Valuation ratios measure the quantity of an asset or flaw (e.g., earnings) associated with ownership of a specified claim (e.g., a share of ownership of the enterprise).

Current Valuation Ratios
Historical Valuation Ratios (Summary)
Price to Earnings (P/E)
Price to Operating Profit (P/OP)
Price to Sales (P/S)
Price to Book Value (P/BV)

Accenture PLC, current price multiples

	Accenture PLC	Automatic Data Processing Inc.	Support Services	Industrials
Selected Financial Data
Current share price (P)	$209.20
No. shares of common stock outstanding	635,637,232
Growth rate (g)	26.17%

Earnings per share (EPS)	$7.52
Next year expected EPS	$9.49
Operating profit per share	$9.92
Sales per share	$67.99
Book value per share (BVPS)	$22.67
Valuation Ratios (Price Multiples)
Price to earnings (P/E)	27.82	33.38	36.88	31.34
Price to next year expected earnings	22.05	29.28	30.26	28.65
Price-earnings-growth (PEG)	1.06	2.39	1.69	3.33
Price to operating profit (P/OP)	21.09	25.30	25.08	15.37
Price to sales (P/S)	3.08	5.40	3.81	2.16
Price to book value (P/BV)	9.23	14.17	15.15	7.08

Based on: 10-K (filing date: 2019-10-29).

If the company price multiple is lower then the price multiple of benchmark then company stock is relatively undervalued.
Otherwise, if the company price multiple is higher then the price multiple of benchmark then company stock is relatively overvalued.

Accenture PLC, historical price multiples

	Aug 31, 2019	Aug 31, 2018	Aug 31, 2017	Aug 31, 2016	Aug 31, 2015	Aug 31, 2014
Price to earnings (P/E)	24.58	24.10	26.18	18.07	22.75	17.46
Price to operating profit (P/OP)	18.63	16.75	19.47	15.44	15.66	11.94
Price to sales (P/S)	2.72	2.35	2.45	2.13	2.11	1.61
Price to book value (P/BV)	8.15	9.44	10.08	9.83	11.33	8.96

Based on: 10-K (filing date: 2019-10-29), 10-K (filing date: 2018-10-24), 10-K (filing date: 2017-10-26), 10-K (filing date: 2016-10-28), 10-K (filing date: 2015-10-30), 10-K (filing date: 2014-10-24).

Valuation ratio	Description	The company
P/E ratio	The P/E ratio tells analyst how much an investor in common stock pays per dollar of current earnings.	Accenture PLC’s P/E ratio decreased from 2017 to 2018 but then slightly increased from 2018 to 2019.
P/OP ratio	Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit.	Accenture PLC’s P/OP ratio decreased from 2017 to 2018 but then increased from 2018 to 2019 not reaching 2017 level.
P/S ratio	An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative.	Accenture PLC’s P/S ratio decreased from 2017 to 2018 but then increased from 2018 to 2019 exceeding 2017 level.
P/BV ratio	The P/BV ratio is interpreted as an indicator of market judgment about the relationship between a company’s required rate of return and its actual rate of return.	Accenture PLC’s P/BV ratio decreased from 2017 to 2018 and from 2018 to 2019.

Accenture PLC, historical P/E calculation, comparison to benchmarks

	Aug 31, 2019	Aug 31, 2018	Aug 31, 2017	Aug 31, 2016	Aug 31, 2015	Aug 31, 2014
No. shares of common stock outstanding¹	635,672,438	638,990,838	635,224,220	642,184,419	648,101,194	655,502,521
Selected Financial Data (US$)
Net income attributable to Accenture plc (in thousands)	4,779,112	4,059,907	3,445,149	4,111,892	3,053,581	2,941,498
Earnings per share (EPS)²	7.52	6.35	5.42	6.40	4.71	4.49
Share price^1, 3	184.80	153.12	141.97	115.67	107.20	78.35
Valuation Ratio
P/E ratio⁴	24.58	24.10	26.18	18.07	22.75	17.46
Benchmarks
P/E Ratio, Competitors⁵
Automatic Data Processing Inc.	31.75	36.29	28.56	27.41	25.75	25.73
P/E Ratio, Sector
Support Services	—	27.58	26.97	20.55	23.72	20.27
P/E Ratio, Industry
Industrials	—	28.09	28.48	22.75	23.39	18.71

Based on: 10-K (filing date: 2019-10-29), 10-K (filing date: 2018-10-24), 10-K (filing date: 2017-10-26), 10-K (filing date: 2016-10-28), 10-K (filing date: 2015-10-30), 10-K (filing date: 2014-10-24).

¹ Data adjusted for splits and stock dividends.

² 2019 Calculation
EPS = Net income attributable to Accenture plc ÷ No. shares of common stock outstanding
= 4,779,112,000 ÷ 635,672,438 = 7.52

³ Closing price as at the filing date of Accenture PLC’s Annual Report.

⁴ 2019 Calculation
P/E ratio = Share price ÷ EPS
= 184.80 ÷ 7.52 = 24.58

⁵ Click competitor name to see calculations.

Valuation ratio	Description	The company
P/E ratio	The P/E ratio tells analyst how much an investor in common stock pays per dollar of current earnings.	Accenture PLC’s P/E ratio decreased from 2017 to 2018 but then slightly increased from 2018 to 2019.

Accenture PLC, historical P/OP calculation, comparison to benchmarks

	Aug 31, 2019	Aug 31, 2018	Aug 31, 2017	Aug 31, 2016	Aug 31, 2015	Aug 31, 2014
No. shares of common stock outstanding¹	635,672,438	638,990,838	635,224,220	642,184,419	648,101,194	655,502,521
Selected Financial Data (US$)
Operating income (in thousands)	6,305,074	5,841,041	4,632,609	4,810,445	4,435,869	4,300,512
Operating profit per share²	9.92	9.14	7.29	7.49	6.84	6.56
Share price^1, 3	184.80	153.12	141.97	115.67	107.20	78.35
Valuation Ratio
P/OP ratio⁴	18.63	16.75	19.47	15.44	15.66	11.94
Benchmarks
P/OP Ratio, Competitors⁵
Automatic Data Processing Inc.	24.07	23.42	21.27	18.67	18.57	17.67
P/OP Ratio, Sector
Support Services	—	18.75	20.07	16.45	16.57	13.89
P/OP Ratio, Industry
Industrials	—	13.78	15.57	15.55	12.60	11.54

Based on: 10-K (filing date: 2019-10-29), 10-K (filing date: 2018-10-24), 10-K (filing date: 2017-10-26), 10-K (filing date: 2016-10-28), 10-K (filing date: 2015-10-30), 10-K (filing date: 2014-10-24).

¹ Data adjusted for splits and stock dividends.

² 2019 Calculation
Operating profit per share = Operating income ÷ No. shares of common stock outstanding
= 6,305,074,000 ÷ 635,672,438 = 9.92

³ Closing price as at the filing date of Accenture PLC’s Annual Report.

⁴ 2019 Calculation
P/OP ratio = Share price ÷ Operating profit per share
= 184.80 ÷ 9.92 = 18.63

⁵ Click competitor name to see calculations.

Valuation ratio	Description	The company
P/OP ratio	Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit.	Accenture PLC’s P/OP ratio decreased from 2017 to 2018 but then increased from 2018 to 2019 not reaching 2017 level.

Accenture PLC, historical P/S calculation, comparison to benchmarks

	Aug 31, 2019	Aug 31, 2018	Aug 31, 2017	Aug 31, 2016	Aug 31, 2015	Aug 31, 2014
No. shares of common stock outstanding¹	635,672,438	638,990,838	635,224,220	642,184,419	648,101,194	655,502,521
Selected Financial Data (US$)
Revenues (in thousands)	43,215,013	41,603,428	36,765,478	34,797,661	32,914,424	31,874,678
Sales per share²	67.98	65.11	57.88	54.19	50.79	48.63
Share price^1, 3	184.80	153.12	141.97	115.67	107.20	78.35
Valuation Ratio
P/S ratio⁴	2.72	2.35	2.45	2.13	2.11	1.61
Benchmarks
P/S Ratio, Competitors⁵
Automatic Data Processing Inc.	5.13	4.41	4.00	3.51	3.42	3.20
P/S Ratio, Sector
Support Services	—	2.85	2.84	2.48	2.44	2.05
P/S Ratio, Industry
Industrials	—	1.94	2.13	1.99	1.72	1.85

Based on: 10-K (filing date: 2019-10-29), 10-K (filing date: 2018-10-24), 10-K (filing date: 2017-10-26), 10-K (filing date: 2016-10-28), 10-K (filing date: 2015-10-30), 10-K (filing date: 2014-10-24).

¹ Data adjusted for splits and stock dividends.

² 2019 Calculation
Sales per share = Revenues ÷ No. shares of common stock outstanding
= 43,215,013,000 ÷ 635,672,438 = 67.98

³ Closing price as at the filing date of Accenture PLC’s Annual Report.

⁴ 2019 Calculation
P/S ratio = Share price ÷ Sales per share
= 184.80 ÷ 67.98 = 2.72

⁵ Click competitor name to see calculations.

Valuation ratio	Description	The company
P/S ratio	An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative.	Accenture PLC’s P/S ratio decreased from 2017 to 2018 but then increased from 2018 to 2019 exceeding 2017 level.

Accenture PLC, historical P/BV calculation, comparison to benchmarks

	Aug 31, 2019	Aug 31, 2018	Aug 31, 2017	Aug 31, 2016	Aug 31, 2015	Aug 31, 2014
No. shares of common stock outstanding¹	635,672,438	638,990,838	635,224,220	642,184,419	648,101,194	655,502,521
Selected Financial Data (US$)
Total Accenture plc shareholders’ equity (in thousands)	14,409,008	10,364,753	8,949,477	7,555,262	6,133,725	5,732,035
Book value per share (BVPS)²	22.67	16.22	14.09	11.76	9.46	8.74
Share price^1, 3	184.80	153.12	141.97	115.67	107.20	78.35
Valuation Ratio
P/BV ratio⁴	8.15	9.44	10.08	9.83	11.33	8.96
Benchmarks
P/BV Ratio, Competitors⁵
Automatic Data Processing Inc.	13.48	17.00	12.45	9.13	7.78	5.85
P/BV Ratio, Sector
Support Services	—	11.33	10.81	9.57	9.77	7.29
P/BV Ratio, Industry
Industrials	—	6.35	6.01	5.41	4.16	3.99

Based on: 10-K (filing date: 2019-10-29), 10-K (filing date: 2018-10-24), 10-K (filing date: 2017-10-26), 10-K (filing date: 2016-10-28), 10-K (filing date: 2015-10-30), 10-K (filing date: 2014-10-24).

¹ Data adjusted for splits and stock dividends.

² 2019 Calculation
BVPS = Total Accenture plc shareholders’ equity ÷ No. shares of common stock outstanding
= 14,409,008,000 ÷ 635,672,438 = 22.67

³ Closing price as at the filing date of Accenture PLC’s Annual Report.

⁴ 2019 Calculation
P/BV ratio = Share price ÷ BVPS
= 184.80 ÷ 22.67 = 8.15

⁵ Click competitor name to see calculations.

Valuation ratio	Description	The company
P/BV ratio	The P/BV ratio is interpreted as an indicator of market judgment about the relationship between a company’s required rate of return and its actual rate of return.	Accenture PLC’s P/BV ratio decreased from 2017 to 2018 and from 2018 to 2019.

Accenture PLC (ACN)

Common Stock Valuation Ratios (Price Multiples)

Current Valuation Ratios

Historical Valuation Ratios (Summary)

Price to Earnings (P/E)

Price to Operating Profit (P/OP)

Price to Sales (P/S)

Price to Book Value (P/BV)