Do You Believe in the Growth Potential of Accenture (ACN)?

Bristol Gate Capital Partners, an investment management company, published its Q3 2025 investor letter for the “US Equity Strategy”. A copy of the letter can be downloaded here. The strategy underperformed the benchmark, the S&P 500® Total Return Index, this quarter, but still surpassed the index in dividend growth. The underperformance was due to a lack of significant exposure to the AI/TMT sector or the Value sector, which provides advantages stemming from the Federal Reserve’s rate cut. The portfolio returned 15% dividend growth over the trailing 12 months, driven by the strong underlying fundamentals. In addition, please check the fund’s top five holdings to know its best picks in 2025.

In its third-quarter 2025 investor letter, Bristol Gate US Equity Strategy highlighted stocks such as Accenture plc (NYSE:ACN). Accenture plc (NYSE:ACN) is a professional services company that provides management consulting, technology, and outsourcing services. The one-month return of Accenture plc (NYSE:ACN) was 3.44%, and its shares lost 23.25% of their value over the last 52 weeks. On December 30, 2025, Accenture plc (NYSE:ACN) stock closed at $270.00 per share, with a market capitalization of $167.438 billion.

Bristol Gate US Equity Strategy stated the following regarding Accenture plc (NYSE:ACN) in its third quarter 2025 investor letter:

“Carrier, Accenture and Intuit were the main detractors from an absolute perspective. Accenture plc (NYSE:ACN) saw a decline in its stock during the quarter following disappointing results from Gartner, a leading provider of independent research and analysis. Gartner’s poor results fueled the AI bear thesis, generally centered around the idea that GenAI will commoditize consulting and business process services offered by IT firms like Accenture. However, we believe there is a key difference between companies like Gartner and Accenture. Gartner only provides research and advisory services which we believe are more prone to GenAI disintermediation. Accenture on the other hand, helps companies implement their solutions, re-engineer workflows and key business processes and scale proof of concepts across global organizations. Historically, technology revolutions have been positive drivers for Accenture’s business and we do not expect this time to be different with GenAI. During fiscal 2025, Accenture tripled its revenue from advanced AI (defined as Generative AI, Agentic AI, and physical AI) to $2.7 billion and nearly doubled its Gen AI bookings to $5.9 billion. We expect further growth ahead.”

In another article, we covered Accenture plc (NYSE:ACN) and shared Artisan Value Fund’s views on the company. In addition, please check out our hedge fund investor letters Q3 2025 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.