Accenture LTD (ACN): Resuming October Advance

Conclusion, Investment Implications, Strategy

Accenture LTD (ACN) appears to be resuming its October 2019 advance following about 6 weeks of sideways investor indecision. A sustained rise above the upper boundary of the indecision area, currently at $210.85, would help confirm this and target an additional 4% rise to $220.00 per share.

Analysis and Rationale

Accenture LTD (ACN) provides consulting, technology, and outsourcing services worldwide. Its Communications, Media & Technology segment provides professional services for clients to accelerate and deliver digital transformation, develop industry-specific solutions, and enhance efficiencies and business results for communications, media, high tech, software, and platform companies. The company’s Financial Services segment offers services for profitability pressures, industry consolidation, regulatory changes, and the need to continually adapt to new digital technologies for banking, capital market, and insurance industries. Its Health & Public Service segment provides consulting services and digital solutions to help clients deliver social, economic, and health outcomes for healthcare payers and providers, government departments and agencies, public service organizations, educational institutions, and non-profit organizations. The company’s Products segment helps clients enhance their performance in distribution, sales, and marketing; in research and development, and manufacturing; and in business functions, such as finance, human resources, procurement, and supply chain. Its Resources segment enables clients in chemicals, energy, forest products, metals and mining, and utilities and related industries to develop and implement strategies, improve operations, manage complex change initiatives, and integrate digital technologies. Accenture plc has alliance relationships with Amazon Web Services, Google, Microsoft, Oracle, Pegasystems, Salesforce, SAP, Workday, TradeIX, and others. Accenture plc was founded in 1989 and is based in Dublin, Ireland.

Chart 1 below plots ACN daily since mid 2019 along with its 200-day moving average, a widely-watched major trend proxy. The colored highlights show that the stock appears to be resuming its larger October 2019 advance following about 6 weeks of sideways investor indecision. A sustained rise above the upper boundary of the indecision area, currently at $210.85, would help confirm this and target an additional 4% rise to $220.00 per share.

Chart 1

ACN has maintained statistically significant and stable positive correlation to the NASDAQ Composite Index (COMP) throughout the past 15 years. Per the correlation, we view this emerging breakout in ACN as being similarly positive for technology stocks in general.

Table 1 below shows that, considering the aforementioned upside target and a protective stop placed below the $209.75 area, a long entry price of $212.25 would provide a 1:3.1 risk/reward ratio (risking $1.00 to make $3.1) with an initial risk of just 1.2%.

Table 1

Click Here for a table containing all of our current stock, ETF and index ideas.

Please consult the table showing our Asbury 6 key market metrics to help determine if this investment is suitable for you.

Chatham Centre
1901 N. Roselle Road
Suite 800
Schaumburg, IL 60195

PHONE: 888.960.0005
EMAIL: info@asburyresearch.com

Disclosure/Disclaimer: The information on this website is provided solely for informational purposes and is not intended to be an offer to sell securities or a solicitation of an offer to buy securities. The strategies employed in managing this and other model portfolios may involve algorithmic techniques such as trend analysis, relative strength, moving averages, various momentum, and related strategies. There is no assurance that these strategies and techniques will yield positive outcomes or prevent losses. Past performance as indicated from historical back-testing is hypothetical in nature and does not involve actual client portfolios, does not consider cash flows or market events, and is not predictive of future performance. The model is managed by contemporaneously recording hypothetical trades. Such trades are not live trades and are not influenced by emotional or subjective reactions to extraneous market, economic, political and related factors. The performance for such model(s) is derived from utilizing a variety of technical trading strategies and techniques. Technical trading models are mathematically driven based upon historical data and trends of domestic and foreign market trading activity, including various industry and sector trading statistics within such markets. Technical trading models utilize mathematical algorithms to attempt to identify when markets are likely to increase or decrease and identify appropriate entry and exit points. The primary risk of technical trading models is that historical trends and past performance cannot predict future trends and there is no assurance that the mathematical algorithms employed are designed properly, new data is accurately incorporated, or the software can accurately predict future market, industry, and sector performance. Asbury Research LLC does not and cannot provide any assurance that an investment in the model portfolios will yield profitable outcomes. The risk of loss trading in financial assets can be substantial, and different types of investment vehicles, including ETFs, involve varying degrees of risk. Therefore, you should carefully consider whether such trading is suitable for you in light of your financial condition. An investor’s personal goals, risk tolerance, income needs, portfolio size, asset allocation and securities preferences, income tax, and estate planning strategy should be reviewed and taken into consideration before committing to a specific investment program. Please consult with your financial advisor to discuss the appropriateness of any strategy prior to investing. All investments involve risk. Principal is subject to loss, and actual returns may be negative. Returns are not guaranteed in any way and may vary widely from year to year.

All Contents © Copyright 2005-2025 Asbury Research LLC. The contents of all material available on this Internet site are copyrighted by Asbury Research LLC. unless otherwise indicated. All rights are reserved by Asbury Research LLC., and content may not be reproduced, downloaded, disseminated, published, or transferred in any form or by any means, except with the prior written permission of Asbury Research LLC., or as indicated below. Members of Asbury Research LLC. may download or print web pages for personal or academic use, consistent with their user agreement. However, no part of such content may be otherwise or subsequently reproduced, downloaded, disseminated, published, or transferred, in any form or by any means, except with the prior written permission of and with express attribution to Asbury Research LLC. Copyright infringement is a violation of federal law subject to criminal and civil penalties.

Accenture LTD (ACN): Resuming October Advance

Conclusion, Investment Implications, Strategy

Analysis and Rationale

Asbury Research

Asbury Research subscribers get more detail on our latest analysis,
and updates to our quantitative models

Schedule A 15-Minute Zoom Meeting With Us To Get More Information >>>

Accenture LTD (ACN): Resuming October Advance

Conclusion, Investment Implications, Strategy

Analysis and Rationale

Asbury Research

Asbury Research subscribers get more detail on our latest analysis, and updates to our quantitative models

Schedule A 15-Minute Zoom Meeting With Us To Get More Information >>>

Asbury Research subscribers get more detail on our latest analysis,
and updates to our quantitative models