Price to FCFE (P/FCFE)
Free Cash Flow to Equity (FCFE)
Accenture PLC, FCFE calculation
US$ in thousands
Based on: 10-K (reporting date: 2026-08-31), 10-K (reporting date: 2025-08-31), 10-K (reporting date: 2024-08-31), 10-K (reporting date: 2023-08-31), 10-K (reporting date: 2022-08-31), 10-K (reporting date: 2021-08-31).
The financial trajectory from August 2021 to August 2026 indicates a period of steady growth followed by a substantial acceleration in cash generation capacities. While operating cash flows experienced moderate volatility in the mid-term, the cash available to equity holders demonstrates a consistent and aggressive upward trend.
- Net Cash Provided by Operating Activities
- Operating cash flows increased from 8.98 billion in 2021 to a peak of 9.54 billion in 2022, followed by a period of slight contraction and stagnation through 2024, where values declined to 9.13 billion. A significant inflection point is observed in 2025, with a projected increase to 11.47 billion, further rising to 12.36 billion by 2026.
- Free Cash Flow to Equity (FCFE)
- FCFE exhibits an uninterrupted growth pattern over the six-year period. Starting at 8.39 billion in 2021, the figure rose incrementally through 2024 to reach 9.44 billion. A sharp expansion occurs in the final two years, with FCFE surging to 15.00 billion in 2025 and 16.60 billion in 2026.
- Cash Flow Relationship and Divergence
- A notable shift in the relationship between operating cash flow and FCFE is evident. Between 2021 and 2023, operating cash flows exceeded FCFE. However, starting in 2024, FCFE surpassed operating cash flows. By 2026, FCFE exceeds operating cash flow by approximately 4.24 billion, suggesting that the growth in equity cash flow is being driven by factors beyond operational performance, such as net debt inflows or a significant reduction in capital expenditures.
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Price to FCFE Ratio, Current
Accenture PLC, current P/FCFE calculation, comparison to benchmarks
| No. shares of common stock outstanding | 591,038,148 |
| Selected Financial Data (US$) | |
| Free cash flow to equity (FCFE) (in thousands) | 16,599,813) |
| FCFE per share | 28.09 |
| Current share price (P) | 265.16 |
| Valuation Ratio | |
| P/FCFE | 9.44 |
| Benchmarks | |
| P/FCFE, Competitors1 | |
| Adobe Inc. | 9.27 |
| AppLovin Corp. | 23.19 |
| Cadence Design Systems Inc. | 53.85 |
| Datadog Inc. | 224.73 |
| International Business Machines Corp. | 16.16 |
| Intuit Inc. | 9.20 |
| Microsoft Corp. | 62.20 |
| Oracle Corp. | 21.07 |
| Palantir Technologies Inc. | 177.78 |
| Palo Alto Networks Inc. | 64.95 |
| Salesforce Inc. | 9.24 |
| ServiceNow Inc. | 23.44 |
| Synopsys Inc. | 5.70 |
| Workday Inc. | 17.37 |
| P/FCFE, Sector | |
| Software & Services | 39.28 |
| P/FCFE, Industry | |
| Information Technology | 53.84 |
Based on: 10-K (reporting date: 2026-08-31).
1 Click competitor name to see calculations.
If the company P/FCFE is lower then the P/FCFE of benchmark then company is relatively undervalued.
Otherwise, if the company P/FCFE is higher then the P/FCFE of benchmark then company is relatively overvalued.
Price to FCFE Ratio, Historical
Accenture PLC, historical P/FCFE calculation, comparison to benchmarks
| Aug 31, 2026 | Aug 31, 2025 | Aug 31, 2024 | Aug 31, 2023 | Aug 31, 2022 | Aug 31, 2021 | ||
|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 591,038,148 | 620,441,250 | 625,163,402 | 627,937,555 | 630,580,797 | 632,153,357 | |
| Selected Financial Data (US$) | |||||||
| Free cash flow to equity (FCFE) (in thousands)2 | 16,599,813) | 15,003,560) | 9,442,305) | 9,096,096) | 8,823,131) | 8,387,218) | |
| FCFE per share3 | 28.09 | 24.18 | 15.10 | 14.49 | 13.99 | 13.27 | |
| Share price1, 4 | 229.68 | 240.94 | 361.07 | 304.36 | 250.07 | 341.82 | |
| Valuation Ratio | |||||||
| P/FCFE5 | 8.18 | 9.96 | 23.91 | 21.01 | 17.87 | 25.76 | |
| Benchmarks | |||||||
| P/FCFE, Competitors6 | |||||||
| Adobe Inc. | — | 12.06 | 18.02 | 41.83 | 21.32 | 34.26 | |
| AppLovin Corp. | — | 35.43 | 45.36 | 23.30 | — | 22.51 | |
| Cadence Design Systems Inc. | — | 50.96 | 24.08 | 71.40 | 33.41 | 36.31 | |
| Datadog Inc. | — | 153.91 | 28.64 | 71.93 | 69.38 | 202.25 | |
| International Business Machines Corp. | — | 14.89 | 20.90 | 9.97 | 11.97 | 48.45 | |
| Intuit Inc. | 8.14 | 31.01 | 38.43 | 38.74 | 13.86 | 86.74 | |
| Microsoft Corp. | 45.32 | 60.89 | 42.11 | 43.32 | 36.73 | 42.54 | |
| Oracle Corp. | 30.52 | 89.42 | 48.38 | 15.47 | — | 8.36 | |
| Palantir Technologies Inc. | — | 151.45 | 256.11 | 74.28 | 96.89 | 198.12 | |
| Palo Alto Networks Inc. | 69.87 | 50.89 | 52.90 | 79.75 | 29.54 | 32.91 | |
| Salesforce Inc. | 8.99 | 25.91 | 38.33 | 31.06 | 16.56 | 49.52 | |
| ServiceNow Inc. | — | 26.94 | 61.82 | 58.19 | 44.44 | 64.54 | |
| Synopsys Inc. | — | 6.21 | 63.94 | 57.04 | 33.41 | 40.55 | |
| Workday Inc. | 13.98 | 29.52 | 36.59 | 19.79 | 49.17 | 40.57 | |
| P/FCFE, Sector | |||||||
| Software & Services | — | 40.23 | 39.55 | 32.87 | 31.24 | 34.11 | |
| P/FCFE, Industry | |||||||
| Information Technology | — | 45.06 | 36.66 | 33.12 | 26.68 | 27.39 | |
Based on: 10-K (reporting date: 2026-08-31), 10-K (reporting date: 2025-08-31), 10-K (reporting date: 2024-08-31), 10-K (reporting date: 2023-08-31), 10-K (reporting date: 2022-08-31), 10-K (reporting date: 2021-08-31).
1 Data adjusted for splits and stock dividends.
3 2026 Calculation
FCFE per share = FCFE ÷ No. shares of common stock outstanding
= 16,599,813,000 ÷ 591,038,148 = 28.09
4 Closing price as at the filing date of Accenture PLC Annual Report.
5 2026 Calculation
P/FCFE = Share price ÷ FCFE per share
= 229.68 ÷ 28.09 = 8.18
6 Click competitor name to see calculations.
The valuation of the company, as measured by the Price to Free Cash Flow to Equity (P/FCFE) ratio, exhibits a significant downward trajectory over the analyzed period. While the ratio remained relatively elevated between 2021 and 2024, a sharp contraction occurred in the final two years, indicating a divergence between the market price of the shares and the underlying cash flow generation.
- Free Cash Flow to Equity (FCFE) Trends
- A consistent and accelerating upward trend in FCFE per share is observed. Starting at 13.27 US$ in 2021, the value grew steadily to 15.10 US$ by 2024. This growth accelerated significantly in 2025 and 2026, reaching 24.18 US$ and 28.09 US$ respectively, reflecting a substantial increase in the cash available to shareholders.
- Share Price Volatility
- The share price experienced fluctuations in the first four years, reaching a peak of 361.07 US$ in 2024. However, a marked decline followed, with the price dropping to 240.94 US$ in 2025 and further decreasing to 229.68 US$ by 2026.
- P/FCFE Ratio Interpretation
- The P/FCFE ratio fluctuated between 17.87 and 25.76 from 2021 through 2024. A dramatic shift is noted starting in 2025, where the ratio plummeted to 9.96, and continued to fall to 8.18 in 2026. This compression is the result of the simultaneous occurrence of declining share prices and rapidly increasing per-share cash flows, suggesting a significant decrease in the multiple the market is willing to pay for each dollar of FCFE.
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