Intuit (INTU) AI Stock Analysis

• Market Cap: $187.45B
• Dividend Yield: 0.66%
• Average Volume (3M): 1.74M
• Price to Earnings (P/E): 46.1
• Beta (1Y): 0.69
• Revenue Growth: 17.14%
• EPS Growth: 41.18%
• Country: US
• Employees: 18,800
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 3.34
• Shares Outstanding: 278,274,080
• 10 Day Avg. Volume: 1,797,464
• 30 Day Avg. Volume: 1,740,317
• PEG Ratio: 1.86
• Price to Book (P/B): 11.15
• Price to Sales (P/S): 11.67
• P/FCF Ratio: 36.14
• Enterprise Value/Market Cap: 1.02
• Enterprise Value/Revenue: 9.82
• Enterprise Value/Gross Profit: 12.15
• Enterprise Value/Ebitda: 30.97
• 1Y Price Target: $829.33
• Price Target Upside: 26.38% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 17
• EPS Forecast (FY): 23.17
• Revenue Forecast (FY): $21.20B

• Rating: 73 Outperform
• Price Target: $725.00 ▲(10.48% Upside)

Intuit's strong financial performance and positive earnings call are significant strengths, driving the overall score. However, high valuation and mixed technical indicators present potential risks. The company's strategic focus on AI and mid-market expansion supports a positive long-term outlook.

Positive Factors

AI Integration

AI integration enhances product offerings, driving customer satisfaction and long-term revenue growth through innovative solutions.

Mid-Market Expansion

Successful mid-market expansion indicates strong demand and positions Intuit for sustainable growth in a lucrative segment.

Strategic Partnership with OpenAI

This partnership enhances Intuit's technological capabilities, offering new growth avenues and strengthening its competitive position.

Negative Factors

Mailchimp Revenue Decline

Declining Mailchimp revenue highlights challenges in maintaining growth, potentially impacting overall revenue diversification.

Challenges in Desktop Revenue

Deceleration in desktop revenue growth suggests potential difficulties in adapting to cloud-based solutions, affecting future revenue streams.

Free Cash Flow Growth Decline

Declining free cash flow growth may limit financial flexibility, impacting the company's ability to invest in growth opportunities.

Intuit Business Overview & Revenue Model

Company Description

Intuit Inc. provides financial management and compliance products and services for consumers, small businesses, self-employed, and accounting professionals in the United States, Canada, and internationally. The company operates in four segments: Small Business & Self-Employed, Consumer, Credit Karma, and ProConnect. The Small Business & Self-Employed segment provides QuickBooks online services and desktop software solutions comprising QuickBooks Online Advanced, a cloud-based solution; QuickBooks Enterprise, a hosted solution; QuickBooks Self-Employed solution; QuickBooks Commerce, a solution for product-based businesses; QuickBooks Online Accountant and QuickBooks Accountant Desktop Plus solutions; and payroll solutions, such as online payroll processing, direct deposit of employee paychecks, payroll reports, electronic payment of federal and state payroll taxes, and electronic filing of federal and state payroll tax forms. This segment also offers payment-processing solutions, including credit and debit cards, Apple Pay, and ACH payment services; QuickBooks Cash business bank account; and financial supplies and financing for small businesses. The Consumer segment provides TurboTax income tax preparation products and services; and personal finance. The Credit Karma segment offers consumers with a personal finance platform that provides personalized recommendations of home, auto, and personal loans, as well as credit cards and insurance products. The ProConnect segment provides Lacerte, ProSeries, and ProFile desktop tax-preparation software products; and ProConnect Tax Online tax products, electronic tax filing service, and bank products and related services. It sells products and services through various sales and distribution channels, including multi-channel shop-and-buy experiences, websites and call centers, mobile application stores, and retail and other channels. The company was founded in 1983 and is headquartered in Mountain View, California.

How the Company Makes Money

Intuit primarily generates revenue through subscription services, software licenses, and transaction-based fees. Its key revenue streams include: 1) **TurboTax**: Revenue is generated from software purchases, e-filing fees, and value-added services, such as live tax advice. 2) **QuickBooks**: This product line earns money through subscription fees for cloud-based services, as well as one-time sales of desktop versions. 3) **Payments and Payroll Services**: Intuit receives transaction fees from businesses that process payments through QuickBooks and payroll services. 4) **Consumer Services**: Intuit also offers additional financial products and services that contribute to revenue, such as credit monitoring and personal finance tools. Significant partnerships with banks and financial institutions enhance its ecosystem, driving customer acquisition and retention, thereby boosting overall earnings.

Intuit Financial Statement Overview

Summary

Intuit demonstrates strong financial health with consistent profitability, efficient operations, and robust cash flow generation. The company maintains a balanced capital structure with moderate leverage, supporting its growth trajectory in the software application industry.

Income Statement

Intuit's income statement reflects strong profitability with a consistent gross profit margin above 80% and a net profit margin over 20% in the TTM period. Revenue growth is steady, albeit slowing compared to previous years. The EBIT and EBITDA margins are robust, indicating efficient cost management and operational effectiveness.

Balance Sheet

The balance sheet shows a healthy financial position with a manageable debt-to-equity ratio around 0.37 in the TTM period, indicating moderate leverage. Return on equity remains strong, reflecting effective use of equity capital. The equity ratio suggests a solid capital structure with a significant portion of assets financed by equity.

Cash Flow

Intuit's cash flow statement indicates strong cash generation capabilities, with positive free cash flow growth and a high free cash flow to net income ratio. The operating cash flow to net income ratio is healthy, demonstrating efficient conversion of earnings into cash flow.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	18.83B	16.29B	14.37B	12.73B	9.63B
Gross Profit	15.21B	12.82B	11.22B	10.32B	7.95B
EBITDA	5.89B	4.58B	4.04B	3.37B	2.95B
Net Income	3.87B	2.96B	2.38B	2.07B	2.06B
Balance Sheet
Total Assets	36.96B	32.13B	27.78B	27.73B	15.52B
Cash, Cash Equivalents and Short-Term Investments	4.55B	4.07B	3.66B	3.28B	3.87B
Total Debt	6.64B	6.57B	6.69B	7.54B	2.48B
Total Liabilities	17.25B	13.70B	10.51B	11.29B	5.65B
Stockholders Equity	19.71B	18.44B	17.27B	16.44B	9.87B
Cash Flow
Free Cash Flow	6.08B	4.63B	4.79B	3.66B	3.13B
Operating Cash Flow	6.21B	4.88B	5.05B	3.89B	3.25B
Investing Cash Flow	-2.32B	-227.00M	-922.00M	-5.42B	-3.96B
Financing Cash Flow	-1.51B	-397.00M	-4.27B	1.73B	-3.18B

Intuit Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 656.24
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For INTU, the sentiment is Neutral. The current price of 656.24 is above the 20-day moving average (MA) of 649.94, below the 50-day MA of 659.24, and below the 200-day MA of 674.95, indicating a neutral trend. The MACD of -1.64 indicates Negative momentum. The RSI at 51.03 is Neutral, neither overbought nor oversold. The STOCH value of 76.06 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for INTU.

Intuit Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CRM	80 Outperform	$244.15B	34.77	12.18%	0.67%	8.41%	22.92%
ADSK	74 Outperform	$65.03B	59.55	40.33%	―	15.62%	2.59%
INTU	73 Outperform	$187.45B	46.13	21.99%	0.66%	17.14%	41.18%
WDAY	73 Outperform	$57.85B	92.35	7.34%	―	13.35%	-60.76%
SAP	69 Neutral	$290.57B	36.73	16.30%	1.08%	11.85%	167.23%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
SNOW	54 Neutral	$77.51B	―	-53.32%	―	28.48%	-19.12%

Intuit Corporate Events

Intuit Restructures Operations into Two Segments

On August 1, 2025, Intuit Inc. restructured its operations by merging its Consumer, Credit Karma, and ProTax businesses into a single Consumer segment to enhance service delivery. This change led to the company operating under two segments: Consumer and Global Business Solutions. Consequently, Intuit updated its financial reporting to reflect these changes, as seen in its recast financial information for the fiscal year ending July 31, 2025, without restating previous financial statements.

Intuit Announces New Director Appointments

Intuit announced the appointment of Adena Friedman and Bill McDermott as directors, effective August 1, 2026, to accommodate their existing commitments. Both will receive compensation in line with other non-employee directors, including restricted stock units valued at approximately $116,667. Additionally, the company declared a cash dividend of $1.20 per share, payable on January 16, 2026, to shareholders of record as of January 9, 2026.