Mastek vs Accenture Which Is More Profitable?

Mastek and Accenture are two prominent companies in the IT services industry, both offering a wide range of technology solutions to clients around the world. As stocks of these companies have gained attention from investors, it is important to understand the differences and similarities between Mastek and Accenture. While Accenture is a global giant with a strong track record of success, Mastek is a smaller player with potential for growth. Both stocks offer unique investment opportunities for those looking to capitalize on the booming tech sector.

Mastek or Accenture?

When comparing Mastek and Accenture, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Mastek and Accenture.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Mastek has a dividend yield of 0.59%, while Accenture has a dividend yield of 1.48%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Mastek reports a 5-year dividend growth of 20.43% year and a payout ratio of 0.00%. On the other hand, Accenture reports a 5-year dividend growth of 10.76% year and a payout ratio of 44.57%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Mastek P/E ratio at 26.89 and Accenture's P/E ratio at 31.62. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Mastek P/B ratio is 4.32 while Accenture's P/B ratio is 8.12.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Mastek has seen a 5-year revenue growth of 1.90%, while Accenture's is 0.54%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Mastek's ROE at 17.55% and Accenture's ROE at 26.46%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ₹3180.60 for Mastek and $361.58 for Accenture. Over the past year, Mastek's prices ranged from ₹2137.55 to ₹3375.00, with a yearly change of 57.89%. Accenture's prices fluctuated between $278.69 and $387.51, with a yearly change of 39.05%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.