Yahoo Finance If You Invested $1000 in Intuit a Decade Ago, This is How Much It'd Be Worth Now
How much a stock's price changes over time is a significant driver for most investors. Not only can price performance impact your portfolio, but it can help you compare investment results across sectors and industries as well.
FOMO, or the fear of missing out, also plays a role in investing, particularly with tech giants and popular consumer-facing stocks.
What if you'd invested in Intuit (INTU) ten years ago? It may not have been easy to hold on to INTU for all that time, but if you did, how much would your investment be worth today?
Intuit's Business In-Depth
With that in mind, let's take a look at Intuit's main business drivers.
Headquartered in Mountain View, CA, Intuit Inc. is a business and financial software company that develops and sells financial, accounting and tax preparation software and related services for small businesses, consumers and accounting professionals globally. The company has offices in the United States, Canada, India, the United Kingdom, Singapore, Australia, and other locations.
In fiscal 2023, Intuit generated total revenues of $14.37 billion. The company has four reportable segments: Small Business and Self-Employed Group, Consumer and Strategic Partner, ProConnect and Credit Karma.
Small Business and Self-Employed Group (56% of fiscal 2023 revenues) segment serves small businesses and self-employed people around the world, and the accounting professionals who serve and advise them. Intuit’s offerings include QuickBooks financial and business-management online services and desktop software, payroll solutions, merchant payment-processing solutions, and financing for small businesses.
Consumer (29% of fiscal 2023 revenues) segment offers DIY and assisted TurboTax income-tax preparation products and services. These solutions are sold in the United States and Canada. Intuit’s Mint and Turbo offerings serve consumers and help them understand and improve their financial lives by offering a view of their financial health.
ProConnect (4% of fiscal 2023 revenues) serves professional accountants in the United States and Canada, who are essential to both small businesses’ success and tax preparation and filing. Intuit’s professional tax offerings include Lacerte, ProSeries, ProFile, and ProConnect Tax Online.
Credit Karma (11% of fiscal 2023 revenues) segment offers personal finance services including credit cards, personal loans, home and auto loans and insurance.
In the Small Business and Self-Employed segment, Intuit competes with companies such as The Sage Group. In payroll, it competes with Automatic Data Processing and Paychex, among others. In the area of merchant services, the company’s rivals are financial institutions like Wells Fargo, JP Morgan Chase and Bank of America. In the Consumer Segment, Intuit faces intense competition from tax preparation service provider H&R Block.
Bottom Line
While anyone can invest, building a lucrative investment portfolio takes research, patience, and a little bit of risk. If you had invested in Intuit ten years ago, you're probably feeling pretty good about your investment today.
A $1000 investment made in May 2014 would be worth $8,843.55, or a 784.35% gain, as of May 16, 2024, according to our calculations. Investors should note that this return excludes dividends but includes price increases.
The S&P 500 rose 183.73% and the price of gold increased 75.57% over the same time frame in comparison.
Going forward, analysts are expecting more upside for INTU. Intuit is benefiting from strong growth in revenues driven by the Online and Desktop Ecosystem business segments. Strong momentum in international online revenues and solid professional tax revenues were significant growth boosters. The TurboTax Live offering is also driving growth in the Consumer tax business. Momentum in QuickBooks Capital remains positive. Moreover, the company’s strategy of shifting its business to a cloud-based subscription model will help generate stable revenues over the long run. Additionally, growth in the Desktop ecosystem helped the company boost its revenues. Nonetheless, higher costs and expenses due to increased investments in marketing and engineering teams are likely to continue affecting bottom-line results in the near term. Shares have underperformed the industry in the year-to-date period. The stock has jumped 6.84% over the past four weeks. Additionally, no earnings estimate has gone lower in the past two months, compared to 1 higher, for fiscal 2024; the consensus estimate has moved up as well.
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Intuit Inc. (INTU) : Free Stock Analysis Report
