Xia Yu, director at Summit Therapeutics, buys $9.9 million in shares
Investing.com - UBS maintained its Buy rating and $315.00 price target on Accenture plc (NYSE:ACN), currently trading at $235.27 near its 52-week low, following the company’s fourth-quarter results and introduction of its fiscal 2026 guidance. According to InvestingPro analysis, the company appears undervalued with strong fundamentals and a healthy 2.55% dividend yield.
The firm noted that Accenture delivered "better than expected FQ4 and 2026 guide" despite ongoing market volatility, demonstrating strong execution capabilities amid macroeconomic uncertainty. The company maintains a "GOOD" financial health rating on InvestingPro, with robust profitability metrics and moderate debt levels.
UBS highlighted generative AI as a continuing catalyst for Accenture’s business growth, with generative AI bookings reaching $1.8 billion in the most recent quarter, up from $1.5 billion in the third quarter and $1.0 billion in the same quarter last year.
Total new bookings for the fourth quarter stood at $21.31 billion, representing a 6% increase in U.S. dollars and 3% growth in constant currency terms.
The maintained Buy rating reflects UBS’s confidence in Accenture’s ability to navigate market challenges while capitalizing on emerging technologies, particularly in the generative AI space.
In other recent news, Accenture reported its fourth-quarter fiscal 2025 results, with revenue reaching $17.6 billion and earnings per share at $3.03, both surpassing analyst expectations. The company’s revenue growth was 4.5% year-over-year in constant currency, aligning with the higher end of its guidance range. New bookings were strong at $21.3 billion, including a notable $1.8 billion from generative AI, marking an 80% increase from the previous year. Despite these positive results, several investment firms have adjusted their price targets for Accenture. Evercore ISI lowered its target to $280 while maintaining an Outperform rating, citing modest growth. Guggenheim also reduced its price target to $285, maintaining a Buy rating. Meanwhile, BMO Capital decreased its target to $270, keeping a Market Perform rating. In contrast, Goldman Sachs maintained a Buy rating with a price target of $330, acknowledging the company’s solid quarterly results and strong bookings growth.
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