Accenture: Berenberg still a buyer after results.
(CercleFinance.com) - Berenberg reiterates its "buy" rating on the Accenture stock, with a target price of 140 dollars, saying that uncertainty over US reforms is weighing on the company's growth.
The broker says that the reason for the cut in FY 2017 growth guidance is due to the uncertainty surrounding US healthcare reforms, which reduces business activity in North America, as clients adopt a "wait-and-see" approach.
In a report issued this Friday, Berenberg notes that the IT group's management expects the group to continue with its M&A strategy for at least three years, with M&A adding to top-line growth and points out Accenture's impressive performance in high-growth segments (digital & cloud), which now represent close to 50% of sales.
"Accenture's competitive advantage lies in the fact that it sits at the intersection of technology with business, able to combine business with IT capabilities," the broker sums up in the research note.
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The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
The broker says that the reason for the cut in FY 2017 growth guidance is due to the uncertainty surrounding US healthcare reforms, which reduces business activity in North America, as clients adopt a "wait-and-see" approach.
In a report issued this Friday, Berenberg notes that the IT group's management expects the group to continue with its M&A strategy for at least three years, with M&A adding to top-line growth and points out Accenture's impressive performance in high-growth segments (digital & cloud), which now represent close to 50% of sales.
"Accenture's competitive advantage lies in the fact that it sits at the intersection of technology with business, able to combine business with IT capabilities," the broker sums up in the research note.
Copyright (c) 2017 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.