Accenture falls as ETF selling adds pressure

Accenture PLC dropped 3.9% in morning trading on Tuesday, reaching $250.81 as selling pressure from exchange-traded funds continued from last week.

ETFs sold approximately $560 million in net Accenture shares on October 30, according to data released Tuesday. The SDY fund accounted for most of the outflows, creating a supply overhang that extended into the current trading session.

The stock also remains under pressure from a Baird downgrade issued on October 21. Analyst David Koning downgraded Accenture to Neutral from Outperform while raising his price target to $252 from $245. Koning said the risk-reward balance had normalized after the stock nearly doubled from its June lows.

The cautious view has spread across Wall Street, with the consensus now indicating that Accenture's valuation reflects its near-term growth prospects.

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