By late morning, shares had added 5.2% to $77.71.
The software developer recorded revenue of $782 million, 12% lower than a year earlier but higher than consensus of $778.9 million according to Thomson Reuters. Lower sales were due to processing delays and changes in Intuit's tax offerings that will shift revenue into the April-ending third quarter.
Due to the government shutdown in October, the Internal Revenue Service shifted the date at which Americans could begin filing 2013 tax returns by 10 days to Jan. 31, meaning many sales have been shifted to the next quarter.QuickBooks saw revenue increase 12% and QuickBooks Online growth of 30%. Total QuickBooks subscribers grew 26% over the quarter. The small business segment, under which QuickBooks is housed, is expected to grow 10% to 12% over the year ending July. In the tax season through to Feb. 15, Intuit saw TurboTax sales increase 7% to 14 million units, boosted by 11% growth of TurboTax Online. As a result of shifted revenue, management upwardly revised its third-quarter forecasts to net income between $3.46 and $3.51 a share and sales of $2.33 billion to $2.4 billion. Analysts predicted net income of $3.49 a share on $2.36 billion in sales. Must Read: Fed Says LIBOR 'Understated,' Describes Wachovia Deposit Run at 2008 Meeting TheStreet Ratings team rates INTUIT INC as a Buy with a ratings score of B-. The team has this to say about their recommendation: "We rate INTUIT INC (INTU) a BUY. This is driven by several positive factors, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, notable return on equity, increase in net income and expanding profit margins. We feel these strengths outweigh the fact that the company shows weak operating cash flow."
- You can view the full analysis from the report here: INTU Ratings Report
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV