The professional services company's revenue and earnings for the first quarter of fiscal 2025 top Wall Street expectations.
Accenture forecast annual revenue growth below Wall Street estimates on Thursday, hurt by weak enterprise spending on IT services.
Analysts expect Accenture to report $3.42 EPS on $17.14B in revenues, with potential for beating estimates due to recent upward revisions. I am cautious about starting a position due to uncertainties in AI investments and lackluster M&A-driven top-line growth, maintaining a hold rating. The company is aggressively expanding in AI, aiming for 80,000 AI-focused employees by FY26, but this exuberance may lead to future workforce cuts.
Accenture (ACN) will report first-quarter fiscal 2025 earnings before the opening bell Thursday, and analysts see room for growth ahead of the results.
ACN's first-quarter fiscal 2025 top line is likely to have benefited from the SynOps platform to drive automation.
Accenture (ACN 0.21%) is investing in leveraging the increasing enterprise demand for artificial intelligence.
Besides Wall Street's top -and-bottom-line estimates for Accenture (ACN), review projections for some of its key metrics to gain a deeper understanding of how the company might have fared during the quarter ended November 2024.
Accenture has seen weak performance recently, despite its strong historical record, due to slow growth and reallocation of IT budgets towards AI. The asset-light, labor-intensive business model ensures predictable revenue and earnings, with a significant increase in AI-specific bookings expected to boost growth in 2025. Despite high free cash flow and potential for acquisitions, ACN's premium valuation and moderate growth prospects limit substantial upside, leading to a Sell rating.
Accenture (ACN) possesses the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
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Accenture (ACN) closed at $359.50 in the latest trading session, marking a -0.88% move from the prior day.