ACN – F3Q26 Results: All Too Well

Research evidence excerpt

ACN – F3Q26 Results: All Too Well

June 22, 2026

Jonathan Lee jonathan.lee@guggenheimpartners.com ACN – F3Q26 Results: All Too Well

212 518 5388

Johnson Ooi Key Message: F3Q26 results proved disappointing across revenue, bookings, and the

johnson.ooi@guggenheimpartners.com FY26 outlook, with management pointing to macroeconomic headwinds that surfaced

212 518 9962 late in the quarter. The meaningful step-up in V&A spend (now $9bn in FY26, from

Alexa Ong $5bn prior) reinforces ACN's pivot toward non-FTE revenue, while the simultaneous

alexa.ong@guggenheimpartners.com announcement of a mid-market push reads as an implicit admission that the core demand

212 416 5842 environment remains challenged. With the implied F4Q26 organic exit rate decelerating

to sub-1% at the midpoint, fears of an eventual y/y organic revenue decline are likely

to persist, particularly ahead of management's imminent FY27 outlook. We understand

the near-term concerns around deteriorating fundamentals, but over the medium term,

we continue to see ACN as relatively better positioned than peers to capture AI-relatedACN BUY demand at scale, given the depth and breadth of its client relationships, underpinning

Accenture plc our Buy rating. That said, softer demand and multiple compression drive our price target Sector: IT Services

lower to $185 (vs. $225 prior).

Earnings Release

Share Price $127.98 Investor bear case likely in sharper focus on softer organic exit rate. Results

this quarter continue to do little to assuage ongoing investor concerns around AI Price Target $185.00

disintermediation and pricing pressure. Management narrowed the FY26 revenue growth Prior $225.00

outlook range to +3–4% y/y cc (vs. +3–5% y/y cc prior), while simultaneously stepping up