Analysts at Oppenheimer have reduced their price target for Intuit (NASDAQ: INTU) from $868.00 to $696.00 in a note issued to investors on January 23, 2024. Despite this adjustment, the firm maintains an “outperform” rating on the software maker’s stock. This new target suggests a potential upside of approximately 57.16% based on Intuit’s current trading price.
Several other financial institutions have also weighed in on Intuit. Weiss Ratings reaffirmed a “buy (b-)” rating on the company’s shares on January 22. In a report released on January 11, Wall Street Zen upgraded Intuit from a “hold” to a “buy” rating. Meanwhile, Wells Fargo & Company issued an “equal weight” rating with a revised price target of $700.00, down from $840.00, on January 8. Royal Bank of Canada also reiterated an “outperform” rating on January 28.
As of now, one analyst has assigned a “Strong Buy” rating to Intuit, while twenty-three have given it a “Buy” rating and six have categorized it as “Hold.” According to data from MarketBeat, the stock currently holds a consensus rating of “Moderate Buy” with an average price target of $785.12.
Intuit’s Financial Performance and Future Projections
Intuit’s performance has been noteworthy. The company reported quarterly earnings on November 20, 2023, detailing an earnings per share (EPS) of $3.34. This figure exceeded analysts’ expectations of $3.09, marking a positive variance of $0.25. The firm achieved a return on equity of 23.52% and a net margin of 21.19%, with revenue reaching $3.87 billion for the quarter, surpassing the consensus estimate of $3.76 billion. Comparatively, this represents an 18.3% increase in quarterly revenue from the previous year.
Looking ahead, Intuit has set an EPS guidance of between $3.630 and $3.680 for the second quarter of 2026. Analysts anticipate an annual EPS of $14.09 for the current fiscal year.
Insider Activity and Institutional Holdings
In related news, Director Richard L. Dalzell sold 333 shares of Intuit on December 11, 2023, at an average price of $659.95, totaling approximately $219,763.35. Following this transaction, Dalzell retains 13,476 shares valued at about $8,893,486.20, reflecting a 2.41% decrease in his ownership stake.
Meanwhile, CEO Sasan K. Goodarzi sold 41,000 shares on January 7, 2024, at an average price of $650.10, amounting to around $26,654,100.00. Post-sale, Goodarzi holds 13,611 shares, valued at about $8,848,511.10, indicating a substantial 75.08% reduction in his holdings. Over the last 90 days, insiders have sold a total of 388,464 shares worth approximately $255,514,393, with insiders currently owning 2.49% of the stock.
Institutional investors have also modified their positions in Intuit. The Vanguard Group Inc. increased its stake by 1.0% in the fourth quarter, owning 28,918,438 shares valued at $19,156,152,000 after purchasing an additional 296,448 shares. Similarly, State Street Corp raised its holdings by 1.2%, now owning 12,882,779 shares valued at $8,797,779,000. Other significant stakeholders include Geode Capital Management LLC and Norges Bank, with both increasing their investments in recent quarters.
As of now, institutional investors collectively hold 83.66% of Intuit’s stock, reflecting strong confidence in the company’s future prospects.
Intuit, headquartered in Mountain View, California, is a leading financial software company that develops cloud-based financial management and compliance products for individuals and small businesses. Its flagship products include QuickBooks, TurboTax, and Mint, which cater to a diverse range of financial needs.
Investors and analysts will continue to monitor Intuit’s stock performance as the company navigates market fluctuations and responds to evolving economic conditions.
