Intuit (INTU) Gains But Lags Market: What You Should Know
Intuit (INTU) closed the most recent trading day at $260.06, moving +0.18% from the previous trading session. This move lagged the S&P 500's daily gain of 0.66%. Meanwhile, the Dow gained 1.03%, and the Nasdaq, a tech-heavy index, added 0.46%.
Coming into today, shares of the maker of TurboTax, QuickBooks and other accounting software had gained 1.1% in the past month. In that same time, the Computer and Technology sector gained 5.08%, while the S&P 500 gained 3.97%.
Investors will be hoping for strength from INTU as it approaches its next earnings release. In that report, analysts expect INTU to post earnings of $5.41 per share. This would mark year-over-year growth of 12.24%. Our most recent consensus estimate is calling for quarterly revenue of $3.24 billion, up 10.78% from the year-ago period.
INTU's full-year Zacks Consensus Estimates are calling for earnings of $6.57 per share and revenue of $6.66 billion. These results would represent year-over-year changes of +17.11% and +11.67%, respectively.
It is also important to note the recent changes to analyst estimates for INTU. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.41% higher. INTU is currently sporting a Zacks Rank of #2 (Buy).
In terms of valuation, INTU is currently trading at a Forward P/E ratio of 39.53. This valuation marks a premium compared to its industry's average Forward P/E of 31.12.
We can also see that INTU currently has a PEG ratio of 2.44. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. INTU's industry had an average PEG ratio of 2.21 as of yesterday's close.
The Computer - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 11, putting it in the top 5% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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