Consistent as always, Intuit (INTU) outperformed Wall Street’s consensus estimates when it posted earnings this week. Both revenues and earnings came in well above expectations, as Intuit conformed to its usual strategy of guiding low and then outperforming.
- Intuit posted decent Q1 results, beating Wall Street’s estimates on both the top and bottom line.
- Intuit’s earnings results came in far better than feared, given that many large-cap tech stocks missed badly on revenue projections.
- However, the recent selloff has only cost Intuit its gains since last quarter. Shares are still up 23% year to date, and its forward P/E of 30x looks rich.
- With the market declining, there is far better value to be found in other large-cap tech names. Profit-takers will rotate out of Intuit and into more battered stocks.