Accenture plc (ACN)

Services-Business Services, NEC

Latest Price

$165.92

TTM P/E

13.25

Normalized P/E

14.42

Div Yield

3.84%

Book Value

52.09

P/B Ratio

3.19

Valuation metrics

EPS: $12.15

Book value / share: $49.33

Formula: √(22.5 × EPS × BVPS)

Graham Number

$116.12

30% downside

Norm. op. income: $8.8B (median of 7yr)

Tax rate: 23%

Discount rate: 10%

Growth assumption: zero (EPV is a no-growth value)

Earnings Power Value

$116.64

30% downside

Base FCF: $8.8B (median of recent 5yr)

Growth: 8%/yr (median YOY, capped at 25%)

Discount rate: 10%

Terminal growth: 3%

Projection horizon: 10 years

DCF Fair Value

$299.85

+81% upside

EPS: $12.15

Target P/E: 14×

Formula: EPS × P/E

P/E Fair Value

$170.10

+3% upside