Accenture PLC (ACN) vs Wipro Limited (WIT)

Accenture PLC and Wipro Limited are both Information Technology Services companies. Accenture PLC is the larger, with a market value of $109.3B against $16.4B — 6.7× the size. Wipro Limited trades at the lower P/E: 13.8× against 14.0×. Accenture PLC grew revenue faster over the last twelve months: 6.74% against −4.81%. Wipro Limited has the higher net margin (13.9% vs 10.7%) and the lower return on invested capital (17.0% vs 23.7%). Both pay a dividend; Accenture PLC yields more (1.33% vs 1.02%). Across the 23 metrics below, Accenture PLC leads on 15 and Wipro Limited on 8.

Valuation

Metric ACN WIT Information Technology Services median
P/E 13.95 13.83 14.63
P/S 1.47 1.75 1.13
P/B 3.27 2.10 2.10
Price to free cash flow 8.57 13.30 10.11
EV/EBITDA 7.84 7.78 8.56
EV/Sales 1.41 1.52 1.20
Earnings yield 7.17% 7.23% 4.56%
Free cash flow yield 11.67% 7.52% 4.37%

Profitability

Metric ACN WIT Information Technology Services median
Gross margin 32.01% 29.04% 31.05%
Operating margin 14.49% 16.29% 3.30%
Net margin 10.66% 13.91% 2.09%
Free cash flow margin 17.21% 13.14% 0.00%
Return on equity 24.13% 14.97% 4.12%
Return on assets 11.79% 9.42% 0.61%
Return on invested capital 23.66% 17.04% 0.57%

Growth

Metric ACN WIT Information Technology Services median
Revenue growth (TTM) 6.74% (4.81%) 7.12%
EPS growth (last fiscal year) 6.21% (7.14%) —
Revenue growth, 5-year CAGR 9.47% (1.09%) 7.71%
Net income growth, 5-year CAGR 8.49% (2.66%) 0.00%

Health

Metric ACN WIT Information Technology Services median
Debt to equity 0.16 0.23 0.45
Current ratio 1.34 1.67 1.66
Net debt to EBITDA (0.50) (2.08) 0.44

Dividend

Metric ACN WIT Information Technology Services median
Dividend yield 1.33% 1.02% 1.21%
Payout ratio 0.39 0.05 0.00

Size

Metric ACN WIT Information Technology Services median
Market cap 109.34b 16.42b 1.36b

Compare with another peer

Any metric, up to five companies and an Excel export Powerpack