TLDR
- Accenture stock fell 18% after its fiscal Q3 earnings report and ended the week down nearly 25% — its worst weekly performance ever
- TD Cowen downgraded ACN to Hold from Buy, slashing its price target to $150 from $258
- Bookings dropped 3% from the prior quarter, with management blaming deal delays pushed into fiscal 2027
- Truist and Jefferies also cut their price targets, with Truist citing ~$100M in revenue impact from Middle East tensions
- 14 analysts have revised earnings estimates downward; no analysts currently rate ACN a Sell, but none see clear near-term recovery catalysts
Accenture (ACN) stock is trading around $120–$123 Monday, extending last week’s brutal selloff that saw the stock lose nearly 25% — the worst weekly performance in the company’s history.
The slide began Thursday when ACN dropped 18% to $127.98 after the company posted fiscal Q3 results. Revenue came in at $18.7 billion, just below the $18.78 billion estimate, while adjusted EPS of $3.80 beat the $3.72 forecast. The beat on earnings wasn’t enough to offset a weak outlook and a 3% decline in bookings from the prior quarter.
TD Cowen analyst Bryan Bergin led the downgrade wave Monday, cutting ACN to Hold from Buy and lowering his price target to $150 from $258.
“Our call for durability before potential recovery was wrong,” Bergin wrote. He said sustaining a positive rating had no clear rationale “as numbers go the wrong way.”
The bookings miss was the sticking point. Bergin said the 3% contraction “was not on our bingo card” — he had expected at least modest growth.
Management said several large deals were pushed into fiscal 2027. But Bergin noted that even adjusting for an assumed $1 billion shortfall, managed services bookings still would have declined — a result he said would have challenged investor growth expectations regardless.
Analyst Price Targets Keep Falling
Truist Securities cut its price target to $150 from $210, keeping a Hold rating. The firm flagged roughly $100 million in revenue impact from Middle East tensions, with effects expected to extend through Q4 and potentially beyond.
Truist had already downgraded ACN weeks earlier, pointing to pressured budgets, AI-driven revenue cannibalization, and geopolitical uncertainty. Indirect impacts from the Iran conflict started appearing in the final weeks of Q3, and the firm expects decision-making cycles to keep elongating.
Jefferies analyst Surinder Thind also lowered his price target, cutting it to $130 from $185 while holding his Hold rating. He had flagged softening demand as far back as March. Thind cited lower revenue and earnings estimates for calendar 2027 and said geopolitical pressure is adding to already weak discretionary spending.
RBC Capital cut its target to $175 from $253. Guggenheim trimmed to $185 from $225 but kept a Buy rating.
Where Analysts Stand Now
Of 30 firms tracked by FactSet, 17 rate ACN Buy or Overweight. The remaining 13 rate it Hold. No analyst currently has a Sell rating on the stock.
That said, 14 analysts have revised earnings estimates downward for the upcoming period, per InvestingPro. The stock is trading near its 52-week low of $125.60, and the RSI suggests it is in oversold territory.
CEO Julie Sweet cited Middle East tensions as one factor in the quarter’s weakness. The company has also continued its acquisition push into cybersecurity and has partnerships with OpenAI and Anthropic for agentic AI offerings.
ACN stock was trading at $120.85 Monday afternoon, down about 5.6% on the day.
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