Is Accenture Plc (ACN) A Buy After Q3 Beat, Improved FY15 Outlook?

What have hedge funds been doing with Accenture Plc (NYSE:ACN)?

According to hedge fund experts at Insider Monkey, Alex Snow‘s Lansdowne Partners had the number one position in Accenture Plc (NYSE:ACN), worth close to $233.1 million comprising about 2.49 million shares and making up 2.1% of its total 13F portfolio. Coming in second is Adage Capital Management, managed by Phill Gross and Robert Atchinson, which held a $73.9 million position of 788,700 shares in the company. The fund has 0.2% of its 13F portfolio invested in the stock. Other members of the smart money that hold long positions encompass Brian Ashford-Russell and Tim Woolley’s Polar Capital, Hugh Sloane’s Sloane Robinson Investment Management, and Joel Greenblatt’s Gotham Asset Management.

Seeing as Accenture Plc (NYSE:ACN) has experienced declining sentiment from the hedge fund industry, it’s safe to say that there were a few funds that slashed their full holdings last quarter. Interestingly, Jim Simons‘ Renaissance Technologies cut the biggest stake of the 700 funds tracked by Insider Monkey, comprising an estimated $116.7 million position in call options underlying shares. Dmitry Balyasny’s fund, Balyasny Asset Management, also closed its position of call options, about $12.1 million worth. These moves are intriguing to say the least, as aggregate hedge fund interest dropped by 5 funds last quarter.

Though fewer hedge funds among those tracked by Insider Monkey were long in the stock by the end of the first quarter, the substantially higher aggregate value of their holdings, even considering the stock’s growth in the first quarter, is a bullish sign for us. It means those who believe in the stock are even more convinced that they have picked a winner. Taking into consideration that Accenture Plc (NYSE:ACN) has beaten expectations for its third quarter and raised its outlook for the full fiscal year, the firm’s stock also inspires confidence as a good buy.

Disclosure: None