Accent (ACN) on Thursday morning reported fiscal second-quarter earnings and revenue that beat Wall Street targets. The earnings guidance for ACN shares came in slightly below expectations amid plans to cut 2.5% of its workforce, some 19,000 jobs.
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Accenture’s earnings for the quarter ended February 28 rose 6% to $2.69 a share on an adjusted basis, the Dublin-based global technology services and consulting firm said. Including acquisitions, revenue rose 5% to $15.8 billion, Accenture said.
Analysts had expected Accenture earnings of $2.49 per share on sales of $15.59 billion. A year earlier, Accenture earned $2.54 a share, including investment gains, on sales of $15.05 billion.
For its fiscal third quarter, which ends in May, Accenture said it expects revenue of $16.4 billion at the midpoint of guidance. Analysts had projected revenue of $16.6 billion.
ACN Stock: Takeover Spree
As expected, Accenture lowered its fiscal 2023 revenue growth outlook to a range of 8% to 10% in local currency, compared to 8% to 11% previously.
Meanwhile, ACN shares rose 6.5% to around 269.70 in early trading today.
Accenture shares had modestly retired in 2023.
In addition, Accenture continues to make acquisitions to venture into digital, cloud and cybersecurity products. It has also invested in artificial intelligence and blockchain technology.
Ahead of Accenture’s earnings report, ACN shares had a relative strength rating of 32, according to the IBD Stock Check Up.
Follow Reinhardt Krause on Twitter @reinhardtk_tech for updates on 5G wireless, artificial intelligence, cybersecurity, and cloud computing.
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