Goldman Sachs Reiterates Its Buy Rating On Accenture Plc., Raises PT To $58

Goldman Sachs reiterates its Buy-rating on Accenture Plc. ACN and is raising its 12-month PT to $58 with 15% upside implied on the back of higher EPS estimates. According to Goldman, this reflects the following changes: higher share buyback assumptions through FY13; higher margin expansion in FY12 and FY13; and favorable currency impact on reported revenues in FY11, although Goldman's constant currency revenue forecast remains unchanged at 9%. Goldman Sachs believes that ACN offers large cap investors a well-balanced and defensive earnings model capable of sustaining long-term high-teens EPS growth. Near-term ACN remains a direct beneficiary of late cycle IT spending, with its growth hitting full stride. This is consistent with Goldman's positive view on consulting models, which it believes are direct beneficiaries of intact corporate profits and IT spending on Cloud and other tech initiatives. ACN closed Friday at $50.25