Crestwood Advisors Group LLC has increased its investment in Intuit Inc. (NASDAQ: INTU) by 14.2%, acquiring an additional 367 shares during the second quarter of 2023. This move brings the total number of shares owned by Crestwood Advisors to 2,947, with a total value of approximately $2,321,000 as of the end of June.
Several other institutional investors have also adjusted their stakes in Intuit. For instance, KMG Fiduciary Partners LLC raised its position by 1.8%, now owning 771 shares valued at $607,000. Similarly, Pinnacle Bancorp Inc. increased its holdings by 3.9%, acquiring 376 shares worth $296,000, while Weaver Capital Management LLC added 14 shares to reach 1,127 shares valued at $888,000. May Hill Capital LLC and Peloton Wealth Strategists also made slight increases to their positions.
As it stands, institutional investors own approximately 83.66% of Intuit’s stock, reflecting significant confidence in the company.
Analysts Offer Mixed Ratings on Intuit Stocks
Intuit has attracted attention from various equity analysts, resulting in a mix of ratings and price target adjustments. On August 22, 2023, JPMorgan Chase & Co. reduced its price target from $770.00 to $750.00 while maintaining an “overweight” rating. Stifel Nicolaus also cut its target from $850.00 to $800.00 but retained a “buy” rating.
Royal Bank of Canada reaffirmed an “outperform” rating with a target of $850.00. Conversely, Zacks Research downgraded Intuit from a “strong-buy” to a “hold” rating. Barclays further lowered its price target from $815.00 to $785.00, keeping an “overweight” rating.
The consensus rating for Intuit currently stands at “Moderate Buy,” with an average target price of $791.82. Among analysts, one has rated the stock as a Strong Buy, 21 have issued a Buy rating, four have assigned a Hold rating, and one has given a Sell rating.
Insider Trading Activity Raises Questions
In recent insider trading activities, Director Richard L. Dalzell sold 333 shares on September 11, 2023, at an average price of $661.15, totaling $220,162.95. Following this transaction, Dalzell holds 14,475 shares valued at approximately $9,570,146.25.
Another notable transaction involved Director Scott D. Cook, who sold 529 shares on August 25, 2023, for a total of $351,779.71. After this sale, Cook owns over 6 million shares, valued at approximately $4.1 billion. Over the last 90 days, insiders have sold a total of 2,407 shares, with insiders currently holding 2.68% of the company’s stock.
Intuit’s Financial Performance and Future Outlook
Intuit’s share price opened at $655.33 on Thursday, with a market capitalization of $182.71 billion. The company has reported a quick ratio of 1.36, a current ratio of 1.36, and a debt-to-equity ratio of 0.30. Over the past twelve months, Intuit has experienced a stock price range with a low of $532.65 and a high of $813.70.
On August 21, 2023, Intuit reported earnings of $2.75 per share for the last quarter, surpassing analysts’ expectations of $2.66 by $0.09. The company achieved a net margin of 20.55% and a return on equity of 22.72%, with revenues reaching $3.83 billion, significantly higher than the anticipated $3.75 billion. Year-on-year, revenue showed a growth of 20.3%.
For the upcoming quarters, Intuit has projected earnings guidance ranging from $3.050 to $3.120 per share for Q1 2026, and $22.980 to $23.180 for the full fiscal year.
Dividend Increase Signals Confidence
In a positive development for shareholders, Intuit announced an increase in its quarterly dividend, which was paid on October 17, 2023. Shareholders of record on October 9 received a dividend of $1.20 per share, up from the previous $1.04 per share. This increase represents an annualized dividend of $4.80 and a yield of 0.7%.
With a payout ratio currently at 34.93%, this decision reflects Intuit’s commitment to returning value to its shareholders while maintaining healthy financials.
Intuit Inc. continues to provide financial management and compliance products for consumers and businesses across the globe, operating in segments that include Small Business & Self-Employed, Consumer, Credit Karma, and ProTax.
