Accenture plc Stock Forecast: Expect 17% Annual Growth
Accenture plc is a global professional services company that provides a broad range of services in strategy and consulting, technology and operations, and digital transformation. They operate in over 120 countries and have a diverse client base across various industries, including financial services, healthcare, telecommunications, and more. Accenture is known for its innovative approach to business challenges, leveraging advanced technologies like AI and automation to drive efficiency and growth for its clients.
Accenture Finance
In fiscal year 2024, Accenture plc reported record bookings, earnings growth, and margin expansion. The company’s revenue reached $50.5 billion, with a net income of $3.8 billion. Accenture’s strong financial performance is supported by its strategic focus on digital transformation and operational efficiency. The company also returned significant cash to shareholders through dividends and share repurchases.
Accenture plc stock price history
At the time of writing, Accenture’s stock (NYSE: ACN) is trading at $370.93, with a market cap of $249.52 billion. Over the past year, the stock has seen a high of $387.51 and a low of $278.69. The company’s stock has shown consistent growth, reflecting investor confidence in its business model and future prospects.
Investment Insight
This company boasts robust cash flows and a commendable track record of sharing profits with shareholders. On average, it distributes 85% of its net profit through stock buybacks and dividends. This generosity is reflected in the market, with the stock price appreciating by an average of 17% annually to date. Our analysis suggests that this trend is likely to continue, forecasting similar growth in the future.
Price forecast
| MIN/MAX | 2024 | 2025 | 2026 | 2027 | 2028 |
|---|---|---|---|---|---|
| MIN | 455.99 | 502.94 | 554.72 | 611.84 | 674.83 |
| MAX | 634.05 | 699.03 | 771.33 | 850.74 | 938.34 |
When to buy?
Following a minor correction, the stock price is on an upward trajectory once more. Resistance has established itself at $387. When this resistance level is breached, it presents a prime opportunity to confidently purchase the stock. Current holders may also contemplate increasing their positions, capitalizing on this momentum.
Dividend Policy
Accenture has a quarterly dividend policy. The company recently declared an annual dividend of $5.92 per share, with a yield of 1.66%. Dividends are paid every three months, with the next ex-dividend date being October 10, 2024. This consistent payout reflects Accenture’s commitment to returning value to its shareholders while maintaining financial stability.
Conclusion
Accenture is a powerhouse in the professional services industry, demonstrating strong financial health and impressive cash flow management. With its policy of distributing 85% of net profits to shareholders through dividends and buybacks, and a historical annual stock price growth of 17%, the company remains an attractive investment. Our analysis suggests that investors can anticipate similar robust growth in the future, making Accenture a promising long-term investment.