BMO Capital analyst Daniel Jester maintained a Buy rating on Intuit (INTU – Research Report) today and set a price target of $714.00.
Daniel Jester has given his Buy rating due to a combination of factors that highlight Intuit’s strong performance and future potential. The company’s fiscal second-quarter results were solid, with notable growth in QuickBooks Online (QBO) and Credit Karma, and a 14% increase in earnings per share for the first half of fiscal year 2025. Jester points out that Intuit’s execution in the tax segment is a key short-term catalyst, while medium-term opportunities in artificial intelligence and the middle-market QuickBooks segment support sustained growth.
Moreover, despite challenges in Mailchimp’s target market, QBO’s ecosystem revenue grew significantly, and new leadership could enhance Mailchimp’s future trajectory. The consumer segment shows promise with a constructive start to the tax season, and Credit Karma’s robust growth is expected to drive further adoption of TurboTax. Additionally, ongoing investments in AI are enhancing efficiency, contributing to margin expansion, and presenting modest upside potential. Despite a reduced target price, Jester sees an attractive risk-reward scenario for Intuit’s shares, particularly given their relative valuation and the company’s market-leading platforms.
In another report released today, Citi also reiterated a Buy rating on the stock with a $726.00 price target.
Based on the recent corporate insider activity of 107 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of INTU in relation to earlier this year.