Market Overview

Intuit's Q4 Reviewed By Credit Suisse

Share:

Intuit Inc. (NASDAQ: INTU) reported healthy Q4 results, ahead of expectations, while announcing slightly disappointing guidance. Credit Suisse’s Michael Nemeroff maintained a Neutral rating on the company, with a price target of $100.

Results Healthy

Intuit reported its FQ4 total revenue at $754.0 million, representing 8.3 percent y/y growth and beating the Street's $732.7 million. QBO subscribers of 1,513K, including 116K of net adds, was marginally higher than the CS estimate of 1,489K and Street expectation of 1,500K. The company reported its EPS at $0.08, significantly ahead of the Street’s $(0.01).

“INTU reported a good F4Q, in our view, with headline results including total revenue, OpM%, EPS, and cash flows above consensus and above the high-end of guidance,” analyst Nemeroff wrote.

Guidance Little Light

Management guided to F2017 revenue of $5,000-$5,100 million, representing 6.5-8.6 percent y/y growth. The mid-point of the guidance came in slightly below the Street's prior estimate of $5,084 million. The company guided to EPS of $4.30-$4.40 for the year, the mid-point of which was above the Street’s prior estimate of $4.33.

Nemeroff commented, “We continue to believe INTU's Consumer Tax franchise is best-of-breed and will continue to dominate its market. However, the Small Business segment faces intensifying competition, which we believe could weigh on subscriber unit economics / earnings power over time as mgmt. is forced to forego near-term monetization while chasing market share and subscriber growth, particularly internationally.”

Do you have ideas for articles/interviews you'd like to see more of on Benzinga? Please email feedback@benzinga.com with your best article ideas. One person will be randomly selected to win a $20 Amazon gift card!

Latest Ratings for INTU

DateFirmActionFromTo
Oct 2020Piper SandlerMaintainsOverweight
Oct 2020Morgan StanleyUpgradesEqual-WeightOverweight
Sep 2020Piper SandlerInitiates Coverage OnOverweight

View More Analyst Ratings for INTU
View the Latest Analyst Ratings

 

Related Articles (INTU)

View Comments and Join the Discussion!

Posted-In: Credit Suisse Michael NemeroffAnalyst Color Reiteration Analyst Ratings

Latest Ratings

StockFirmActionPT
MSFTStifelMaintains245.0
TXRHJP MorganMaintains67.0
SBUXJP MorganMaintains82.0
MCDJP MorganMaintains220.0
CMGJP MorganMaintains1,115.0
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com