Accenture plc (NYSE:ACN) Relative Strength Index (RSI) is 44.59, with weekly volatility at 1.12% and ATR at 3.80. The ACN stock’s 52-week price range has touched low of $199.29 and a $294.50 high. Intraday shares traded counted 3.11 million, which was -59.4% lower than its 30-day average trading volume of 1.95M. Its shares traded lower over the last trading session, losing -1.24% on 06/18/21. The shares fell to a low of $280.80 before closing at $281.25. ACN’s previous close was $284.77 while the outstanding shares total 635.99M. The firm has a beta of 1.09, a 12-month trailing P/E ratio of 33.28, and a growth ratio of 3.41.
Investors have identified the Information Technology Services company Accenture plc as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $189.41 billion, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
Accenture plc (ACN) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. For ACN, the company has in raw cash 9.17 billion on their books with 9.04 million currently as liabilities. How the trend is over time is what investors should be concerned about. The company has a healthy balance sheet as their debt profile has been on an incline. In terms of their assets, the company currently has 19.56 billion total, with 14.09 billion as their total liabilities.
ACN were able to record 3.95 billion as free cash flow during the 09/30/2021 quarter of the year, this saw their quarterly net cash flow reduce by 751.25 million. In cash movements, the company had a total of 4.14 billion as operating cash flow.
Potential earnings growth for Accenture plc (ACN)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the 09/30/2021 quarter of the year, Accenture plc recorded a total of 12.09 billion in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 7.83% coming in sequential stages and their sales for the 09/30/2021 quarter increasing by 2.7%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 8.49 billion trying to sell their products during the last quarter, with the result yielding a gross income of 3.6 billion. This allows shareholders to hold on to 635.99M with the recently reported earning now reading 2.30 cents per share. This is a figure that compared to analyst’s prediction for their 09/30/2021 (2.03 cents a share).
Having a look at the company’s valuation, the company is expected to record 9.39 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on ACN sounds very interesting.
Is the stock of ACN attractive?
In related news, Chief Leadership & HR Officer, Shook Ellyn sold 2,600 shares of the company’s stock in a transaction that recorded on Apr 26. The sale was performed at an average price of 290.21, for a total value of 754,557. As the sale deal closes, the General Counsel/Corp Secretary, Unruch Joel now sold 873 shares of the company’s stock, valued at 251,229. Also, Chief Executive Officer, Sweet Julie Spellman sold 2,167 shares of the company’s stock in a deal that was recorded on Apr 20. The shares were price at an average price of 287.77 per share, with a total market value of 623,587. Following this completion of acquisition, the Chief Operating Officer, Deblaere Johan now holds 3,000 shares of the company’s stock, valued at 859,087. In the last 6 months, insiders have changed their ownership in shares of company stock by 0.10%.
16 out of 28 analysts covering the stock have rated it a Buy, while 10 have maintained a Hold recommendation on Accenture plc. 1 analysts has assigned a Sell rating on the ACN stock. The 12-month mean consensus price target for the company’s shares has been set at $301.16.