This aggressive capital deployment brings the firm’s total annual share repurchases to $7.5 billion. The decision follows a brutal market reaction to the company’s mixed third-quarter earnings report, which prompted management to lower its full-year growth outlook. Shares hit a 52-week low of $118.15 on Monday before rebounding slightly to close at $124.83.
In section Market Quotes
Accenture Accelerates $2 Billion Buyback to Stem Share Slump
Accenture is injecting an additional $2 billion into its stock buyback program, a sharp pivot following an 18% single-day share price collapse last Thursday. The consulting giant now intends to repurchase $2.3 billion in equity through the end of its fiscal fourth quarter on August 31.
Management maintains that the current valuation fails to capture the firm’s underlying financial health or its long-term prospects. With a market capitalization exceeding $76 billion, the company confirmed it will retain roughly $1 billion in dry powder for further repurchases even after executing this expanded quarterly plan.
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