Accenture Stock Price: $303 Target From Citi

By Amit Chowdhry ● December 20, 2020
  • The stock price of Accenture Plc (NYSE: ACN) has received a price target increase from $265 to $303 from Citi. These are the details.

The stock price of Accenture Plc (NYSE: ACN) has received a price target increase from $265 to $303 from Citi. Citi analyst Ashwin Shirvaikar is also keeping a “Buy” rating upon the company having a solid beat-and-raise quarter. Shirvaikar recommended that investors hold their stakes in Accenture as he expects the demand to build over several quarters.

Earlier this week, Accenture reported its Q1 2021 results. The revenues were $11.76 billion, which was more than $200 million above the company’s guided range. And GAAP EPS are $2.32, an 11% increase from $2.09 in the first quarter last year.

The operating income increased 7% to $1.89 billion with operating margin of 16.1%. And new booking are $12.9 billion, a 25% increase from the first quarter last year with consulting bookings of $6.6 billion and outsourced bookings of $6.3 billion.

“I am pleased that we delivered first-quarter revenues above our expectations, with broad-based improvement across industries and geographic markets, reflecting the relevance of our services, the strength of our growth strategy and the advantages of our scale in digital, cloud and security. New bookings, profitability and free cash flow were all very strong, and we again returned substantial cash to shareholders while continuing to invest in our business and our people,” said Accenture CEO Julie Sweet in a statement.

Disclosure: I have a small ACN position in my stock portfolio.