in the marketplace
- Pricing pressures have had and may continue to have a negative impact on our profitability
- Our profitability could suffer if we are not able to remain competitive
- Our profitability could suffer if our cost-management strategies are unsuccessful, and we may not be able to improve our profitability
- Our results of operations could be materially adversely affected by fluctuations in foreign currency exchange rates
- Our debt obligations could adversely affect our business and financial condition
- As a result of our geographically diverse operations and our strategy to continue to grow in our key markets around the world, we are more susceptible to certain risks
- If we are unable to manage the organizational challenges associated with our size, we might be unable to achieve our business objectives
- We might not be successful at acquiring, investing in or integrating businesses, entering into joint ventures or divesting businesses
- Our business could be materially adversely affected if we incur legal liability