Accenture PLCFind Ratings Reports
ACCENTURE PLC's gross profit margin for the fourth quarter of its fiscal year 2016 is essentially unchanged when compared to the same period a year ago. The company managed to grow both sales and net income at a faster pace than the average competitor in its industry this quarter as compared to the same quarter a year ago. ACCENTURE PLC has average liquidity. Currently, the Quick Ratio is 1.25 which shows that technically this company has the ability to cover short-term cash needs. The company's liquidity has increased from the same period last year, indicating improving cash flow.
During the same period, stockholders' equity ("net worth") has increased by 23.17% from the same quarter last year. Together, the key liquidity measurements indicate that it is relatively unlikely that the company will face financial difficulties in the near future.
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|Income Statement||Q4 FY16||Q4 FY15|
|Net Sales ($mil)||8965.58||8364.51|
|Net Income ($mil)||1069.23||737.63|
|Balance Sheet||Q4 FY16||Q4 FY15|
|Cash & Equiv. ($mil)||4908.48||4363.21|
|Total Assets ($mil)||20629.2||18266.06|
|Total Debt ($mil)||27.23||27.44|
|Profitability||Q4 FY16||Q4 FY15|
|Gross Profit Margin||29.62||29.94|
|Return on Assets||19.93||16.71|
|Return on Equity||54.42||49.78|
|Debt||Q4 FY16||Q4 FY15|
|Share Data||Q4 FY16||Q4 FY15|
|Shares outstanding (mil)||621.0||626.7|
|Div / share||0.0||0.0|
|Book value / share||12.17||9.79|
|Institutional Own %||n/a||n/a|
|Avg Daily Volume||2383059.0||2081698.0|
BUY. This stock's P/E ratio indicates a discount compared to an average of 26.91 for the IT Services industry and a discount compared to the S&P 500 average of 24.64. For additional comparison, its price-to-book ratio of 9.54 indicates a significant premium versus the S&P 500 average of 2.73 and a significant premium versus the industry average of 7.86. The price-to-sales ratio is above the S&P 500 average, but well below the industry average. The valuation analysis reveals that, ACCENTURE PLC seems to be trading at a discount to investment alternatives within the industry.
|ACN 17.99||Peers 26.91||ACN 15.75||Peers 20.93|
Discount. A lower P/E ratio than its peers can signify a less expensive stock or lower growth expectations.
ACN is trading at a significant discount to its peers.
Discount. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures.
ACN is trading at a discount to its peers.
|ACN 17.91||Peers 21.56||ACN NM||Peers 2.54|
Average. An average price-to-projected earnings ratio can signify an industry neutral stock price and average future growth expectations.
ACN is trading at a valuation on par with its peers.
Neutral. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.
ACN's negative PEG ratio makes this valuation measure meaningless.
|ACN 9.54||Peers 7.86||ACN 35.50||Peers 12.31|
Premium. A higher price-to-book ratio makes a stock less attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.
ACN is trading at a premium to its peers.
Higher. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.
ACN is expected to have an earnings growth rate that significantly exceeds its peers.
|ACN 2.07||Peers 5.51||ACN 5.72||Peers 13.17|
Discount. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.
ACN is trading at a significant discount to its industry on this measurement.
Lower. A sales growth rate that trails the industry implies that a company is losing market share.
ACN significantly trails its peers on the basis of sales growth