ACN

ACN

Accenture

Dividend / Cash flow

★ Quality 74/100
Undervalued

Price today

$141.46

what the market pays

Worth

$307.93

calculated cycle value

Worth $307.93price today $141.46

Price is 54% below its value

charlieapp.co

⚠️

Unusually large discount. A gap this wide usually means the market is pricing in a risk (AI disruption, for example) that the model does not penalise. A contrarian opportunity: high upside, but high risk — not an obvious one.

Price vs Intrinsic Value

VI$123$196$269$342$415'21'22'23'24'25'26ACNVI $308 · MdS +118%
UndervaluedDiscountedFair priceIV = current model value

The line is the price month by month; the green band marks when it's undervalued (−20% off value). When the price drops in there, the discount is real, not opinion.

Where does the value come from?

🏛️

Established business paying dividends

$297.74

per share

How it's calculated

💰

Free cash flow per share

normalized free cash flow

$17.19
×
📐

Multiplier

years of discounted cash flows

17.3x
=
🏢

Business value

without cash

$297.74

Accenture — high assistant path (2026-06-06). Review note.

🏦

Net cash in the bank

cash minus financial debt, per share

+$10.19

Total calculated value

business + cash

$307.93

How many times the cash flow

Dividend / Cash flow · vs 42 peers

You pay today
7.6x
Sector median
25.8x
Charlie: worth
17.3x

You pay 7.6x times this business's cash flow; its sector median is 25.8x.

128% below what Charlie thinks it's worth (17.3x) — that gap is your safety margin.

Why Undervalued?

Its free cash flow is $17.19/share × 17.3x multiplier plus $10.19 in net cash = $307.93 in intrinsic value. Today's price of $141.46 is 118% below that value — there's a real safety margin to enter.

The price is 54% below the calculated value. There's a real safety margin.

The model asks for a discount to absorb estimate errors. That cushion is here.

If the business disappoints a little, the price should hold near $246.34.

At what price would buying make sense?

Entry zones

🟢 Undervalued

$246.34

-20% off Value

🟡 Discounted

$292.53

-5% off Value

🟢 Today

$141.46

+118% Valor

🟢

Undervalued

Today's price offers a real discount to the calculated value. For the long run, this is the kind of entry that builds wealth.

Price is what you pay. Value is what you get.

— Warren Buffett

Model updated · July 2026

The business

An army of 774,000 brains rented by the hour.

Accenture sells consulting and technology services: strategy, digital transformation, cloud, cybersecurity, and operational outsourcing. It charges per project and through multi-year managed-services contracts. It bills $69.7B with 774,000 employees — the business is people billing hours.

Its edge is scale, deep relationships with large corporations, and the ability to execute transformations that few can coordinate globally. It's not a tollbooth moat; it's reputation and switching costs. Clients don't swap consultants halfway through a $200M project.

Revenue history

$50.5B
2021
$61.6B
2022
$64.1B
2023
$65.0B
2024
$69.7B
2025
CAGR 5 años: +8%

From $50.5B to $69.7B in 4 years. The business grows steadily.

Where each $100 of sales goes

Revenue $69.7B · FY2025

Cost of sales$47.4B · 68%
Operations$12.0B · 17%
Taxes and other$2.5B · 4%
Net profit$7.7B · 11%

Of every $100 in sales, $89 goes to costs and operations; $11 is left as net profit (11% margin).

Catalysts and risks

GenAI bookings: $3B+ cumulative in 2025, growing every quarter.

FCF of $10.9B sustains buybacks and rising dividends year after year.

Tuck-in acquisitions (~$6.6B invested in FY24) that add capabilities and revenue.

⚠️

Gross margin of 32% — a people-intensive business, not software. Raise salaries, lower margin.

⚠️

Discretionary demand: in a recession, companies postpone consulting first.

⚠️

The same AI it sells could compress the billable hours it charges for.

Charlie's note

Paying 23x for a business growing 47% with 32% gross margins isn't a steal, but it's no gift either: the quality is there — scale, reputation, and real switching costs — so the discipline is about not overpaying for a good company and waiting patiently.

Analysis · June 2026

So when would be a good price for Accenture?

Today it trades below what we calculate. If you want us to tell you when that changes —or when the value itself moves because the company reported— we will email you.

🔔 Email me

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Charlie informs, it doesn't advise. No information should be taken as a recommendation to buy or sell.