Accenture reverses to drop on canceled contracts woes; drags peers

Accenture's shares ACN.N tank 10% in early trade as IT services provider says US efforts to reduce federal spending have led to delays and cancellations of new contracts

Stock was up ~2% premarket after the company raised its FY revenue forecast on AI demand

ADRs of Indian peers Infosy INFY.K, Wipro WIT also reverse from 1% rise premarket to declines of over 2%

Indian IT stocks had risen in Mumbai as Fed's rate cuts comments had sparked hopes of more spending by US clients

As of last close, ACN down ~8% this year, yet would be 2nd-best performer on India's IT index .NIFTYIT

ACN's F12M PE of 24.27 is slightly above TCS TCS.NS, Infosys, HCLTech HCLT.NS and Wipro, which range from 20.6-23.7