Accenture has fared well recently. In June, the Irish company posted a 28% increase in revenues for the quarter. Management said a driver for Accenture’s growth is the enterprise demand for using cloud and mobile technologies.
The S&P 500 is a leading indicator of the economy. According to Wikipedia:
The S&P 500 is an index of 500 large-cap common stocks actively traded in the United States. The stocks included in the S&P 500 are those of large publicly held companies that trade on either of the two largest American stock market exchanges: the New York Stock Exchange and the NASDAQ.
After the Dow Jones Industrial Average, the S&P 500 is the most widely followed index of large-cap American stocks. It is considered a bellwether for the American economy, and is included in the Index of Leading Indicators.
Accenture’s acceptance to the S&P 500 is an example of the mega trends enveloping the services business. Accenture recently published a report detailing its technology vision that shows how the company views th shifting technology landscape. It touches on familiar themes:
- Data takes its rightful place as a platform.
- Analytics is driving a discontinuous evolution from business intelligence.
- Cloud computing will create more value higher up the stack.
- Architecture will shift from server-centric to service-centric.
- IT security will respond rapidly, progressively—and in proportion.
- Data privacy will adopt a risk-based approach.
- Social platforms will emerge as a new source of business intelligence.
- User experience is what matters.
Accenture’s message is similar to CSC, which is also seeing the enterprise transform to a services infrastructure. Accenture differentiates itself on the subject of data as Gavin Michael discussed in his address at the Structure conference last month. Michael is global managing director for R&D and alliances at Accenture.
Accenture’s debut on the S&P 500 is symbolic of the massive economic engine that cloud computing and more generally, data, is bringing to markets around the world. That’s a trend the services world can prosper from readily as innovation moves from the server to a services centric economy.