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Accenture

ACN
50
Information Technology Services · Technology
Price
$143.57
-1.04 (-0.72%)
Market Cap
$87.86B
Winston Score
50
Winston is curious
Mixed quality — meaningful strengths and weaknesses.

Share count falling — buybacks

2.1% over 4y

The company has reduced its share count over this period, returning value to shareholders through buybacks.

Diluted shares outstanding: 645.9M (2021) → 632.4M (2025)

Accenture is a giant consulting and technology services firm that helps other companies solve business problems, upgrade their computer systems, and run parts of their operations. Its main services include IT consulting, software implementation, cybersecurity, and outsourcing work like finance or HR functions. Accenture works with large corporations and governments across nearly every industry, from banking and healthcare to retail and defense.

The company earns money by charging clients fees for projects and long-term service contracts, giving it a relatively steady revenue stream. Accenture operates in more than 120 countries and generates roughly $65 billion in annual revenue, making it one of the largest IT services firms in the world. Its main competitive advantage is its deep relationships with large enterprise clients and its ability to deploy hundreds of thousands of skilled workers globally. The key growth driver is demand for artificial intelligence and cloud migration services, though the main risk is that economic slowdowns often cause large companies to cut consulting budgets quickly.

Winston Score History

Politician Trades

54 trades / 12mo

20 Congressional buys and 34 sells on ACN in the last 12 months.

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Growth Profile

When traditional metrics don't capture the full picture, these are the signals growth stock investors use instead.

Revenue Growth

+8.3% YoY

YoY Growth Rate

Slow revenue growth

EPS Growth

+3.5% YoY

YoY Growth Rate

Slow EPS growth

R&D Spend

$817M/ year

1.2% of revenue

Below sector average (15%)

Research and development spending

Insider Activity

0.2%ownership

Flat

Insiders holding steady — not selling despite ability to

Cash Position

Cash flow positive

$9.4B cash & investments

Quarterly Free Cash Flow

↑ Burn rate improving

Company generates more cash than it spends — no dilution risk from fundraising

Growth context

Accenture is growing revenue at 8% year-over-year. The Winston Score measures business quality today — these growth metrics show what could matter tomorrow.

The Winston Score above measures business quality today. Growth stocks often score lower because they invest in the future rather than maximising current profits. These metrics show what matters most for evaluating that future.

Score breakdown

Every number that matters to educated investors.

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Quality

Gross Margin
30.3%
Modest — 30.3% gross margin
Operating Margin
13.8%
Healthy — 13.8% operating margin
ROCE
6.7%
Weak — 6.7% return on capital

ROIC between 5% and 15%. They earn 5 to 15 cents back per year on every dollar invested.

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Growth

Sales YoY
+3.9%
Slow sales growth (3.9% YoY)
EPS YoY
-3.0%
Earnings shrinking (-3.0% YoY)

Slight earnings drop. Typical near a cyclical low.

EPS Consistency
4/8 quarters
Earnings inconsistent quarter-to-quarter

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Cash Flow

Cash Conversion
197%
Turns 197% of profit into real cash
FCF Margin
19.5%
Converts sales into free cash efficiently (19.5%)

FCF margin between 10% and 20%. Every $100 in sales becomes $10 to $20 in real cash.

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Stability

Debt / Equity
0.19
Conservative — low debt load (0.19)
Interest Cover
37.28x
Comfortably covers interest (37.3x)

Interest coverage above 8. Profits cover interest many times over.

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Valuation

P/E Ratio (TTM)
12.4x
Attractive valuation — P/E 12.4

P/E in the normal range. Price is roughly $15 for every $1 of yearly profit.

P/E vs Forward
+3.6
GROWING
Earnings expected to grow meaningfully — cheaper on forward P/E (12.4 → 8.7)

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Dividends

Dividend Yield
4.64%
Healthy income — 4.64% yield

Generous yield. Worth checking whether the payout is sustainable.

Dividend Growth
+10.1%
Dividend growing fast (10.1% YoY)

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