Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, global consulting giant Accenture (NYSE: ACN ) has earned a respected four-star ranking.
With that in mind, let's take a closer look at Accenture and see what CAPS investors are saying about the stock right now.
Accenture facts
| Headquarters (founded) | Dublin, Ireland (1995) |
| Market Cap | $46.8 billion |
| Industry | IT consulting and other services |
| Trailing-12-Month Revenue | $28.2 billion |
| Management | CEO Pierre Nanterme (since 2011) CFO Pamela Craig (since 2006) |
| Return on Equity (average, past 3 years) | 64.8% |
| Cash/Debt | $5.9 billion / $0 |
| Dividend Yield | 2.3% |
| Competitors | IBM Computer Sciences Infosys |
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 95% of the 1,350 members who have rated Accenture believe the stock will outperform the S&P 500 going forward.
Just last week, fellow Fool Simon Erickson (TMFInnovator) tapped the company's recent earnings miss as an attractive buy-in opportunity:
Accenture missed Rev guidance, largely due to weakness in Brazil and Europe and fewer big projects, which caused shares to drop 11%. I'm not sure why this miss was so shocking, really. The current market uncertainty is influencing companies' IT/consulting spend, which effected ACN's short-term results.
Looking bigger picture though, ACN is in a great position to outperform:
-Their focus on data analytics and cloud computing are fast-growing markets to be competing in.
-Their reputation is phenomenal. They focus is on long-term relationship building, which allows for recurring revenues and a sticky customer base. ...
-They are one of the few consulting firms to also offer to deploy IT and hardware solutions. ...
-They have an asset-light model that allows them to return profits to shareholders. They have tripled their annual dividend in the last five years.
Accenture has outperformed the market in 8 of the last 10 years. I would expect them to do more of the same in the future.
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