We recently compiled a list of the 12 Best Big Data Stocks To Buy According to Hedge Funds. In this article, we are going to take a look at where Accenture plc (NYSE:ACN) stands against the other big data stocks.

Big data refers to large and diverse collections of data that cannot be managed by traditional data processing tools.  Although the need to manage large data sets goes back to the 1960s and 1970s, it was around 2005 when open-source frameworks were created to store and analyze big data sets. Then, the Internet of Things (IoT) enabled gathering more data on product performance and customer usage patterns with more devices connected to the Internet. With the current expansion of generative AI and cloud computing enterprise use, big data continues to grow.

According to a report by Research and Markets, the big data market is projected to grow from $220.2 billion in 2023 to $401.2 billion by 2028, at a compound annual growth rate of 12.7% during the forecast period. Region-wise, North America holds the largest market share, driven by early adoption of big data solutions, a mature IT infrastructure, and a strong focus on innovation. Simultaneously, Asia Pacific serves as the fastest-growing segment in the market as a result of rapid digitization, proactive government support for technological advancements, and growing internet connectivity.

Big data offers numerous benefits such as enhancing predictive capabilities, better insights, strategic decision-making, personalized customer experiences, and improved operational efficiency. The use cases for big data are diverse spanning various industries including retail and ecommerce, healthcare, financial services, manufacturing, as well as government and public services. For instance, the e-commerce giant Amazon utilizes big data gathered from customers to fine-tune its recommendation engine to recommend products to customers who tend to feel overwhelmed by the variety of choices available to them in the modern era. Such suggestions tend to drive impulsive purchases.

Simultaneously, the biotech leader AstraZeneca has unlocked the potential of data and AI-driven drug discovery and development. The firm claimed to hold a vast trove of oncology data from numerous consenting patients, including clinical, imaging, and multi-omics data. This data is fed by the firm’s Oncology Data Science team into a system that uses AI and other statistical tools to generate novel hypotheses in oncology drug development. Other than data from its clinical trials, the firm also collaborates with external companies to leverage real-world data that represents patients from across the globe.

Our Methodology:

In order to compile a list of the 12 best big data stocks to buy according to hedge funds, we went through relevant ETFs and media reports to make a list of big data stocks. Moving on, we shortlisted the top 12 stocks from our list which had the highest number of hedge fund holders. The 12 best big data stocks to buy according to hedge funds have been arranged in ascending order of their hedge fund holders, as of Q3.

At Insider Monkey we are obsessed with the stocks that hedge funds pile into. The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).

Accenture plc (NYSE:ACN)

Number of Hedge Fund Holders: 60

Accenture plc (NYSE:ACN) is a leading global professional services company headquartered in Dublin. The company helps its clients use technology to drive enterprise-wide transformation by building their digital core, optimizing their operations, and accelerating their revenue growth. Accenture offers a range of services such as Strategy and Consulting, Technology and Operations Services. The firm is a talent- and innovation-led company with 774,000 people catering to clients in more than 120 countries.

Accenture combines its strength in technology and leadership in cloud, data, and AI with an unrivaled experience, global delivery capability, and functional expertise. In terms of experience, the firm has more than 100 data and AI projects in nearly every industry, with an unrivaled ecosystem of alliance partners. The firm offers a full spectrum of services to help companies unlock the value of dormant data.

Accenture also enables companies to unlock the value of data, innovation, and cloud by its deep partnership with Oracle. While the need for continuous reinvention has become crucial for businesses, a unified digital core becomes essential for driving sustained growth. In this regard, Oracle technology helps businesses build a scalable digital core that integrates seamlessly across functions and ensures that data is connected, processes are streamlined, and decision-making is better.

Accenture plc (NYSE:ACN) recently closed its full fiscal year ended August 31 with a record $81.2 billion new bookings for the full year. The firm continues to lead in Generative AI which is going to be the most transformative technology in the future. It posted Generative AI new bookings of $1 billion for the fourth quarter and $3 billion for the full year. For fiscal 2025, Accenture is in a good position with continued investments in its business and its proven strategy of leading reinvention for clients.

Overall ACN ranks 5th on our list of the best big data stocks to buy according to hedge funds. While we acknowledge the potential of ACN as an investment, our conviction lies in the belief that some deeply undervalued AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for a deeply undervalued AI stock that is more promising than ACN but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock.

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