Accenture (NYSE:ACN) is a global consulting company known for its expertise in technology and management services. It operates in various sectors, including digital, cloud, and security services. Accenture competes with other consulting giants like IBM and Deloitte. The company has a strong focus on innovation, particularly in artificial intelligence (AI), which has been a key driver of its recent performance.
On September 25, 2025, Accenture reported earnings per share (EPS) of $3.03, surpassing the estimated $2.98. This 9% increase in EPS reflects the company's ability to exceed expectations, as highlighted by Business Wire. Accenture's revenue also grew by 7% to $17.6 billion, exceeding the estimated $17.4 billion. This growth occurred despite challenges like reduced U.S. federal government spending and a downturn in the consulting sector.
The company's strong performance is attributed to the growing demand for AI, which played a significant role in its resurgence. Accenture reported bookings of $21.3 billion, with $1.8 billion attributed to AI-related bookings. This highlights the importance of AI in driving the company's growth. Despite a lighter-than-anticipated fiscal 2026 sales outlook, Accenture's stock rose by 1% in early trading after the earnings report.
Accenture's financial metrics provide insight into its market valuation. The company's price-to-earnings (P/E) ratio is approximately 18.78, indicating how the market values its earnings. The price-to-sales ratio stands at about 2.17, reflecting its market value relative to revenue. Additionally, the enterprise value to sales ratio is around 2.12, offering a perspective on its valuation compared to sales.
The company's financial health is further supported by a low debt-to-equity ratio of 0.19, indicating conservative use of debt. The current ratio of 1.46 suggests a solid ability to cover short-term liabilities with short-term assets. Accenture's earnings yield of about 5.33% provides a perspective on the return on investment, making it an attractive option for investors.
