On October 3, 2023, Mark Notarainni, the Executive Vice President of the Consumer Group at Intuit Inc (INTU, Financial), sold 358 shares of the company. This move is part of a broader trend of insider selling at Intuit Inc over the past year.
Intuit Inc is a leading provider of business and financial management solutions for small businesses, consumers, and accounting professionals. The company's flagship products and services include QuickBooks and TurboTax, which make it easier to manage small businesses and tax preparation and filing.
Over the past year, the insider has sold a total of 23,330 shares and purchased none. This trend is mirrored in the broader insider transaction history for Intuit Inc, which shows zero insider buys and 29 insider sells over the same timeframe.
On the day of the insider's recent sale, shares of Intuit Inc were trading for $511.29 apiece, giving the stock a market cap of $144.97 billion. This is significantly higher than the industry median, with a price-earnings ratio of 61.31 compared to the industry median of 26.99.
Despite this, the stock appears to be modestly undervalued based on its GuruFocus Value of $586.23, with a price-to-GF-Value ratio of 0.87. The GF Value is an intrinsic value estimate developed by GuruFocus, calculated based on historical multiples that the stock has traded at, a GuruFocus adjustment factor based on the company's past returns and growth, and future estimates of business performance from Morningstar analysts.
The recent insider sell by Mark Notarainni, coupled with the broader trend of insider selling at Intuit Inc, could be seen as a bearish signal. However, the stock's modest undervaluation according to its GF Value suggests that there may still be potential for upside. As always, investors should conduct their own due diligence and consider multiple factors when making investment decisions.
