Today’s Stock: Accenture plc (ACN)Today’s Stock: Accenture plc (ACN)
Accenture plc provides strategy and consulting, industry X, song, and technology and operation services in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. It offers systems integration and application management; security; intelligent platform; infrastructure; software engineering; data, AI, cloud; and automation and global delivery services. The company also operates business processes for specific enterprise functions, including finance and accounting, sourcing and procurement, supply chain, marketing and sales, and human resources, as well as industry-specific services, such as platform trust and safety, banking, insurance, network and health services; and designs, manufactures, and assembles automation equipment, robotics, and other commercial hardware products.
My Thoughts 💭My Thoughts 💭
I have no idea what this business is or does.
This stock is part of my experiment. Since I started buying this stock almost four years ago, I’ve lost almost 12%. If I add in the dividends, it might be closer to a 10% loss.
At 311.4k sats per share ($87,124), and a 7.4k sats per share dividend payment , it will take 42 years to break even on the capital investment in shares. At a PE of 21 the stock is a somewhat cheap but the 300k sat price is a bit steep.
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The company has strong fundamentals. The growth projections are a bit weak, at only 8%. However, the revenue is strong, and the balance sheet is great. When you add in the dividend payment, this would be a great addition to anyone’s portfolio.
However, this stock is suffering the same issues as Adobe, which is a great business but doesn’t show up in the stock price. Both companies have lost value in the last 4+ years due to weak growth projections and possibly the fear of AI disrupting ACN’s business model.
If I weren’t conducting an experiment, I wouldn’t own this stock because Bitcoin is better. Additionally, I’m not passionate about ACN and the software/services they provide. However, as a reasonably priced dividend-paying stock, I can see ACN having a lot of interest among value and dividend investors.
I like this stock.
More than Adobe?
No I would probably take Adobe in this case.
Yeah if I had to choose between one or the other. Just crazy to see how AI hurt their stock price when they have great fundamentals!