Accenture on Thursday reported fiscal fourth-quarter earnings and revenue that were largely in line. ACN stock wavered due to mixed fiscal 2023 guidance as currency exchange rates impacted the company's outlook.
"ACN's quarterly results were in line but revenue and earnings guidance for fiscal 2023 missed expectations by what appears to be a couple hundred basis points," Jefferies analyst Surinder Thind said in a note to clients. "Bookings remained strong but favored the outsourcing business over consulting for the first time in eight quarters suggesting an increased focus by clients on cost initiatives."
ACN stock fell 1.2% to close at 262.32 on the stock market today.
The company has approved $3 billion share repurchase program bringing total authorization to $6.1 billion.
Accenture earnings for the quarter ended Aug. 31 rose 18% to $2.60 per share, said the Dublin-based firm. Including acquisitions, revenue rose 15% to $15.42 billion, Accenture said.
Analysts expected Accenture earnings of $2.57 a share on sales of $15.41 billion. A year earlier, Accenture earned $2.20 a share, including investment gains, on sales of $13.42 billion.
ACN Stock: Fiscal 2023 Outlook
For full-year fiscal 2023, Accenture said it expects revenue growth in a range of 8% to 11%. Analysts had projected revenue growth of about 8.8%, or $66.38 billion. Accenture projected per-share earnings in a range of $11.09 to $11.41 vs. estimates of $11.97.
In addition, ACN stock has retreated some 34% in 2022 amid volatility in tech stocks.
Accenture continues to make acquisitions to move into digital, cloud and cybersecurity products. It also has invested in artificial intelligence and blockchain technology.
Heading into the Accenture earnings report, ACN stock had a Relative Strength Rating of 36, according to IBD Stock Check Up.
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