CoStar Group (NASDAQ:CSGP) versus Accenture (NYSE:ACN) Head-To-Head Review

Accenture (NYSE:ACN) and CoStar Group (NASDAQ:CSGP) are both large-cap computer and technology companies, but which is the superior stock? We will compare the two companies based on the strength of their valuation, earnings, risk, dividends, institutional ownership, analyst recommendations and profitability.

Valuation and Earnings

This table compares Accenture and CoStar Group”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Accenture	$69.67 billion	1.70	$7.68 billion	$12.21	14.60
CoStar Group	$3.25 billion	4.06	$7.00 million	$0.06	538.33

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

Profitability

This table compares Accenture and CoStar Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Accenture	10.61%	26.33%	12.94%
CoStar Group	0.74%	2.90%	2.32%

Volatility & Risk

Accenture has a beta of 1.08, suggesting that its share price is 8% more volatile than the S&P 500. Comparatively, CoStar Group has a beta of 0.75, suggesting that its share price is 25% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Accenture and CoStar Group, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Accenture	0	10	17	0	2.63
CoStar Group	2	5	12	0	2.53

Accenture presently has a consensus target price of $274.50, indicating a potential upside of 53.93%. CoStar Group has a consensus target price of $55.94, indicating a potential upside of 73.19%. Given CoStar Group’s higher probable upside, analysts clearly believe CoStar Group is more favorable than Accenture.

Insider & Institutional Ownership

75.1% of Accenture shares are owned by institutional investors. Comparatively, 96.6% of CoStar Group shares are owned by institutional investors. 0.0% of Accenture shares are owned by insiders. Comparatively, 1.1% of CoStar Group shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Summary

Accenture beats CoStar Group on 9 of the 14 factors compared between the two stocks.

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.

About CoStar Group

CoStar Group, Inc. provides information, analytics, and online marketplace services to the commercial real estate, hospitality, residential, and related professionals industries in the United States, Canada, Europe, the Asia Pacific, and Latin America. The company offers CoStar Property that provides inventory of office, industrial, retail, multifamily, hospitality, and student housing properties and land; CoStar Sales, a robust database of comparable commercial real estate sales transactions; CoStar Market Analytics to view and report on aggregated market and submarket trends; and CoStar Tenant, an online business-to-business prospecting and analytical tool that provides tenant information. It also provides Leasing, a tool to capture, manage, and maintain lease data; CoStar Lease Analysis; Public Record, a searchable database of commercially zoned parcels; CoStar Real Estate Manager, a real estate lease administration, portfolio management, and lease accounting compliance software solution; and CoStar Risk Analytics and CoStar Investment. In addition, it offers apartment marketing sites, such as ApartmentFinder.com, ForRent.com, ApartmentHomeLiving.com, WestsideRentals.com, AFTER55.com, CorporateHousing.com, ForRentUniversity.com, Apartamentos.com, and Off Campus Partners; LoopNet Premium Lister; LoopNet Diamond, Platinum, and Gold Ads; LandsofAmerica.com, LandAndFarm.com, and LandWatch.com for rural land for-sale; BizBuySell.com, BizQuest.com, and FindaFranchise.com for operating businesses and franchises for-sale; Ten-X, an online auction platform for commercial real estate; and HomeSnap, an online and mobile software platform, as well as Homes.com, a homes for sale listings site. The company was founded in 1987 and is headquartered in Washington, the District of Columbia.