Intuit Earnings: Strong Tax Season Buoyed by Higher Priced Offerings, but Shares Remain Overvalued

Wide-moat Intuit’s robust third-quarter results exceeded our top-line growth expectations, while profitability came in line. Following the result, we have lifted our full-year fiscal 2024 forecasts to align with updated management guidance, and we raise our fair value estimate to $520 from $500 on equal parts time value of money and an uplift in the medium-term revenue outlook. Nevertheless, despite our upgraded valuation and shares falling 6% in after hours trading, Intuit continues to screen as overvalued.