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Tax and accounting software provider, Intuit (NASDAQ:INTU) will be reporting results tomorrow afternoon. Here’s what to expect.
Intuit beat analysts’ revenue expectations by 3.5% last quarter, reporting revenues of $3.96 billion, up 17% year on year. It was a mixed quarter for the company, with an impressive beat of analysts’ EBITDA estimates but EPS guidance for next quarter missing analysts’ expectations significantly.
Is Intuit a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Intuit’s revenue to grow 12.2% year on year to $7.56 billion, in line with the 11.9% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $10.91 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Intuit has missed Wall Street’s revenue estimates three times over the last two years.
Looking at Intuit’s peers in the finance and hr software segment, some have already reported their Q1 results, giving us a hint as to what we can expect. BlackLine delivered year-on-year revenue growth of 6%, meeting analysts’ expectations, and Flywire reported revenues up 17%, topping estimates by 5%. BlackLine traded up 8.7% following the results while Flywire was also up 8.5%.
Read our full analysis of BlackLine’s results here and Flywire’s results here.
There has been positive sentiment among investors in the finance and hr software segment, with share prices up 20.4% on average over the last month. Intuit is up 14.8% during the same time and is heading into earnings with an average analyst price target of $699.34 (compared to the current share price of $670).
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