Intuit (INTU) Increases Yet Falls Behind Market: What Investors Need to Know
The latest trading session saw Intuit (INTU) ending at $639.58, denoting a +1.06% adjustment from its last day's close. The stock's change was less than the S&P 500's daily gain of 1.07%. Meanwhile, the Dow gained 0.35%, and the Nasdaq, a tech-heavy index, added 1.74%.
Shares of the maker of TurboTax, QuickBooks and other accounting software witnessed a gain of 7.85% over the previous month, beating the performance of the Computer and Technology sector with its gain of 4.83% and the S&P 500's gain of 2.93%.
The investment community will be closely monitoring the performance of Intuit in its forthcoming earnings report. The company is scheduled to release its earnings on February 22, 2024. It is anticipated that the company will report an EPS of $2.29, marking a 4.09% rise compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $3.39 billion, up 11.36% from the year-ago period.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $16.38 per share and revenue of $16.04 billion, indicating changes of +13.75% and +11.63%, respectively, compared to the previous year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Intuit. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Intuit currently has a Zacks Rank of #3 (Hold).
Looking at valuation, Intuit is presently trading at a Forward P/E ratio of 38.64. This expresses a premium compared to the average Forward P/E of 32.33 of its industry.
Investors should also note that INTU has a PEG ratio of 2.62 right now. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Computer - Software industry had an average PEG ratio of 2.37 as trading concluded yesterday.
The Computer - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 68, which puts it in the top 27% 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 use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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Intuit Inc. (INTU) : Free Stock Analysis Report
