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Intuit (INTU) Stock Sinks As Market Gains: What You Should Know

In the latest trading session, Intuit (INTU) closed at $550.79, marking a -0.39% move from the previous day. This move lagged the S&P 500's daily gain of 0.08%. Meanwhile, the Dow lost 0.56%, and the Nasdaq, a tech-heavy index, lost 0.42%.

Heading into today, shares of the maker of TurboTax, QuickBooks and other accounting software had lost 12.78% over the past month, lagging the Computer and Technology sector's loss of 5.11% and the S&P 500's gain of 0.22% in that time.

Wall Street will be looking for positivity from Intuit as it approaches its next earnings report date. On that day, Intuit is projected to report earnings of $1.88 per share, which would represent year-over-year growth of 176.47%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.74 billion, up 73.58% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $11.66 per share and revenue of $12.28 billion. These totals would mark changes of +19.71% and +27.45%, respectively, from last year.

Investors should also note any recent changes to analyst estimates for Intuit. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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. Within the past 30 days, our consensus EPS projection has moved 0.33% lower. Intuit is currently a Zacks Rank #3 (Hold).

Digging into valuation, Intuit currently has a Forward P/E ratio of 47.43. For comparison, its industry has an average Forward P/E of 38.28, which means Intuit is trading at a premium to the group.

It is also worth noting that INTU currently has a PEG ratio of 3.03. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Computer - Software industry currently had an average PEG ratio of 2.77 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 164, putting it in the bottom 36% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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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Intuit Inc. (INTU): Free Stock Analysis Report
 
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