What trends can we see in ACN's earnings surprises?

Accenture (ACN) has shown mixed trends in earnings surprises, with recent reports indicating a slight decline in performance compared to expectations. 1. **Recent Earnings Performance**: - In Q2 2025, Accenture reported earnings of $2.82 per share, which missed the Zacks Consensus Estimate of $2.84 per share. This represents an earnings surprise of -0.70%. - The company's revenue for the quarter was $16.66 billion, surpassing the Zacks Consensus Estimate by 0.50%. This marks a 5% increase year-over-year in revenues. |code|Ticker|Name|Date|Revenue Surprise|EPS Surprise|market_code| |---|---|---|---|---|---|---| |ACN|ACN.N|Accenture|2024 Q3|-6.3E7|-0.02|169| |ACN|ACN.N|Accenture|2024 Q4|2.6E7|0.01|169| |ACN|ACN.N|Accenture|2025 Q1|5.3E8|0.17|169| |ACN|ACN.N|Accenture|2025 Q2|4.9E7|0.01|169| 2. **Historical Performance**: - Over the past four quarters, Accenture has surpassed consensus EPS estimates two times and revenue estimates three times. - The company's earnings guidance for the year was narrowed to $12.55 to $12.79 per share, slightly below the Wall Street expectation of $12.72 per share. 3. **Stock Performance and Investor Sentiment**: - Despite the earnings beat, Accenture's stock experienced a significant decline of approximately 6.59% on the day of the earnings release. - The stock's performance has been underwhelming, with a loss of 18.6% over the previous month, trailing the performance of the Computer and Technology sector and the S&P 500. 4. **Future Outlook**: - Accenture's guidance for revenue growth for the year is projected to be between 5% and 7%, which aligns with the company's revenue targets. - The company's earnings growth is expected to be around 9% annually, which places the stock's valuation on the higher side. In conclusion, while Accenture has had past successes in exceeding earnings and revenue expectations, the recent quarter's performance fell slightly short of forecasts, leading to a negative earnings surprise. This trend is indicative of the challenges the company faces in maintaining consistent performance across all quarters.