Accenture's Fiscal Q3 Earnings Beat Offset by Weaker-Than-Expected Bookings, UBS Says

MT Newswires Live06-23

Accenture's (ACN) fiscal Q3 earnings per share beat and capital return were offset by weaker-than-expected bookings and moderate growth amid ongoing market volatility, UBS Securities said.

Bookings declined to $19.3 billion from $19.7 billion a year earlier. The company raised the low end of its fiscal 2026 EPS guidance to $13.78 to $13.90 from $13.65 to $13.90. Furthermore, it lowered the high end of its revenue growth guidance to 3% to 4% from 3% to 5%, according to the note Thursday.

Free cash flow guidance was unchanged at $10.8 billion to $11.5 billion and capital return was raised to at least $9.5 billion from about $9.3 billion.

Accenture reported a majority stake in Dragos and acquired runZero and NetRise for about $4.18 billion earlier this month. UBS said the deals increase the company's fiscal 2026 inorganic contribution to $9 billion from $5 billion.

UBS forecasts fiscal Q4 EPS at $3.24, compared with Street consensus of $3.28.

UBS has a buy rating on Accenture with a price target of $320.

Shares of the company fell nearly 7% in late Monday afternoon trading.

Price: 119.53, Change: -8.45, Percent Change: -6.60

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment