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INTU Retreats from Record Peak Despite Upbeat SEC Filing

INTU is coming off a streak of five-straight record closes

Deputy Editor
Jun 15, 2021 at 11:06 AM
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In a U.S. Securities Exchange and Commission (SEC) filing, Intuit Inc. (NASDAQ:INTU) showed impressive year-over-year growth in its QuickBooks online service. According to the company, new customer acquisition surged by more than 25% for the nine months ended April 30.  

Intuit stock is brushing off the news, last seen down 0.6% to trade at $474.06, reversing opening gains that put it at an all-time high of $478.19. After gapping above $455 level on June 4, INTU carved out a channel of higher highs, and is now coming off a streak of five-straight record closes. The stock is still up 67% year-over-year. 

Analysts are overwhelmingly bullish on the equity. Fourteen consider the stock a "buy" or better, compared to four "hold" ratings, and not a "sell" to be seen. Plus, the 12-month consensus price target of $499.31 is a 5.1% premium to current levels. 

Options traders mirror this optimistic stance. This is per Intuit stock's 10-day call/put volume ratio of 2.39 at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX). This ratio stands higher than all but 4% of readings from the past 12 months, suggesting a much healthier-than-usual appetite for long calls of late. 

And now looks like the time to bet on INTU's next move with options, as they can be had for a bargain. This is according to the stock's Schaeffer's Volatility Index (SVI) of 22%, which stands higher than just 3% of readings from the past year, and means options traders are pricing in relatively low volatility expectations for the stock at the moment. 

 

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