Autodesk vs Intuit Which Is a Better Investment?

Autodesk and Intuit are two leading technology companies in the software industry, each offering unique products and services to cater to the needs of businesses and consumers worldwide. While Autodesk is known for its software solutions for architecture, engineering, and construction industries, Intuit specializes in financial management software, including popular products like QuickBooks and TurboTax. Both companies have experienced significant growth in recent years, making their stocks attractive options for investors seeking exposure to the tech sector.

Autodesk or Intuit?

When comparing Autodesk and Intuit, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Autodesk and Intuit.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Autodesk has a dividend yield of -%, while Intuit has a dividend yield of 0.68%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Autodesk reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Intuit reports a 5-year dividend growth of 14.59% year and a payout ratio of 34.90%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Autodesk P/E ratio at 62.66 and Intuit's P/E ratio at 66.22. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Autodesk P/B ratio is 26.77 while Intuit's P/B ratio is 10.64.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Autodesk has seen a 5-year revenue growth of 1.47%, while Intuit's is 1.19%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Autodesk's ROE at 53.04% and Intuit's ROE at 16.67%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $305.98 for Autodesk and $693.40 for Intuit. Over the past year, Autodesk's prices ranged from $195.32 to $315.73, with a yearly change of 61.65%. Intuit's prices fluctuated between $552.68 and $714.78, with a yearly change of 29.33%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.