RBC Lifts Accenture (ACN) Target on Strong Bookings and AI Demand

Accenture plc (NYSE:ACN) is included among the 13 Best Debt Free Dividend Stocks to Buy Now.

RBC Lifts Accenture (ACN) Target on Strong Bookings and AI Demand

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On December 19, RBC Capital raised its price target on Accenture plc (NYSE:ACN) to $295 from $285 and kept an Outperform rating after the company’s Q1 earnings beat. The quarter came in strong. Overall bookings rose 10% year over year in local currency, while AI bookings increased about 22% from Q4, the analyst noted. RBC also nudged the target higher to reflect Accenture’s expanding AI partnership ecosystem, which it sees supporting long-term growth.

In other news, Accenture plc (NYSE:ACN) agreed to acquire Cabel Industry from the Fibonacci Group. The firm said the deal will strengthen its technology and solutions offering for financial institutions in Italy. Massimiliano Colangelo, Financial Services lead for Accenture in Italy and Greece, made the following statement:

“Combining Cabel Industry’s capabilities with Accenture’s existing AFAST assets will create important synergies for our clients and lead to a stronger platform for innovation and efficiency. We can further support financial institutions in their IT reinvention journeys—from core banking modernization to managed services—reinforcing our role as a trusted partner in the region.”

With the acquisition, Accenture expects to deepen its capabilities across banking and insurance, including credit management. It also plans to speed technology adoption among mid-market institutions. Cabel provides core banking platforms and managed IT services to mid-sized financial firms. The company employs about 200 professionals. Financial terms were not disclosed, and the transaction remains subject to customary closing conditions.

Accenture plc (NYSE:ACN) helps enterprises modernize by building digital foundations and applying AI across operations. The focus stays on delivering value at scale and speed across the organization.

While we acknowledge the potential of ACN as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than ACN and that has a 100x upside potential, check out our report about the cheapest AI stock.

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Disclosure: None.