Investopedia: Intuit's Valuation A Sign Of The Times

Maybe Intuit (Nasdaq:INTU) is a good microcosm for the market and the economy. Business conditions are better, but not great, and that is especially true in the small business category. The market, though, has rewarded the rebound handsomely and so while the stock has been a very strong performer, it is now at a point where valuation, quality and future prospects seem balanced. In other words, the market has certainty caught up to the economy and it looks like there could be more risk than reward if valuations go much further. 

Intuit's Third Quarter Wasn't Taxing  
Intuit delivered respectable fiscal third-quarter results, largely on the back of a solid performance in the consumer tax business (the TurboTax franchise). Total revenue rose 15% in the period, fueled in large part by the 18% growth in consumer tax preparation. The company saw an 11% increase in TurboTax units through tax season, even though H&R Block (NYSE:HRB) held up a lot better than some had expected. Interestingly, for as much talk as there is about Intuit's opportunities in areas like software-as-a-service and mobile apps, the consumer tax business is still about one-third of the company's full-year revenue base. 


Please click below for the full piece:
http://stocks.investopedia.com/stock-analysis/2011/Intuits-Valuation-A-Sign-Of-The-Times-INTU-HRB-ADP-PAYX-ORCL-SAP-EBAY0524.aspx