NEW YORK (TheStreet) -- Intuit (INTU) shares are up 4.19% to $108.52 in early market trading on Friday following the release of the TurboTax parent company's third quarter earnings results after the closing bell yesterday.
The company reported a third quarter profit of $501 million, or $2.85 per share on an adjusted basis, ahead of analysts' $2.73 per share expectations for the period. Revenue for the period increased 8% year over year to $2.2 billion.
"We delivered a strong quarter, exceeding our company financial revenue target amidst another strong tax season and accelerating growth in our small business online ecosystem," said president and CEO Brad Smith. "We achieved our goals in our tax business, increasing growth in the do-it-yourself software category, acquiring and retaining more customers and expanding our market share.
As a result of the strong quarter the company raised its full year earnings guidance to between $2.50 and $2.52 from its previous view between $2.45 and $2.50. Intuit also raised its revenue guidance to between $4.395 billion and $4.420 billion versus its previous view between $4.275 billion and $4.375 billion.
TheStreet Ratings team rates INTUIT INC as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate INTUIT INC (INTU) a BUY. This is driven by multiple strengths, 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, notable return on equity, solid stock price performance, good cash flow from operations and largely solid financial position with reasonable debt levels by most measures. We feel its strengths outweigh the fact that the company has had sub par growth in net income."