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Accenture

NYSE:ACN
Snowflake Description

Flawless balance sheet established dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
ACN
NYSE
$134B
Market Cap
  1. Home
  2. US
  3. Software
Company description

Accenture plc provides consulting, technology, and outsourcing services worldwide. The last earnings update was 40 days ago. More info.


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ACN Share Price and Events
7 Day Returns
0.5%
NYSE:ACN
-1.5%
US IT
-2.7%
US Market
1 Year Returns
38.3%
NYSE:ACN
39.1%
US IT
21.2%
US Market
ACN Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Accenture (ACN) 0.5% -0.9% 12.7% 38.3% 84.6% 139.1%
US IT -1.5% 4.4% 11.1% 39.1% 99.5% 129.9%
US Market -2.7% 0.1% 6.9% 21.2% 38.6% 53.4%
1 Year Return vs Industry and Market
  • ACN matched the IT industry (39.1%) over the past year.
  • ACN outperformed the Market in United States of America which returned 21.2% over the past year.
Price Volatility
ACN
Industry
5yr Volatility vs Market
Related Companies

ACN Value

 Is Accenture undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Accenture to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Accenture.

NYSE:ACN Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 23 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 8.1%
Perpetual Growth Rate 10-Year US Government Bond Rate 1.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:ACN
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 1.7%
Equity Risk Premium S&P Global 6.5%
IT Unlevered Beta Simply Wall St/ S&P Global 0.93
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.934 (1 + (1- 12.5%) (2.53%))
0.97
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.97
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.74% + (0.97 * 6.51%)
8.05%

Discounted Cash Flow Calculation for NYSE:ACN using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Accenture is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

NYSE:ACN DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 8.05%)
2020 5,666.44 Analyst x8 5,244.17
2021 6,449.74 Analyst x7 5,524.28
2022 7,097.74 Analyst x4 5,626.27
2023 7,661.00 Analyst x2 5,620.21
2024 8,326.50 Analyst x2 5,653.23
2025 8,815.43 Est @ 5.87% 5,539.17
2026 9,223.80 Est @ 4.63% 5,363.86
2027 9,571.04 Est @ 3.76% 5,151.03
2028 9,873.23 Est @ 3.16% 4,917.68
2029 10,142.97 Est @ 2.73% 4,675.56
Present value of next 10 years cash flows $53,315.00
NYSE:ACN DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= $10,142.97 × (1 + 1.74%) ÷ (8.05% – 1.74%)
$163,487.16
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $163,487.16 ÷ (1 + 8.05%)10
$75,361.89
NYSE:ACN Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $53,315.00 + $75,361.89
$128,676.89
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $128,676.89 / 635.00
$202.64
NYSE:ACN Discount to Share Price
Calculation Result
Value per share (USD) From above. $202.64
Current discount Discount to share price of $210.24
= -1 x ($210.24 - $202.64) / $202.64
-3.7%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Accenture is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Accenture's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Accenture's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:ACN PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-11-30) in USD $7.63
NYSE:ACN Share Price ** NYSE (2020-01-28) in USD $210.24
United States of America IT Industry PE Ratio Median Figure of 65 Publicly-Listed IT Companies 32.18x
United States of America Market PE Ratio Median Figure of 2,920 Publicly-Listed Companies 18.34x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Accenture.

NYSE:ACN PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:ACN Share Price ÷ EPS (both in USD)

= 210.24 ÷ 7.63

27.56x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Accenture is good value based on earnings compared to the US IT industry average.
  • Accenture is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does Accenture's expected growth come at a high price?
Raw Data
NYSE:ACN PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 27.56x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 23 Analysts
8.6%per year
United States of America IT Industry PEG Ratio Median Figure of 56 Publicly-Listed IT Companies 2.53x
United States of America Market PEG Ratio Median Figure of 2,029 Publicly-Listed Companies 1.56x

*Line of best fit is calculated by linear regression .

NYSE:ACN PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 27.56x ÷ 8.6%

3.2x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Accenture is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Accenture's assets?
Raw Data
NYSE:ACN PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-11-30) in USD $23.89
NYSE:ACN Share Price * NYSE (2020-01-28) in USD $210.24
United States of America IT Industry PB Ratio Median Figure of 118 Publicly-Listed IT Companies 4.29x
United States of America Market PB Ratio Median Figure of 5,101 Publicly-Listed Companies 1.82x
NYSE:ACN PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:ACN Share Price ÷ Book Value per Share (both in USD)

= 210.24 ÷ 23.89

8.8x

* Primary Listing of Accenture.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Accenture is overvalued based on assets compared to the US IT industry average.
X
Value checks
We assess Accenture's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the IT industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the IT industry average (and greater than 0)? (1 check)
  5. Accenture has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

ACN Future Performance

 How is Accenture expected to perform in the next 1 to 3 years based on estimates from 23 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
8.6%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Accenture expected to grow at an attractive rate?
  • Accenture's earnings growth is expected to exceed the low risk savings rate of 1.7%.
Growth vs Market Checks
  • Accenture's earnings growth is positive but not above the United States of America market average.
  • Accenture's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:ACN Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:ACN Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 23 Analysts 8.6%
NYSE:ACN Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 23 Analysts 6.8%
United States of America IT Industry Earnings Growth Rate Market Cap Weighted Average 17%
United States of America IT Industry Revenue Growth Rate Market Cap Weighted Average 10.5%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14.6%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.6%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:ACN Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 23 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:ACN Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2024-08-31 59,476 2
2023-08-31 57,707 7,978 6,786 2
2022-08-31 53,075 7,942 6,044 13
2021-08-31 48,863 7,438 5,535 22
2020-08-31 46,115 6,760 5,087 23
2020-01-28
NYSE:ACN Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-11-30 43,968 6,386 4,861
2019-08-31 43,215 6,627 4,779
2019-05-31 41,244 6,620 4,678
2019-02-28 40,840 6,484 4,472
2018-11-30 41,714 6,048 4,211
2018-08-31 40,993 6,027 4,060
2018-05-31 39,639 5,859 3,963
2018-02-28 37,811 5,664 3,589
2017-11-30 36,219 4,895 3,564
2017-08-31 36,177 4,973 3,445
2017-05-31 34,189 5,097 3,582
2017-02-28 33,757 4,899 3,810

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Accenture's earnings are expected to grow by 8.6% yearly, however this is not considered high growth (20% yearly).
  • Accenture's revenue is expected to grow by 6.8% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:ACN Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 23 Analyst Estimates (S&P Global) See Below

All data from Accenture Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:ACN Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2024-08-31 11.05 11.05 11.05 1.00
2023-08-31 10.84 10.84 10.84 1.00
2022-08-31 9.52 10.21 9.25 11.00
2021-08-31 8.64 9.10 8.52 20.00
2020-08-31 7.87 8.09 7.78 22.00
2020-01-28
NYSE:ACN Past Financials Data
Date (Data in USD Millions) EPS *
2019-11-30 7.63
2019-08-31 7.49
2019-05-31 7.32
2019-02-28 6.99
2018-11-30 6.64
2018-08-31 6.46
2018-05-31 6.36
2018-02-28 5.81
2017-11-30 5.76
2017-08-31 5.56
2017-05-31 5.76
2017-02-28 6.12

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Accenture is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
X
Future performance checks
We assess Accenture's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Accenture has a total score of 2/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

ACN Past Performance

  How has Accenture performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Accenture's growth in the last year to its industry (IT).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Accenture's year on year earnings growth rate has been positive over the past 5 years.
  • Accenture's 1-year earnings growth exceeds its 5-year average (15.4% vs 8.7%)
  • Accenture's earnings growth has not exceeded the US IT industry average in the past year (15.4% vs 15.4%).
Earnings and Revenue History
Accenture's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Accenture Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:ACN Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-11-30 43,968.43 4,861.36 7,221.70
2019-08-31 43,215.01 4,779.11 7,009.61
2019-05-31 41,244.27 4,678.21 6,880.75
2019-02-28 40,839.57 4,471.71 6,782.54
2018-11-30 41,713.77 4,210.97 6,743.02
2018-08-31 40,992.53 4,059.91 6,652.59
2018-05-31 39,638.51 3,962.84 6,457.72
2018-02-28 37,810.55 3,589.28 6,279.99
2017-11-30 36,218.98 3,564.33 6,067.99
2017-08-31 36,176.84 3,445.15 5,928.09
2017-05-31 34,189.46 3,581.92 5,758.32
2017-02-28 33,757.18 3,809.70 5,607.53
2016-11-30 33,385.08 4,297.47 5,523.80
2016-08-31 32,882.72 4,111.89 5,466.98
2016-05-31 32,281.99 3,780.29 5,417.44
2016-02-29 31,617.62 3,676.74 5,360.83
2015-11-30 31,165.38 3,040.95 5,298.67
2015-08-31 31,047.93 3,053.58 5,308.99
2015-05-31 30,936.77 3,016.97 5,287.45
2015-02-28 30,902.02 3,040.61 5,318.03
2014-11-30 30,539.36 3,021.18 5,377.29
2014-08-31 30,002.39 2,941.50 5,401.97
2014-05-31 29,311.72 2,911.48 5,378.33
2014-02-28 28,774.22 2,904.41 5,366.01
2013-11-30 28,701.60 3,334.91 5,376.75
2013-08-31 28,562.81 3,281.88 5,317.54
2013-05-31 28,312.04 3,189.16 5,260.03
2013-02-28 28,268.59 3,068.12 5,224.47

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Accenture has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
  • Accenture used its assets more efficiently than the US IT industry average last year based on Return on Assets.
  • Accenture's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Accenture's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the IT industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Accenture has a total score of 4/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

ACN Health

 How is Accenture's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Accenture's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Accenture is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Accenture's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Accenture's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 794.9x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Accenture Company Filings, last reported 1 month ago.

NYSE:ACN Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-11-30 15,601.21 19.63 5,813.84
2019-08-31 14,827.69 22.66 6,130.17
2019-05-31 14,142.96 23.99 4,772.50
2019-02-28 13,728.55 24.12 4,468.00
2018-11-30 13,055.57 24.62 4,366.91
2018-08-31 10,724.59 25.01 5,064.55
2018-05-31 10,152.74 28.80 3,932.11
2018-02-28 10,438.43 28.84 3,598.50
2017-11-30 9,893.44 25.21 3,682.39
2017-08-31 9,710.20 25.07 4,129.87
2017-05-31 8,876.66 27.67 3,384.85
2017-02-28 8,615.15 27.49 3,241.36
2016-11-30 8,034.15 27.34 4,079.57
2016-08-31 8,189.38 27.23 4,908.48
2016-05-31 7,706.56 28.87 3,500.75
2016-02-29 7,373.52 28.65 3,037.48
2015-11-30 6,405.41 27.66 3,075.92
2015-08-31 6,647.57 27.44 4,363.21
2015-05-31 6,466.23 27.22 4,028.57
2015-02-28 6,549.64 27.22 4,064.02
2014-11-30 6,016.36 26.79 4,474.81
2014-08-31 6,285.34 26.73 4,923.91
2014-05-31 6,145.30 26.67 4,051.55
2014-02-28 5,786.69 26.49 3,682.98
2013-11-30 5,416.26 25.94 4,529.79
2013-08-31 5,427.83 25.60 5,634.41
2013-05-31 5,810.06 0.00 5,940.57
2013-02-28 5,939.87 0.03 5,636.49
  • Accenture's level of debt (0.1%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (0.4% vs 0.1% today).
  • Debt is well covered by operating cash flow (32528.7%, greater than 20% of total debt).
  • Accenture earns more interest than it pays, coverage of interest payments is not a concern.
X
Financial health checks
We assess Accenture's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Accenture has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

ACN Dividends

 What is Accenture's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
1.52%
Current annual income from Accenture dividends. Estimated to be 1.65% next year.
If you bought $2,000 of Accenture shares you are expected to receive $30 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Accenture's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.42%).
  • Accenture's dividend is below the markets top 25% of dividend payers in United States of America (3.74%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:ACN Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 23 Analyst Estimates (S&P Global) See Below
United States of America IT Industry Average Dividend Yield Market Cap Weighted Average of 35 Stocks 1.2%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 1962 Stocks 2.3%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:ACN Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2024-08-31
2023-08-31
2022-08-31 3.82 8.00
2021-08-31 3.49 11.00
2020-08-31 3.21 12.00
2020-01-28
NYSE:ACN Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-12-19 3.200 1.531
2019-10-29 3.200 1.627
2019-09-26 3.200 1.718
2019-06-27 2.920 1.511
2019-03-28 2.920 1.628
2018-10-24 2.920 1.871
2018-09-27 2.920 1.782
2018-06-28 2.660 1.600
2018-03-22 2.660 1.718
2017-09-28 2.660 1.763
2017-06-22 2.420 1.871
2017-03-23 2.420 1.993
2016-09-29 2.420 2.035
2016-06-23 2.200 1.936
2016-03-24 2.200 1.893
2015-09-24 2.200 2.128
2015-06-25 2.040 2.057
2015-03-26 2.040 2.139
2014-09-24 2.040 2.389
2014-06-26 1.860 2.318
2014-03-27 1.860 2.320
2013-10-03 1.860 2.365
2013-06-27 1.620 2.188
2013-03-28 1.620 2.039
2012-09-28 1.620 2.292
2012-06-28 1.350 2.205
2012-03-22 1.350 2.228
2011-09-27 1.350 2.369
2011-06-24 0.900 1.620
2011-06-23 0.900 1.597
2011-03-24 0.900 1.614
2010-10-26 0.900 1.857
2010-09-30 0.900 1.991
2010-06-25 0.750 1.901
2010-06-24 0.750 1.923
2010-03-25 0.750 1.859
2009-10-01 0.750 1.846

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Accenture's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (2.5x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (2.7x coverage).
X
Income/ dividend checks
We assess Accenture's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Accenture afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Accenture has a total score of 5/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

ACN Management

 What is the CEO of Accenture's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Julie T. Sweet
COMPENSATION $6,265,339
AGE 52
TENURE AS CEO 0.3 years
CEO Bio

Ms. Julie T. Spellman Sweet has been Chief Executive Officer and Director of Accenture plc since September 1, 2019. She was Chief Executive Officer of North America at Accenture Plc until September 1, 2019. She has been Chief Executive Officer of North America at Accenture Holdings plc (Alternate Name, Accenture SCA) since June 1, 2015. Ms. Sweet has been with Accenture for 8 years. She also has substantial experience representing underwriters in public and private financings and in executing spin-offs for corporate clients in public and private financings, advising on mergers and acquisitions and providing general corporate counsel, including spin-offs for Lucent Technologies and PricewaterhouseCoopers. She served as the Chief Compliance Officer, General Counsel and Secretary at Accenture Plc from March 22, 2010 to June 1, 2015 and Accenture Holdings plc from April 2015 to June 2015. She served as a Partner in the Corporate department of the law firm of Cravath, Swaine & Moore LLP for 10 years, which she joined as an Associate in 1992. She serves as a Member of the Board of Trustees of Claremont McKenna College and the Board of Directors for the Drew Foundation. She was recognized as one of the “Dealmakers of the Year” for 2006 by The American Lawyer for her work on the $5 billion initial global offering of KKR Private Equity Investors, L.P. She was also recognized by Lawdragon magazine as one of the top 500 leading lawyers and as one of the top 500 dealmakers in America in 2007 and in 2009, she was recognized by The Legal 500 for her work in equity offerings in the capital markets. She speaks Mandarin Chinese and has spent substantial time working in Hong Kong and mainland China. Ms. Sweet received a B.A. from Claremont McKenna College in 1989, where she was Phi Beta Kappa and a J.D. from Columbia Law School in 1992, where she was a Stone Scholar.

CEO Compensation
  • Julie T.'s compensation has been consistent with company performance over the past year, both up more than 20%.
  • Julie T.'s remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Accenture management team in years:

1
Average Tenure
55
Average Age
  • The average tenure for the Accenture management team is less than 2 years, this suggests a new team.
Management Team

David Rowland

TITLE
Executive Chairman & Advisor to CEO
COMPENSATION
$15M
AGE
58
TENURE
0.3 yrs

Julie T. Sweet

TITLE
CEO & Director
COMPENSATION
$6M
AGE
52
TENURE
0.3 yrs

KC McClure

TITLE
Chief Financial Officer
COMPENSATION
$4M
AGE
54
TENURE
1 yrs

Jo Deblaere

TITLE
COO & Chief Executive of Europe
AGE
57
TENURE
10.3 yrs

Richard Clark

TITLE
Chief Accounting Officer & Corporate Controller
AGE
58
TENURE
6.3 yrs

Paul Daugherty

TITLE
Chief Technology & Innovation Officer
AGE
55
TENURE
3.1 yrs

John Walsh

TITLE
Group Chief Executive of Communications
TENURE
0.2 yrs

Angie Park

TITLE
Managing Director & Head of Investor Relations

Joel Unruch

TITLE
General Counsel
AGE
41
TENURE
0.3 yrs

Amy Fuller

TITLE
Chief Marketing & Communications Officer
TENURE
2 yrs
Board of Directors Tenure

Average tenure and age of the Accenture board of directors in years:

3.9
Average Tenure
61
Average Age
  • The tenure for the Accenture board of directors is about average.
Board of Directors

Julie T. Sweet

TITLE
CEO & Director
COMPENSATION
$6M
AGE
52
TENURE
0.3 yrs

Gilles Christian Pélisson

TITLE
Independent Director
COMPENSATION
$330K
AGE
62
TENURE
7.8 yrs

David Rowland

TITLE
Executive Chairman & Advisor to CEO
COMPENSATION
$15M
AGE
58
TENURE
0.3 yrs

Jaime Ardila Gómez

TITLE
Independent Director
COMPENSATION
$345K
AGE
64
TENURE
6.4 yrs

Paula Price

TITLE
Independent Director
COMPENSATION
$345K
AGE
58
TENURE
5.7 yrs

Nancy McKinstry

TITLE
Independent Director
COMPENSATION
$340K
AGE
60
TENURE
3.5 yrs

Marge Magner

TITLE
Lead Independent Director
COMPENSATION
$572K
AGE
70
TENURE
0.3 yrs

Frank Tang

TITLE
Independent Director
COMPENSATION
$320K
AGE
51
TENURE
5.7 yrs

Arun Sarin

TITLE
Independent Director
COMPENSATION
$330K
AGE
64
TENURE
4.3 yrs

Herbert Hainer

TITLE
Independent Director
COMPENSATION
$330K
AGE
65
TENURE
3.2 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month open market individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
18. Jul 19 Sell Paula Price Individual 18. Jul 19 18. Jul 19 -645 $194.24 $-125,282
X
Management checks
We assess Accenture's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Accenture has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

ACN News

Simply Wall St News

Do Accenture's (NYSE:ACN) Earnings Warrant Your Attention?

Earnings growth might be the main game for Accenture, but the fun does not stop there. … Although Accenture certainly looks good to me, I would like it more if insiders were buying up shares. … If you like to see insider buying, too, then this free list of growing companies that insiders are buying, could be exactly what you're looking for.

Simply Wall St -

Why Accenture plc (NYSE:ACN) Is A Dividend Rockstar

Is Accenture plc (NYSE:ACN) a good dividend stock? How can we tell? Dividend paying companies with growing earnings can be highly rewarding in the long term. On the other hand, investors have been known to buy a stock because of its yield, and then lose money if the company's dividend doesn't live up to expectations. While Accenture's 1.5% dividend yield is not the highest, we think its lengthy payment history is quite interesting. The company also bought back stock during the year, equivalent to approximately 1.6% of the company's market capitalisation at the time. Before you buy any stock for its dividend however, you should always remember Warren Buffett's two rules: 1) Don't lose money, and 2) Remember rule #1. … Dividend Growth Potential Dividend payments have been consistent over the past few years, but we should always check if earnings per share (EPS) are growing, as this will help maintain the purchasing power of the dividend. Accenture has grown its earnings per share at 7.6% per annum over the past five years. Earnings per share have been growing at a credible rate. What's more, the payout ratio is reasonable and provides some protection to the dividend, or even the potential to increase it. Conclusion Dividend investors should always want to know if a) a company's dividends are affordable, b) if there is a track record of consistent payments, and c) if the dividend is capable of growing. … Earnings growth generally bodes well for the future value of company dividend payments.

Simply Wall St -

Is Accenture plc's (NYSE:ACN) P/E Ratio Really That Good?

Check out our latest analysis for Accenture How Do I Calculate Accenture's Price To Earnings Ratio? … The formula for price to earnings is: Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS) Or for Accenture: P/E of 26.39 = $193.22 ÷ $7.32 (Based on the year to May 2019.) Is A High Price-to-Earnings Ratio Good? … The higher the P/E ratio, the higher the price tag of a business, relative to its trailing earnings.

Simply Wall St -

Should You Think About Buying Accenture plc (NYSE:ACN) Now?

According to my valuation model, Accenture seems to be fairly priced at around 3.99% above my intrinsic value, which means if you buy Accenture today, you’d be paying a relatively fair price for it. … Although value investors would argue that it’s the intrinsic value relative to the price that matter the most, a more compelling investment thesis would be high growth potential at a cheap price. … Will you have enough confidence to invest in the company should the price drop below its fair value?

Simply Wall St -

Is Accenture plc (NYSE:ACN) A High Quality Stock To Own?

With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. … The formula for ROE is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for Accenture: 34% = US$4.7b ÷ US$14b (Based on the trailing twelve months to May 2019.) It's easy to understand the 'net profit' part of that equation, but 'shareholders' equity' requires further explanation. … Combining Accenture's Debt And Its 34% Return On Equity Accenture has a debt to equity ratio of just 0.0017, which is very low.

Simply Wall St -

This Insider Has Just Sold Shares In Accenture plc (NYSE:ACN)

See our latest analysis for Accenture The Last 12 Months Of Insider Transactions At Accenture Over the last year, we can see that the biggest insider sale was by the Independent Director, Arun Sarin, for US$201k worth of shares, at about US$171 per share. … NYSE:ACN Recent Insider Trading, July 25th 2019 Does Accenture Boast High Insider Ownership? … It is good to see high insider ownership, but the insider selling leaves us cautious.

Simply Wall St -

These 4 Measures Indicate That Accenture (NYSE:ACN) Is Using Debt Safely

Debt and other liabilities become risky for a business when it cannot easily fulfill those obligations, either with free cash flow or by raising capital at an attractive price. … NYSE:ACN Historical Debt, July 13th 2019 A Look At Accenture's Liabilities Zooming in on the latest balance sheet data, we can see that Accenture had liabilities of US$10.6b due within 12 months and liabilities of US$3.46b due beyond that. … While Accenture has net cash on its balance sheet, it's still worth taking a look at its ability to convert earnings before interest and tax (EBIT) to free cash flow, to help us understand how quickly it is building (or eroding) that cash balance.

Simply Wall St -

Accenture plc (NYSE:ACN): A Fundamentally Attractive Investment

For those interested in understanding where the figures come from and want to see the analysis, take a look at the report on Accenture here. … Take a look at our free research report of analyst consensus for ACN’s outlook. … The intrinsic value infographic in our free research report helps visualize whether ACN is currently mispriced by the market.

Simply Wall St -

Do Directors Own Accenture plc (NYSE:ACN) Shares?

Our analysis of the ownership of the company, below, shows that institutional investors have bought into the company. … View our latest analysis for Accenture NYSE:ACN Ownership Summary, June 20th 2019 What Does The Institutional Ownership Tell Us About Accenture? … Insider Ownership Of Accenture The definition of company insiders can be subjective, and does vary between jurisdictions.

Simply Wall St -

Did Accenture plc (NYSE:ACN) Insiders Sell Shares?

While insider selling is not a positive sign, we can't be sure if it does mean insiders think the shares are fully valued, so it's only a weak sign. … It doesn't really mean much that no insider has traded Accenture shares in the last quarter. … It's great to see high levels of insider ownership, but looking back at the last year, we don't gain confidence from the Accenture insiders selling.

Simply Wall St -

ACN Company Info

Description

Accenture plc provides consulting, technology, and outsourcing services worldwide. Its Communications, Media & Technology segment provides professional services for clients to accelerate and deliver digital transformation, develop industry-specific solutions, and enhance efficiencies and business results for communications, media, high tech, software, and platform companies. The company’s Financial Services segment offers services for profitability pressures, industry consolidation, regulatory changes, and the need to continually adapt to new digital technologies for banking, capital market, and insurance industries. Its Health & Public Service segment provides consulting services and digital solutions to help clients deliver social, economic, and health outcomes for healthcare payers and providers, government departments and agencies, public service organizations, educational institutions, and non-profit organizations. The company’s Products segment helps clients enhance their performance in distribution, sales, and marketing; in research and development, and manufacturing; and in business functions, such as finance, human resources, procurement, and supply chain. This segment serves clients in consumer goods, retail, and travel services industries; automotive, freight and logistics, industrial and electrical equipment, consumer durable and heavy equipment, and construction and infrastructure management companies; and pharmaceutical, medical technology, and biotechnology companies. Its Resources segment enables clients in chemicals, energy, forest products, metals and mining, and utilities and related industries to develop and implement strategies, improve operations, manage complex change initiatives, and integrate digital technologies. Accenture plc has alliance relationships with Amazon Web Services, Google, Microsoft, Oracle, Pegasystems, Salesforce, SAP, Workday, TradeIX, and others. Accenture plc was founded in 1989 and is based in Dublin, Ireland.

Details
Name: Accenture plc
ACN
Exchange: NYSE
Founded: 1989
$133,501,508,792
634,995,761
Website: http://www.accenture.com
Address: Accenture plc
1 Grand Canal Square,
Grand Canal Harbour,
Dublin,
Co. Dublin, 2,
Ireland
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE ACN Class A Common Shares New York Stock Exchange US USD 19. Jul 2001
DB CSA Class A Common Shares Deutsche Boerse AG DE EUR 19. Jul 2001
LSE 0Y0Y Class A Common Shares London Stock Exchange GB USD 19. Jul 2001
BMV ACN N Class A Common Shares Bolsa Mexicana de Valores MX MXN 19. Jul 2001
BOVESPA ACNB34 EACH BDR REPR 1 CLS'A'USD0.0000225 Bolsa de Valores de Sao Paulo BR BRL 24. Aug 2015
Number of employees
Current staff
Staff numbers
505,000
Accenture employees.
Industry
IT Consulting and Other Services
Software
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/01/28 23:52
End of day share price update: 2020/01/28 00:00
Last estimates confirmation: 2020/01/24
Last earnings filing: 2019/12/19
Last earnings reported: 2019/11/30
Last annual earnings reported: 2019/08/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.