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In the latest market close, Intuit (INTU) reached $626.05, with a +1.73% movement compared to the previous day. The stock outpaced the S&P 500's daily gain of 0.16%. Elsewhere, the Dow saw an upswing of 0.25%, while the tech-heavy Nasdaq depreciated by 0.06%.
Heading into today, shares of the maker of TurboTax, QuickBooks and other accounting software had lost 6.64% over the past month, lagging the Computer and Technology sector's loss of 0.39% and the S&P 500's loss of 2.7% in that time.
Investors will be eagerly watching for the performance of Intuit in its upcoming earnings disclosure. The company is forecasted to report an EPS of $2.59, showcasing a 1.52% downward movement from the corresponding quarter of the prior year. At the same time, our most recent consensus estimate is projecting a revenue of $3.83 billion, reflecting a 12.99% rise from the equivalent quarter last year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $19.27 per share and a revenue of $18.27 billion, signifying shifts of +13.75% and +12.18%, respectively, from the last year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Intuit. Recent revisions tend to reflect the latest near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable 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 last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.12% increase. Intuit presently features a Zacks Rank of #3 (Hold).
Digging into valuation, Intuit currently has a Forward P/E ratio of 32.48. This indicates a premium in contrast to its industry's Forward P/E of 30.41.
One should further note that INTU currently holds a PEG ratio of 2.26. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As of the close of trade yesterday, the Computer - Software industry held an average PEG ratio of 2.34.
The Computer - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 142, putting it in the bottom 44% of all 250+ industries.