Shares of Intuit (NASDAQ: INTU) are up 0.6% in pre-open trading Wednesday after the company reported better-than-expected profit for its third quarter and delivered impressive guidance for its fiscal Q4.

The California-based company delivered a profit of $6.07 per share to top the expected $6.04 per share. Sales came in line with the expectations at $4.17 billion.

“We had a strong quarter across the company, and as a result we are raising our full year guidance," said Sasan Goodarzi, Intuit's chief executive officer.

"We had a great tax season growing our share of total tax returns and executing our strategy of expanding our lead in the DIY category and transforming the assisted category. Small Business and Self-Employed Group delivered strong double-digit revenue growth and Credit Karma revenue reached an all-time high in the quarter," said Goodarzi.

For its fiscal fourth quarter, the company is expecting to make a profit of $1.58 per share on sales of $2.31 billion. This is much higher than the Street consensus of $0.78 per share on sales of $1.81 billion.

Mizuho’s Siti Panigrahi raised the price target on the Buy-rated INTU to $500.00 per share from $450.00 per share after a ‘strong’ quarter driven by outperformance in QuickBooks and Credit Karma.

“While TurboTax units exceeded our expectation, headwinds from free filers lead to 11-12% Y/Y consumer growth in FY21. The focus now shifts to QBO and CK, which are benefiting from SMBs' post-COVID accelerated digitization efforts and credit conditions loosening, respectively. We view Intuit well-positioned to benefit as a re-opening trade, now that tax season is mostly behind. We are incrementally confident that Intuit can capitalize on its leadership position and product expansion efforts (amid favorable secular trends) to drive sustainable double-digit revenue growth,” the analyst said in a note.

Strong tax season helped INTU beat analysts’ estimates, says BofA analyst Brad Sills. A new price target on the stock is $520.00 per share from $460.00 per share.

“Intuit is executing well on all major growth initiatives with accelerating TT Live adoption, TT Premier & QB Advanced strength, and early CK cross selling. TT shares gains were somewhat hampered this tax season by a tough comparison with DIY category gains last year (+2%), driven pandemic tailwinds. With cont TT Live & Full Service traction and a return to steady DIY category gains from a growing mix of younger filers, TT is likely to drive solid cont share gains in both DIY a prepared categories. We are equally impressed with Intuit’s ability to drive enduring mid teens growth while generating solid annual margin expansion (est +100 bps in FY21) and FCF growth (+27% in FY21), driven by leverage across cloud & opex. Raising PO to $520 from $460 for higher rev & cash flow,” Sills wrote in a research memo.