NasdaqGS:INTU

Stock Analysis Report

Executive Summary

Intuit Inc. provides financial management and compliance products and services for consumers, small businesses, self-employed, and accounting professionals in the United States, Canada, and internationally.

Snowflake

Fundamentals

Flawless balance sheet with proven track record.


Similar Companies

Share Price & News

How has Intuit's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: INTU has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

3.6%

INTU

2.5%

US Software

0.7%

US Market


1 Year Return

25.8%

INTU

32.7%

US Software

13.7%

US Market

Return vs Industry: INTU underperformed the US Software industry which returned 32.7% over the past year.

Return vs Market: INTU exceeded the US Market which returned 13.7% over the past year.


Shareholder returns

INTUIndustryMarket
7 Day3.6%2.5%0.7%
30 Day1.4%9.9%4.7%
90 Day-3.0%4.7%6.1%
1 Year26.8%25.8%34.5%32.7%16.2%13.7%
3 Year135.9%129.4%125.4%116.8%48.8%39.2%
5 Year205.1%190.1%173.6%154.3%62.5%44.5%

Price Volatility Vs. Market

How volatile is Intuit's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Intuit undervalued compared to its fair value and its price relative to the market?

44.43x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: INTU ($266.05) is trading above our estimate of fair value ($195.89)

Significantly Below Fair Value: INTU is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: INTU is good value based on its PE Ratio (44.4x) compared to the Software industry average (44.4x).

PE vs Market: INTU is poor value based on its PE Ratio (44.4x) compared to the US market (18.2x).


Price to Earnings Growth Ratio

PEG Ratio: INTU is poor value based on its PEG Ratio (4.3x)


Price to Book Ratio

PB vs Industry: INTU is overvalued based on its PB Ratio (18.5x) compared to the US Software industry average (5.8x).


Next Steps

Future Growth

How is Intuit forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?

10.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: INTU's forecast earnings growth (10.3% per year) is above the savings rate (2.7%).

Earnings vs Market: INTU's earnings (10.3% per year) are forecast to grow slower than the US market (14.4% per year).

High Growth Earnings: INTU's earnings are forecast to grow, but not significantly.

Revenue vs Market: INTU's revenue (9.3% per year) is forecast to grow faster than the US market (7.3% per year).

High Growth Revenue: INTU's revenue (9.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: INTU's Return on Equity is forecast to be high in 3 years time (32.6%)


Next Steps

Past Performance

How has Intuit performed over the past 5 years?

19.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: INTU has high quality earnings.

Growing Profit Margin: INTU's current net profit margins (23%) are higher than last year (22.1%).


Past Earnings Growth Analysis

Earnings Trend: INTU's earnings have grown by 19.5% per year over the past 5 years.

Accelerating Growth: INTU's earnings growth over the past year (17.2%) is below its 5-year average (19.5% per year).

Earnings vs Industry: INTU earnings growth over the past year (17.2%) underperformed the Software industry 25.8%.


Return on Equity

High ROE: INTU's Return on Equity (41.5%) is considered outstanding.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Intuit's financial position?


Financial Position Analysis

Short Term Liabilities: INTU's short term assets ($3.6B) exceeds its short term liabilities ($2.0B)

Long Term Liabilities: INTU's short term assets ($3.6B) exceeds its long term liabilities (568.0M)


Debt to Equity History and Analysis

Debt Level: INTU's debt to equity ratio (11.6%) is considered satisfactory.

Reducing Debt: INTU's debt to equity ratio has reduced from 16.2% to 11.6% over the past 5 years.

Debt Coverage: INTU's debt is well covered by operating cash flow (533%).

Interest Coverage: INTU earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: INTU has a low level of unsold assets or inventory.

Debt Coverage by Assets: INTU's debt is covered by short term assets (assets are 8.2x debt).


Next Steps

Dividend

What is Intuit's current dividend yield, its reliability and sustainability?

0.80%

Current Dividend Yield


Dividend Yield vs Market

company0.8%marketbottom25%1.4%markettop25%3.6%industryaverage1.4%forecastin3Years0.8%

Current dividend yield vs market & industry

Notable Dividend: INTU's dividend (0.8%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.42%).

High Dividend: INTU's dividend (0.8%) is low compared to the top 25% of dividend payers in the US market (3.65%).


Stability and Growth of Payments

Stable Dividend: INTU is not paying a notable dividend for the US market, therefore no need to check if payments are stable.

Growing Dividend: INTU is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: INTU is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of INTU's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of Intuit's salary, the management and board of directors tenure and is there insider trading?

1.3yrs

Average management tenure


CEO

Sasan Goodarzi (51yo)

0.8yrs

Tenure

US$12,644,810

Compensation

Mr. Sasan K. Goodarzi has been Chief Executive Officer, President and Director at Intuit Inc. since January 1, 2019 and served as its Executive Vice President and General Manager of Small Business and Self ...


CEO Compensation Analysis

Compensation vs Market: Sasan's total compensation ($USD12.64M) is about average for companies of similar size in the US market ($USD11.01M).

Compensation vs Earnings: Sasan's compensation has increased by more than 20% in the past year.


Management Age and Tenure

1.3yrs

Average Tenure

55yo

Average Age

Experienced Management: INTU's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.


Board Age and Tenure

3.8yrs

Average Tenure

58yo

Average Age

Experienced Board: INTU's board of directors are considered experienced (3.8 years average tenure).


Insider Trading

Insider Buying: INTU insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$435,21903 Sep 19
Mark Flournoy
EntityIndividual
Role
Chief Accounting Officer
Chief Accounting Officer
Shares1,520
Max PriceUS$286.33
SellUS$4,272,80613 Mar 19
Laura Fennell
EntityIndividual
Role
Head of Human Resources
Executive VP and Chief People & Places Officer
Shares16,988
Max PriceUS$251.52
SellUS$1,016,50827 Feb 19
Dennis Powell
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares4,083
Max PriceUS$248.96

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Management Team

  • Scott Cook (67yo)

    Founder

    • Tenure: 35.7yrs
    • Compensation: US$1.34m
  • Marianna Tessel

    Executive VP & Chief Technology Officer

    • Tenure: 0.8yrs
  • Mark Flournoy (53yo)

    Chief Accounting Officer

    • Tenure: 5.8yrs
  • Brad Smith (55yo)

    Executive Chairman of the Board

    • Tenure: 3.8yrs
    • Compensation: US$21.07m
  • Laura Fennell (58yo)

    Executive VP and Chief People & Places Officer

    • Tenure: 1.3yrs
    • Compensation: US$7.48m
  • Sasan Goodarzi (51yo)

    CEO, President & Director

    • Tenure: 0.8yrs
    • Compensation: US$12.64m
  • Rob Lanesey

    Senior VP & Chief Communications Officer

    • Tenure: 0yrs
  • Kim Watkins

    Director

    • Tenure: 0yrs
  • Michelle Clatterbuck (51yo)

    • Tenure: 1.8yrs
    • Compensation: US$9.33m
  • Kerry McLean (55yo)

    Senior VP

    • Tenure: 1.3yrs

Board Members

  • Rick Dalzell (62yo)

    Independent Director

    • Tenure: 4.8yrs
    • Compensation: US$340.30k
  • Scott Cook (67yo)

    Founder

    • Tenure: 35.7yrs
    • Compensation: US$1.34m
  • Suzanne Nora Johnson (62yo)

    Lead Independent Director

    • Tenure: 3.8yrs
    • Compensation: US$410.00k
  • Jeff Weiner (49yo)

    Independent Director

    • Tenure: 7.6yrs
    • Compensation: US$323.58k
  • Dennis Powell (71yo)

    Independent Director

    • Tenure: 15.8yrs
    • Compensation: US$382.50k
  • Brad Smith (55yo)

    Executive Chairman of the Board

    • Tenure: 3.8yrs
    • Compensation: US$21.07m
  • Raul Vazquez (47yo)

    Independent Director

    • Tenure: 3.5yrs
    • Compensation: US$350.00k
  • Sasan Goodarzi (51yo)

    CEO, President & Director

    • Tenure: 0.8yrs
    • Compensation: US$12.64m
  • Eve Burton (61yo)

    Independent Director

    • Tenure: 3.8yrs
    • Compensation: US$336.55k
  • Deb Liu (43yo)

    Independent Director

    • Tenure: 2.3yrs
    • Compensation: US$349.62k

Company Information

Intuit Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Intuit Inc.
  • Ticker: INTU
  • Exchange: NasdaqGS
  • Founded: 1983
  • Industry: Application Software
  • Sector: Software
  • Market Cap: US$69.193b
  • Shares outstanding: 260.07m
  • Website: https://www.intuit.com

Number of Employees


Location

  • Intuit Inc.
  • 2700 Coast Avenue
  • Mountain View
  • California
  • 94043
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
INTUNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDMar 1993
ITUXTRA (XETRA Trading Platform)YesCommon StockDEEURMar 1993
ITUDB (Deutsche Boerse AG)YesCommon StockDEEURMar 1993
0JCTLSE (London Stock Exchange)YesCommon StockGBUSDMar 1993
INTU *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNMar 1993
INTUWBAG (Wiener Boerse AG)YesCommon StockATEURMar 1993
INTU34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH REP 0.25 COM USD0.01BRBRLMay 2019

Biography

Intuit Inc. provides financial management and compliance products and services for consumers, small businesses, self-employed, and accounting professionals in the United States, Canada, and internationally ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/17 23:40
End of Day Share Price2019/11/15 00:00
Earnings2019/07/31
Annual Earnings2019/07/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.