INTUIT INC (INTU) Stock Fundamental Analysis
USA - NASDAQ:INTU - US4612021034 - Common Stock
687.92 USD
+12.96 (+1.92%)
687.92 USD
0 (0%)
We assign a fundamental rating of 7 out of 10 to INTU. INTU was compared to 281 industry peers in the Software industry. INTU has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. INTU is not priced too expensively while it is growing strongly. Keep and eye on this one! These ratings could make INTU a good candidate for growth and quality investing.
1. Profitability
1.1 Basic Checks
In the past year INTU was profitable.
INTU had a positive operating cash flow in the past year.
In the past 5 years INTU has always been profitable.
In the past 5 years INTU always reported a positive cash flow from operatings.
1.2 Ratios
With an excellent Return On Assets value of 10.47%, INTU belongs to the best of the industry, outperforming 86.83% of the companies in the same industry.
The Return On Equity of INTU (19.63%) is better than 86.12% of its industry peers.
INTU has a Return On Invested Capital of 15.18%. This is amongst the best in the industry. INTU outperforms 91.81% of its industry peers.
INTU had an Average Return On Invested Capital over the past 3 years of 12.89%. This is in line with the industry average of 11.76%.
The last Return On Invested Capital (15.18%) for INTU is above the 3 year average (12.89%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.47% | ||
| ROE | 19.63% | ||
| ROIC | 15.18% |
ROA(3y)9.42%
ROA(5y)9.8%
ROE(3y)16.5%
ROE(5y)16.59%
ROIC(3y)12.89%
ROIC(5y)12.66%
1.3 Margins
Looking at the Profit Margin, with a value of 20.55%, INTU belongs to the top of the industry, outperforming 85.05% of the companies in the same industry.
INTU's Profit Margin has declined in the last couple of years.
With an excellent Operating Margin value of 26.22%, INTU belongs to the best of the industry, outperforming 90.04% of the companies in the same industry.
INTU's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 79.57%, INTU is in the better half of the industry, outperforming 79.36% of the companies in the same industry.
INTU's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.22% | ||
| PM (TTM) | 20.55% | ||
| GM | 79.57% |
OM growth 3Y9.08%
OM growth 5Y-1.54%
PM growth 3Y8.17%
PM growth 5Y-2.88%
GM growth 3Y-0.63%
GM growth 5Y-0.61%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), INTU is creating some value.
INTU has less shares outstanding than it did 1 year ago.
The number of shares outstanding for INTU has been increased compared to 5 years ago.
The debt/assets ratio for INTU has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 8.49 indicates that INTU is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 8.49, INTU belongs to the best of the industry, outperforming 80.78% of the companies in the same industry.
INTU has a debt to FCF ratio of 0.98. This is a very positive value and a sign of high solvency as it would only need 0.98 years to pay back of all of its debts.
INTU's Debt to FCF ratio of 0.98 is fine compared to the rest of the industry. INTU outperforms 75.44% of its industry peers.
INTU has a Debt/Equity ratio of 0.30. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.30, INTU is in line with its industry, outperforming 40.93% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 0.98 | ||
| Altman-Z | 8.49 |
ROIC/WACC1.37
WACC11.08%
2.3 Liquidity
A Current Ratio of 1.36 indicates that INTU should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.36, INTU is in line with its industry, outperforming 44.48% of the companies in the same industry.
INTU has a Quick Ratio of 1.36. This is a normal value and indicates that INTU is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.36, INTU perfoms like the industry average, outperforming 44.84% of the companies in the same industry.
The current and quick ratio evaluation for INTU is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.36 | ||
| Quick Ratio | 1.36 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 19.15% over the past year.
Measured over the past years, INTU shows a very strong growth in Earnings Per Share. The EPS has been growing by 20.77% on average per year.
The Revenue has grown by 15.63% in the past year. This is quite good.
The Revenue has been growing by 19.65% on average over the past years. This is quite good.
EPS 1Y (TTM)19.15%
EPS 3Y19.56%
EPS 5Y20.77%
EPS Q2Q%38.19%
Revenue 1Y (TTM)15.63%
Revenue growth 3Y13.95%
Revenue growth 5Y19.65%
Sales Q2Q%20.32%
3.2 Future
Based on estimates for the next years, INTU will show a quite strong growth in Earnings Per Share. The EPS will grow by 14.01% on average per year.
INTU is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 12.29% yearly.
EPS Next Y16.04%
EPS Next 2Y15.68%
EPS Next 3Y15.25%
EPS Next 5Y14.01%
Revenue Next Year12.79%
Revenue Next 2Y12.66%
Revenue Next 3Y12.83%
Revenue Next 5Y12.29%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 34.02, INTU can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of INTU indicates a somewhat cheap valuation: INTU is cheaper than 63.70% of the companies listed in the same industry.
INTU is valuated rather expensively when we compare the Price/Earnings ratio to 27.38, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 29.32 indicates a quite expensive valuation of INTU.
Based on the Price/Forward Earnings ratio, INTU is valued a bit cheaper than 62.63% of the companies in the same industry.
INTU's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 22.86.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.02 | ||
| Fwd PE | 29.32 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, INTU is valued a bit cheaper than the industry average as 72.95% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of INTU indicates a somewhat cheap valuation: INTU is cheaper than 71.89% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 31.53 | ||
| EV/EBITDA | 33.33 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
INTU has an outstanding profitability rating, which may justify a higher PE ratio.
INTU's earnings are expected to grow with 15.25% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.12
PEG (5Y)1.64
EPS Next 2Y15.68%
EPS Next 3Y15.25%
5. Dividend
5.1 Amount
INTU has a yearly dividend return of 0.71%, which is pretty low.
Compared to an average industry Dividend Yield of 40.43, INTU pays a better dividend. On top of this INTU pays more dividend than 91.46% of the companies listed in the same industry.
With a Dividend Yield of 0.71, INTU pays less dividend than the S&P500 average, which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.71% |
5.2 History
The dividend of INTU is nicely growing with an annual growth rate of 14.62%!
INTU has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of INTU decreased in the last 3 years.
Dividend Growth(5Y)14.62%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
INTU pays out 30.73% of its income as dividend. This is a sustainable payout ratio.
The dividend of INTU is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP30.73%
EPS Next 2Y15.68%
EPS Next 3Y15.25%
687.92
+12.96 (+1.92%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners87.93%
Inst Owner Change-4.01%
Ins Owners0.07%
Ins Owner Change-0.5%
Market Cap191.80B
Analysts81.05
Price Target828.95 (20.5%)
Short Float %1.75%
Short Ratio2.59
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.71% |
Yearly Dividend4.25
Dividend Growth(5Y)14.62%
DP30.73%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.03%
Min EPS beat(2)1.35%
Max EPS beat(2)4.72%
EPS beat(4)4
Avg EPS beat(4)9.06%
Min EPS beat(4)1.35%
Max EPS beat(4)25.99%
EPS beat(8)8
Avg EPS beat(8)9.99%
EPS beat(12)12
Avg EPS beat(12)14.89%
EPS beat(16)14
Avg EPS beat(16)13.98%
Revenue beat(2)2
Avg Revenue beat(2)0.4%
Min Revenue beat(2)0.26%
Max Revenue beat(2)0.53%
Revenue beat(4)4
Avg Revenue beat(4)1.2%
Min Revenue beat(4)0.26%
Max Revenue beat(4)2.53%
Revenue beat(8)6
Avg Revenue beat(8)0.62%
Revenue beat(12)9
Avg Revenue beat(12)0.57%
Revenue beat(16)12
Avg Revenue beat(16)0.79%
PT rev (1m)-0.89%
PT rev (3m)2.97%
EPS NQ rev (1m)0.93%
EPS NQ rev (3m)1.29%
EPS NY rev (1m)0%
EPS NY rev (3m)0.15%
Revenue NQ rev (1m)-1.39%
Revenue NQ rev (3m)-1.31%
Revenue NY rev (1m)0.12%
Revenue NY rev (3m)0.32%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.02 | ||
| Fwd PE | 29.32 | ||
| P/S | 10.19 | ||
| P/FCF | 31.53 | ||
| P/OCF | 30.9 | ||
| P/B | 9.73 | ||
| P/tB | 448.13 | ||
| EV/EBITDA | 33.33 |
EPS(TTM)20.22
EY2.94%
EPS(NY)23.46
Fwd EY3.41%
FCF(TTM)21.82
FCFY3.17%
OCF(TTM)22.26
OCFY3.24%
SpS67.54
BVpS70.69
TBVpS1.54
PEG (NY)2.12
PEG (5Y)1.64
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.47% | ||
| ROE | 19.63% | ||
| ROCE | 18.57% | ||
| ROIC | 15.18% | ||
| ROICexc | 18.32% | ||
| ROICexgc | 146.58% | ||
| OM | 26.22% | ||
| PM (TTM) | 20.55% | ||
| GM | 79.57% | ||
| FCFM | 32.3% |
ROA(3y)9.42%
ROA(5y)9.8%
ROE(3y)16.5%
ROE(5y)16.59%
ROIC(3y)12.89%
ROIC(5y)12.66%
ROICexc(3y)15.42%
ROICexc(5y)15.82%
ROICexgc(3y)828.65%
ROICexgc(5y)2438.38%
ROCE(3y)15.77%
ROCE(5y)15.48%
ROICexcg growth 3Y-73.73%
ROICexcg growth 5YN/A
ROICexc growth 3Y21.98%
ROICexc growth 5Y-48.49%
OM growth 3Y9.08%
OM growth 5Y-1.54%
PM growth 3Y8.17%
PM growth 5Y-2.88%
GM growth 3Y-0.63%
GM growth 5Y-0.61%
F-Score9
Asset Turnover0.51
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 0.98 | ||
| Debt/EBITDA | 1.04 | ||
| Cap/Depr | 15.33% | ||
| Cap/Sales | 0.66% | ||
| Interest Coverage | 17.39 | ||
| Cash Conversion | 108% | ||
| Profit Quality | 157.22% | ||
| Current Ratio | 1.36 | ||
| Quick Ratio | 1.36 | ||
| Altman-Z | 8.49 |
F-Score9
WACC11.08%
ROIC/WACC1.37
Cap/Depr(3y)26.42%
Cap/Depr(5y)28.88%
Cap/Sales(3y)1.33%
Cap/Sales(5y)1.42%
Profit Quality(3y)171.46%
Profit Quality(5y)168.62%
High Growth Momentum
Growth
EPS 1Y (TTM)19.15%
EPS 3Y19.56%
EPS 5Y20.77%
EPS Q2Q%38.19%
EPS Next Y16.04%
EPS Next 2Y15.68%
EPS Next 3Y15.25%
EPS Next 5Y14.01%
Revenue 1Y (TTM)15.63%
Revenue growth 3Y13.95%
Revenue growth 5Y19.65%
Sales Q2Q%20.32%
Revenue Next Year12.79%
Revenue Next 2Y12.66%
Revenue Next 3Y12.83%
Revenue Next 5Y12.29%
EBIT growth 1Y28.16%
EBIT growth 3Y24.3%
EBIT growth 5Y17.81%
EBIT Next Year18.23%
EBIT Next 3Y15.42%
EBIT Next 5YN/A
FCF growth 1Y31.27%
FCF growth 3Y18.45%
FCF growth 5Y21.72%
OCF growth 1Y27.09%
OCF growth 3Y16.86%
OCF growth 5Y20.79%