NEW YORK, Sept 27 (Reuters) - Accenture Plc is one of a few bargains in the technology sector left for the ordinary investor, according to a Barron's article on Sunday.
The business newspaper said Accenture shares could reach $75 in three or four years, roughly double their current price, citing Bill Smead, founder of Seattle-based Smead Capital Management.
Barron's said Accenture trades at 13 times estimated earnings for the fiscal year that ends in August 2010, less than half what Dell Inc agreed to pay for Perot Systems Corp.
Meanwhile, Smead said Accenture is a better company than Perot in almost every way, including its balance sheet, margins and return on equity, according to the report.
When information-technology spending eventually picks up, Accenture's flattish revenue will begin to grow again, Barron's said.
(Reporting by Martinne Geller; Editing by Diane Craft)
((Reuters Messaging: martinne.geller.reuters.com@reuters.net; (646) 223-6023)) Keywords: ACCENTURE/ (http://blogs.reuters.com/shop-talk/ for Shop Talk -- Reuters' retail and consumer blog) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
The business newspaper said Accenture shares could reach $75 in three or four years, roughly double their current price, citing Bill Smead, founder of Seattle-based Smead Capital Management.
Barron's said Accenture trades at 13 times estimated earnings for the fiscal year that ends in August 2010, less than half what Dell Inc agreed to pay for Perot Systems Corp.
Meanwhile, Smead said Accenture is a better company than Perot in almost every way, including its balance sheet, margins and return on equity, according to the report.
When information-technology spending eventually picks up, Accenture's flattish revenue will begin to grow again, Barron's said.
(Reporting by Martinne Geller; Editing by Diane Craft)
((Reuters Messaging: martinne.geller.reuters.com@reuters.net; (646) 223-6023)) Keywords: ACCENTURE/ (http://blogs.reuters.com/shop-talk/ for Shop Talk -- Reuters' retail and consumer blog) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.