Jefferies raises price target for Intuit
On Friday, May 23rd, analyst Brent Thill from Jefferies raised the price target for Intuit Inc. $INTU (-0.13%) from 735 dollars to 850 dollars and maintained the buy recommendation. This adjustment is no coincidence: Intuit has consistently exceeded revenue forecasts in all areas over the last three quarters, demonstrating a strong and consistent performance. The company's positive development is not only reflected in the figures, but also in the growing confidence of analysts.
Intuit has also raised its forecast for the 2025 financial year. The company now expects growth of 15% compared to the previous year, in contrast to the previous estimate of 12-13%. The main driver of this growth is TurboTax Live, which has significantly increased its market share in the assisted tax filing segment. The Credit Karma platform, which is part of the company's portfolio, has also seen strong year-on-year growth of 29% to 36% in the first quarter of FY2025. These impressive results show that Intuit is on the right track and that the company's products are well received by customers.
For the 2026 financial year, Intuit plans to launch new products that will be equipped with advanced agent AI. These products are expected to be higher priced and could further boost sales growth. Thill highlights the company's strong results in the third quarter of FY 2025 and sees the promising outlook supported by innovative new products as a reason to raise the price target. The analyst is optimistic that Intuit's development will have a lasting positive impact on both the market position and the share price.
Tariffs influence companies in the USA
In a dynamic tariff environment, Jim Kelleher, CFA, Director of Research, asked the Argus analyst team about the impact of tariffs on companies in the Argus universe. The White House's tariff policy has been a source of much excitement recently, as tariffs have been imposed or announced, but often paused or withdrawn. Most recently, China and the US have agreed to reduce base tariffs to 10% for 90 days, which has brought relief to many companies. Nevertheless, uncertainty is high and many companies are trying to react proactively to various tariff scenarios.
Companies expect both direct and indirect effects from tariffs. Direct effects include higher costs for imported finished goods and components as well as lost sales that may result from counter-tariffs in other countries. Indirect effects could result in a general slowdown in the economy, forcing companies to adjust their strategies. Almost every company in the Argus analysis has commented on the tariffs, similar to comments made five years ago in relation to the challenges of the COVID-19 pandemic. These comments provide valuable insight into the difficulties companies are facing in light of the current trading situation.
Sources:
https://finance.yahoo.com/news/jefferies-raises-intuit-intu-price-210016219.html
https://finance.yahoo.com/quote/AAPL/
