Is Accenture plc (ACN) overvalued or undervalued?
Updated Nov 10, 2026 · hand-researched model · educational, not advice
At a recent price of $254.37, Accenture plc (ACN) sits inside a range too wide to call either way: our valuation lenses put the business somewhere between $91.43 and $328.69 per share. They disagree too widely for us to state a single fair value. We publish the range rather than a midpoint because a number that precise would claim more than the methods can support. This is an educational model, not a price target or a recommendation.
The valuation discounts Accenture plc's projected free cash flows at a weighted-average cost of capital (WACC) of 10.2%, with a long-run terminal growth rate of 2.5%. About 70% of the enterprise value comes from the terminal value — the portion beyond the explicit forecast window — which is typical for a stable, cash-generative business and a reminder that small changes in the discount rate or terminal growth assumption swing the intrinsic value meaningfully.
Running the DCF in reverse — solving for the growth the current price already assumes — the market is implying roughly 4.5% annual revenue growth for ACN. Our base case instead compounds to about 3.4% a year over the same forecast, so the market's implied growth is broadly in line with our base case. The reverse-DCF is a quick sanity check: it reframes 'is this stock cheap?' as 'do I believe the growth the price requires?' rather than arguing over a single point estimate of fair value.
Sensitivity matters more than any single number. Across a reasonable band of discount-rate assumptions, ACN's modeled DCF value ranges from about $150.14 to $277.41 per share. If that range still sits below today's price, the market is optimistic relative to the model across the whole band; if it brackets the price, the stock is roughly fairly valued on our assumptions. Use the interactive slider to see exactly where your own cost-of-capital view lands.
How to read this page: the DCF fair value is what Accenture plc would be worth if its cash flows grow as modeled and are discounted at the stated WACC. The assumptions table shows every input and its source; the reverse-DCF shows what the market believes; the sensitivity band shows how fragile the answer is. None of this is investment advice — it is a transparent, auditable framework for forming your own view of ACN's intrinsic value. Figures update as new filings and prices come in.
The assumptions behind ACN's DCF
| Input | Value | Source |
|---|---|---|
| Base-year revenue | $69,672,977,000 | Accenture FY2025 10-K (accession 0001467373-25-000217, filed 2025-10-10): us-gaap:Revenues FY2025 = $69,672,977K, +7.4% on FY2024's $64,896M (+7% local currency). WHY FY2025 AND NOT FY2026: the FY2026 10-K is NOT yet filed (EDGAR submissions checked 2026-10-03; Accenture filed the FY2025 10-K on 2025-10-10, so FY2026's is due ~mid-October). The house rule is that the base year needs a filed 10-K, so FY2025 is the base and the already-completed FY2026 is Year 1 of the forecast, read off the unaudited Q4 release of 2026-10-01. CROSS-CHECK: FY2026 revenue was $74,183M, +6.5% in USD and +5% in local currency (release), of which the CFO said roughly 3 points were organic and the rest acquisitions; FX added ~2 points. |
| Base EBIT margin | 14.7% | Accenture FY2025 10-K (accession 0001467373-25-000217, filed 2025-10-10): GAAP operating income $10,225.7M / revenue $69,673.0M = 14.68%. Accenture reports an operating-income line, so nothing is derived. It is AFTER $615.3M of 'business optimization costs' ($344M severance + $271M impairments on two divested acquisitions); Accenture's adjusted margin excluding them was 15.6%. I use the GAAP figure because those costs RECUR: FY2023 $1,063M, FY2024 $438M, FY2025 $615M, FY2026 $308M - four fiscal years running, ~0.9% of revenue on average (FY2024-26 ex the non-cash impairment ~0.5%). See forecast.ebit_margin for how that becomes an allowance. CROSS-CHECK FY2026 (release): GAAP $11,406.0M / $74,183.4M = 15.38% (adjusted 15.8%); Q4 FY2026 alone 15.3% with no optimization charge. |
| Forecast revenue growth | 6% → 2% → 2% → 3% → 3% | Assumption — TickerWorth's 5-year explicit forecast |
| Risk-free rate | 5.2% | US 10Y Treasury constant maturity (FRED DGS10): 5.24% on 2026-10-01, the latest published observation. Shared by every model in this tracker. |
| Beta | 1.09 | Yahoo Finance 5Y-monthly beta via yfinance, read 2026-10-03: Published 5Y-monthly beta 1.092, used AS IS (rounded to 1.09) - no normalization. Accenture's beta has historically sat around 1.0-1.2, so the figure is not an outlier. Caveat in both directions: the June-July 2026 collapse (a record one-day fall of ~18-20% on 2026-06-18, a low near $118) and the October rebound are only a handful of the ~60 monthly observations, so the regression barely registers the new GenAI-driven volatility, which argues for a HIGHER beta; but a services firm with ~9,000 clients and multi-year managed-services contracts is less cyclical than the market, which argues for lower. Held at published. Each 0.1 of beta is worth roughly $11-12/share; the reverse DCF says a beta of ~1.04 closes the gap. |
| Terminal growth | 2.5% | Assumption — house default: House default 2.5% (roughly long-run nominal GDP), kept for comparability. It is ORGANIC growth forever, consistent with the forecast excluding acquisitions. Not generous for a firm that grew organically ~3% even in a weak FY2026, but not conservative if GenAI permanently shrinks the billable-hours pool - which is exactly the debate. 2.0% takes ~$9/share off; 3.0% adds ~$10. Must stay well below the ~10.2% WACC; it does. |
| Diluted shares | 605M | Accenture Q4/FY2026 earnings release, 8-K Ex-99.1 (accession 0001467373-26-000037, filed 2026-10-01): Q4 FY2026 weighted-average diluted shares 605,283,767 - the latest quarter (full-year FY2026 617.5M; FY2025 632.4M). The count includes Accenture Canada Holdings exchangeable shares (treated as converted one-for-one), so that small noncontrolling interest is NOT also subtracted in net debt. ~596M shares were outstanding at 2026-08-31 after 39.9M were repurchased or redeemed in FY2026 ($7.5B); the count is FALLING ~2-3% a year because buybacks outrun ~$2.1B a year of stock compensation. |
| Market price | $254.37 | Delayed quote · as of 2026-11-10 05:05 UTC |
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