10 AI Stocks Analysts Are Watching

6. Accenture plc (NYSE:ACN)

Number of Hedge Fund Holders: 66

Accenture plc (NYSE:ACN) is one of the 10 AI Stocks Analysts Are Watching. On January 22, Berenberg analyst Meha Pau initiates coverage on the stock with a Buy rating and a price target of $313. According to the firm, a retest is underway in the IT services sector, with AI reshaping demand in favor of large, embedded vendors.

AI is disrupting the labor-intensive delivery model, the firm noted, enabling employee productivity to be a key differentiator. Berenberg highlighted Cognizant as one of the leading peers adapting to the change, while Accenture has also been showing clear productivity gains.

The firm particularly noted how Accenture holds a premium position in the IT services industry’s AI-led transformation. This transformation is underpinned by it its scale, first-mover advantages, and deep ecosystem partnerships which serve as key factors empowering the company to secure major enterprise transformation deals.

Even though the IT services sector has been experiencing softer revenue growth, the firm noted that Accenture’s bookings remain above the company’s 2022-2024 averages. Moreover, improving value per contract signal better medium-term revenue visibility.

Berenberg anticipates Accenture to sustain its share-gaining momentum, being a strategic partner for clients.

Accenture plc (NYSE:ACN) offers strategy and consulting services.