Market Overview

Deutsche Banks Still Buying Intuit After A 'Clean' Q4 Beat

Share:
Deutsche Banks Still Buying Intuit After A 'Clean' Q4 Beat

Intuit Inc. (NASDAQ: INTU)'s "clean" earnings beat in its fourth-quarter results reaffirmed the bullish case for owning the stock, analysts at Deutsche Bank commented in a research report. Analyst Nandan Amladi maintains a Buy rating on Intuit's stock with an unchanged $150 price target.

In addition to a top and bottom-line beat, Intuit ended fiscal 2017 with 2.4 million subscribers, which exceeded management's own target of 2.3 million users. Looking forward to fiscal 2018, the company expects to boost its subscriber base to 3.3 million users, which implies a 40 percent year-over-year growth. The analyst believes this figure actually may be conservative and there is room to the upside.

Intuit's QBO ecosystem gained momentum throughout fiscal 2017 and the outlook for 2018 is consistent and implies "impressive" growth at this scale, the analyst said.

Meanwhile, the competitive landscape from peers including Xero "abated a bit," especially at the lower-end of the market where QBO SE is "growing relatively unencumbered," Amladi said. Also, QB Enterprise continues to grow while the SmartLook feature in TurboTax could prove to be a disruptive force for tax prep firms.

Bottom line, Intuit's solid execution in the quarter coupled with a clear path towards continued growth reaffirms the stock's upside potential to $150 per share.

Related Links:

The Market In 5 Minutes

Benzinga's Top Upgrades, Downgrades For August 23, 2017

Latest Ratings for INTU

DateFirmActionFromTo
Nov 2020Credit SuisseMaintainsOutperform
Nov 2020Morgan StanleyMaintainsOverweight
Nov 2020Piper SandlerMaintainsOverweight

View More Analyst Ratings for INTU
View the Latest Analyst Ratings

 

Related Articles (INTU)

View Comments and Join the Discussion!

Posted-In: Nandan Amladi tax Tax Software TurboTaxAnalyst Color Analyst Ratings Best of Benzinga

Latest Ratings

StockFirmActionPT
ESTCCanaccord GenuityMaintains150.0
AVAVCanaccord GenuityMaintains98.0
OKTACanaccord GenuityMaintains250.0
SNOWCanaccord GenuityMaintains275.0
RCMSVB LeerinkMaintains26.0
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