Accenture plc (ACN) Technical Analysis: What Are The Charts Saying?

Considering all key technical indicators, a 80% Buy signal has occurred for Accenture plc (NYSE:ACN). The stock is also flashing a Buy from the Barchart TrendSpotter trading system. Traders hoping to speculate on the ACN’s short-term trajectory should know that short terms indicators for the stock averaged 80% Buy with an average daily trading volume over the past 20 days at 1800040 shares. ACN stock has overall a 1% Buy signal considering medium term indicators and the 50-day average daily volume remained almost 1923712 shares. It’s also worth noting that the stock, whose average daily volume over the 100 days prior to this writing was shares, is 33% Buy on the basis of long term indicators.

The share price is currently staying around the first support level of $164.31. Below this, the next support is placed in the zone of $163.8. Till the time, the ACN stock trades above this level, bulls have nothing to fear. On momentum oscillators front, ‘RSI’ has touched 72.42 on daily chart, which may remain a cause for concern. If the price breaks below $163.8 level on closing basis, then we may see more profit booking and the stock may show further weakness. On the flipside, hitting the $165.13 mark may result into a pull-back move towards $165.44 level.

Accenture plc (ACN) is projected to climb by 2.61 percent over the next 12 months, according to price target estimates compiled by finviz. Meanwhile, they have set a $205-month high price target. This represents a whopping 24.38 percent increase from where shares are trading today. The 12-month median price target assigned by the analysts stands at $170, which represents a return potential of 3.14 percent when compared to the closing price of the stock of $164.82 on Thursday, March 14. The lowest price target for the stock is $130 — slightly more than -21.13 percent from ACN’s current share price.

Here’s a rundown of insider trading activity for sense of Accenture plc (NYSE:ACN).

ACN shares accumulated 0.71 points or 0.43 percent on Thursday to $164.82 with a heavy trade volume of 2.261 million shares. After opening the session at $164.46, the shares went as high as $164.93 and as low as $164.11, the range within which the stock’s price traded throughout the day. The firm is left with a market cap of $105 billion and now has 638.08 million shares outstanding. Accenture plc (ACN) stock has gained 5.23 percent of market value in 21 trading days.

Analysts at Citigroup upped their rating on shares of Accenture plc (NYSE:ACN) from Neutral to Buy in their opinion released on January 16. BofA/Merrill analysts bumped their recommendation on ACN stock from Neutral to Buy in a separate flash note to investors on January 08.

ACN stock has a trailing 3-year beta of 1.1, offering the possibility of a higher rate of return, but also posing more risk. The portion of a company’s profit allocated to each outstanding share of common stock was $6.78 a share in the trailing twelve months. The stock’s value has surged 16.89 percent year to date (YTD) against a rise of 1.43 percent in 12 month’s time. The company’s shares still trade -6.16 percent away from its 1-year high of $175.64 and 24.27 percent up from 52-week low of $132.63. The average consensus rating on the company is 2.1, on a scale where 5 equates to a unanimous sell rating. In short, the mean analyst recommendations are calling this stock a sell.

Shares of Accenture plc (ACN) are trading at a P/E ratio of 25.04 times earnings reported for the past 12 months. The industry ACN operates in has an average P/E of 20.69. Its P/E ratio went as low as 14.65X and as high as 24.03 over the 5-year span. Further, it is sporting a 2.49 on the Price-to-Sales ratio. Compare this with the industry average P/S of 2.57. 30.1 percent is the gross profit margin for Accenture plc and operating margin sits at 14.2 percent. Along with this, the net profit margin is 10 percent.