Accenture(US:ACN) Zacks Investment Researchยท2024-05-10 22:50Company Performance - Accenture (ACN) closed at $306.33, reflecting a -0.09% change from the previous day's closing price, underperforming the S&P 500's gain of 0.17% [1] - Over the past month, Accenture's shares have decreased by 5.71%, compared to a loss of 2.38% in the Business Services sector and a gain of 0.17% in the S&P 500 [1] - The upcoming earnings report is expected to show an EPS of $3.14, indicating a 1.57% decline from the same quarter last year, with projected revenue of $16.57 billion, a slight increase of 0.01% year-over-year [1] Earnings Estimates - For the full year, earnings are projected at $12.09 per share and revenue at $65.31 billion, representing increases of +3.6% and +1.87% respectively from the previous year [2] - Changes in analyst estimates are crucial as they reflect the shifting dynamics of short-term business patterns, with positive adjustments indicating a favorable outlook on the company's health and profitability [2] Valuation Metrics - Accenture has a Forward P/E ratio of 25.35, which is higher than the industry average of 24.09, indicating it is trading at a premium [3] - The company has a PEG ratio of 2.91, compared to the industry average PEG ratio of 1.43, suggesting a higher valuation relative to expected earnings growth [3] Industry Context - The Consulting Services industry, part of the Business Services sector, holds a Zacks Industry Rank of 66, placing it in the top 27% of over 250 industries [4] - The Zacks Industry Rank is based on the average Zacks Rank of individual stocks, with the top 50% of rated industries outperforming the bottom half by a factor of 2 to 1 [4]