SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Intuit and the IBM/Banking Consortium
INTU 669.88-0.6%Dec 30 3:59 PM EST
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Robert Scott Diver who wrote (16)8/31/1996 4:26:00 AM
From: Tony Wilson   of 25
 
The PE is 1300 only because Intuit posted a loss in its last quarter. I like Intuit because of its huge customer base, and the fact the IBM banking consortium hasn't announced any details of its plan. I feel that if this consortium falls through, then Intuit's share price will skyrocket. There is a school of thought that the first company to come up with a great product -- i.e. Quicken in Intuit's case -- makes it difficult for the competition to break through. Witness Microsoft in operating systems. But then, alas, there are the Novells of the world, which virtually owned the networking market until Microsft NT came along.

Switching home banking products isn't as easy as switching, say, to a new word processing program. There is a lot of work involved in setting up and maintaining accounts, and I don't feel that Quicken users will flee their product just because banks offer what I believe will be a far inferior product.

I also feel that the recent agreement Intuit signed with Microsoft to continue processing online banking via Money is a boost as well.

Bottom line: I don't know what will happen with Intuit's share price. But I feel the downside is not that risky (the share price is very depressed), and the upside potential is tremendous.

Best of luck in your investing.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News