UPDATE: Citi Downgrades Accenture Plc

Analysts at Citi Research downgraded shares of Accenture Plc (NYSE: ACN) to Neutral and lowered their price target to $86 from $88 Tuesday.

Analysts outlined the logic behind the downgrade:

• 1) Lowered estimates. Ashwin Shirvaikar notes, "Following a 120% 5 year run, the company is facing a combination of factors that will result in lower EPS growth, and the 16 times forward P/E multiple has limited upside."
• 2) Lower-than-expected growth expectation. Analysts feel slower bookings growth, and weaker economic data from major economies will halt growth for Accenture.
• 3) Accenture is trading at 15.7 times new 2015 estimates. Analysts feel this is a healthy premium to Accenture’s ~10 percent EPS growth over the next two years.

Shares of Accenture closed Monday at $80.60.