Baird Financial Group Inc. Sells 60,013 Shares of Intuit Inc. $INTU

Key Points

• Baird Financial Group cut its Intuit stake by 58.8% in the second quarter, selling 60,013 shares and retaining 41,977 shares valued at approximately $11 million. Institutional investors collectively own 83.66% of Intuit.
• Intuit reported stronger-than-expected quarterly results, with EPS of $4.03 versus the $3.58 consensus and revenue of $4.35 billion, up 13.7% year over year. The company also raised its quarterly dividend from $1.20 to $1.38 per share.
• Analyst sentiment remains mixed: 17 analysts rate the stock a Buy, 11 a Hold and three a Sell, producing a consensus rating of Hold and an average price target of $430.97, above the reported share price of $321.57.

Baird Financial Group Inc. reduced its position in shares of Intuit Inc. (NASDAQ:INTU - Free Report) by 58.8% during the 2nd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 41,977 shares of the software maker's stock after selling 60,013 shares during the quarter. Baird Financial Group Inc.'s holdings in Intuit were worth $10,956,000 at the end of the most recent reporting period.

Other large investors have also recently added to or reduced their stakes in the company. XXEC Inc. acquired a new position in Intuit in the 2nd quarter valued at $436,740,000. California State Teachers Retirement System lifted its holdings in shares of Intuit by 25,506.0% during the second quarter. California State Teachers Retirement System now owns 108,342,405 shares of the software maker's stock worth $28,277,368,000 after buying an additional 107,919,292 shares in the last quarter. BlackRock Inc. bought a new stake in shares of Intuit in the second quarter valued at about $6,851,859,000. Corient Private Wealth LP bought a new stake in shares of Intuit in the second quarter valued at about $40,545,000. Finally, Norges Bank acquired a new position in shares of Intuit in the fourth quarter valued at about $3,058,407,000. Institutional investors and hedge funds own 83.66% of the company's stock.

Insiders Place Their Bets

In other news, Director Richard L. Dalzell sold 285 shares of the stock in a transaction dated Tuesday, September 8th. The shares were sold at an average price of $325.36, for a total value of $92,727.60. Following the completion of the sale, the director owned 11,531 shares in the company, valued at $3,751,726.16. This represents a 2.41% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Lauren D. Hotz sold 907 shares of the firm's stock in a transaction dated Thursday, August 27th. The shares were sold at an average price of $346.54, for a total transaction of $314,311.78. Following the transaction, the chief accounting officer directly owned 1,628 shares in the company, valued at $564,167.12. The trade was a 35.78% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders sold 1,760 shares of company stock worth $561,683. 2.49% of the stock is owned by company insiders.

Intuit News Roundup

Here are the key news stories impacting Intuit this week:

• Positive Sentiment: Royal Bank of Canada reaffirmed its “outperform” rating and set a $385 price target, implying meaningful upside from recent trading levels. The endorsement supports the view that Intuit’s valuation does not fully reflect its long-term growth opportunities.
• Positive Sentiment: Intuit’s CFO outlined plans to build an “end-to-end consumer platform” spanning tax, personal finance, credit and other financial-management services. Greater integration across TurboTax, Credit Karma and related products could increase customer engagement, cross-selling and recurring revenue. Intuit CFO outlines consumer platform strategy
• Positive Sentiment: A review of Intuit’s latest quarterly results highlighted its earnings beat and double-digit revenue growth, reinforcing the company’s strong fundamental performance relative to parts of the finance and human-resources software sector. Intuit Q2 earnings review
• Neutral Sentiment: Director Richard Dalzell sold 285 shares worth approximately $92,728 under a pre-arranged Rule 10b5-1 trading plan. The transaction reduced his ownership by 2.41%, but its planned nature limits its value as a signal about management’s current outlook. Intuit insider transaction filing
• Negative Sentiment: A tax-policy analysis criticized Intuit for reportedly paying no federal corporate income tax, potentially renewing reputational and regulatory concerns surrounding TurboTax and the tax-preparation industry. The report is unlikely to affect near-term earnings but may add headline risk. ITEP analysis of Intuit’s federal taxes

Intuit Price Performance

Shares of INTU opened at $321.57 on Monday. The firm has a market cap of $85.94 billion, a PE ratio of 19.49, a price-to-earnings-growth ratio of 0.92 and a beta of 0.98. Intuit Inc. has a 52-week low of $252.84 and a 52-week high of $705.08. The business's 50 day moving average price is $320.93 and its two-hundred day moving average price is $352.02. The company has a debt-to-equity ratio of 0.34, a quick ratio of 1.51 and a current ratio of 1.51.

Intuit (NASDAQ:INTU - Get Free Report) last issued its earnings results on Tuesday, August 25th. The software maker reported $4.03 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.58 by $0.45. The business had revenue of $4.35 billion for the quarter, compared to analyst estimates of $4.27 billion. Intuit had a net margin of 21.29% and a return on equity of 25.97%. Intuit's revenue was up 13.7% on a year-over-year basis. During the same period in the prior year, the firm earned $2.75 earnings per share. Intuit has set its Q1 2027 guidance at 2.440-2.480 EPS and its FY 2027 guidance at 22.880-23.120 EPS. On average, equities analysts anticipate that Intuit Inc. will post 23.49 EPS for the current year.

Intuit Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, October 16th. Stockholders of record on Thursday, October 8th will be given a dividend of $1.38 per share. The ex-dividend date of this dividend is Thursday, October 8th. This is a positive change from Intuit's previous quarterly dividend of $1.20. This represents a $5.52 dividend on an annualized basis and a dividend yield of 1.7%. Intuit's payout ratio is currently 29.09%.

Analysts Set New Price Targets

A number of research analysts recently commented on the company. HSBC decreased their price target on Intuit from $897.00 to $707.00 and set a "buy" rating on the stock in a research report on Friday, May 22nd. UBS Group set a $370.00 price objective on shares of Intuit in a research note on Thursday, August 27th. The Goldman Sachs Group boosted their target price on shares of Intuit from $276.00 to $304.00 and gave the company a "sell" rating in a research report on Wednesday, August 26th. Truist Financial cut their price target on shares of Intuit from $350.00 to $300.00 and set a "hold" rating for the company in a report on Wednesday, August 26th. Finally, Rothschild & Co Redburn reduced their price target on shares of Intuit from $700.00 to $600.00 and set a "buy" rating on the stock in a research report on Tuesday, June 2nd. Seventeen analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and three have given a Sell rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Hold" and a consensus price target of $430.97.

Intuit Profile

Intuit Inc is a financial technology and business software company that develops products designed to help consumers, small businesses and accounting professionals manage finances, tax obligations and customer relationships. The company is headquartered in Mountain View, California, and serves customers primarily in the United States and Canada, with additional international availability for certain products.

Its principal offerings include TurboTax, a tax preparation and filing platform; QuickBooks, which provides accounting, invoicing, payroll and payments tools for small businesses and self-employed individuals; Credit Karma, a personal finance platform offering credit monitoring and related financial products; and Mailchimp, an email marketing and customer engagement service for businesses.

Intuit was founded in 1983 by Scott Cook and Tom Proulx.

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