Reviewing CI&T (NYSE:CINT) & Accenture (NYSE:ACN)

CI&T (NYSE:CINT) and Accenture (NYSE:ACN) are both technology companies, but which is the better investment? We will contrast the two companies based on the strength of their valuation, earnings, risk, profitability, analyst recommendations, institutional ownership and dividends.

Risk and Volatility

CI&T has a beta of 0.81, meaning that its stock price is 19% less volatile than the S&P 500. Comparatively, Accenture has a beta of 1.1, meaning that its stock price is 10% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings and target prices for CI&T and Accenture, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CI&T	2	2	7	0	2.45
Accenture	1	15	11	0	2.37

CI&T presently has a consensus price target of $6.08, suggesting a potential upside of 92.88%. Accenture has a consensus price target of $196.59, suggesting a potential upside of 3.35%. Given CI&T’s stronger consensus rating and higher probable upside, equities analysts clearly believe CI&T is more favorable than Accenture.

Institutional and Insider Ownership

92.4% of CI&T shares are owned by institutional investors. Comparatively, 75.1% of Accenture shares are owned by institutional investors. 0.0% of Accenture shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares CI&T and Accenture’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CI&T	6.79%	11.69%	6.51%
Accenture	10.66%	26.47%	12.89%

Earnings and Valuation

This table compares CI&T and Accenture”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CI&T	$489.65 million	0.87	$40.62 million	$0.29	10.87
Accenture	$73.10 billion	1.74	$7.68 billion	$12.52	15.19

Accenture has higher revenue and earnings than CI&T. CI&T is trading at a lower price-to-earnings ratio than Accenture, indicating that it is currently the more affordable of the two stocks.

Summary

Accenture beats CI&T on 11 of the 14 factors compared between the two stocks.

About CI&T

CI&T, Inc. provides strategy, design and software engineering services to enable digital transformation. The firm’s solutions and services include Digital Strategy, Customer-Centric Design and Top-of-the-Line Software Engineering. The company was founded by Cesar Nivaldo Gon, Bruno Guiçardi Neto and Fernando Matt Borges Martins on June 7, 2021 and is headquartered in Sao Paulo, Brazil.

About Accenture

Accenture plc, a professional services company, provides strategy and consulting, industry X, song, and technology and operation services worldwide. The company offers application services, including agile transformation, DevOps, application modernization, enterprise architecture, software and quality engineering, data management; intelligent automation comprising robotic process automation, natural language processing, and virtual agents; and application management services, as well as software engineering services; strategy and consulting services; data and analytics strategy, data discovery and augmentation, data management and beyond, data democratization, and industrialized solutions comprising turnkey analytics and artificial intelligence (AI) solutions; metaverse; and sustainability services. It also provides change management, HR transformation and delivery, organization strategy and design, talent strategy and development, and leadership and culture services; digital commerce; infrastructure services, including cloud infrastructure managed, cloud and data center, network, digital workplace, database platforms, service management, and cloud and infrastructure security services; data-enabled operating models; technology consulting and AI services; and technology consulting services. In addition, the company offers engineering and R&D digitization, smart connected products, product as-a-service enablement, capital projects, intelligent asset management, digital industrial workforce, and autonomous robotic systems; business process outsourcing; and services related to technology innovation. Further, it provides cloud, ecosystem, marketing, security, supply chain management, zero-based transformation, customer experience, finance consulting, mergers and acquisitions, and sustainability services. The company has a collaboration with Salesforce, Inc. to develop Salesforce Life Sciences Cloud. The company was founded in 1951 and is based in Dublin, Ireland.