The information provided on EL7.AI is for educational and informational purposes only and does not constitute financial advice.
The information provided on EL7.AI is for educational and informational purposes only and does not constitute financial advice.
| Factor | Score | Distribution | Value | Avg | Verdict |
|---|---|---|---|---|---|
Valuation | 46 | 18.6x | 20.1x | Near average | |
Growth | 68 | 15.1% | 5.6% | Above average | |
Quality | 80 | 20.9% | 7.6% | Above average | |
Safety | 80 | -0.9x | 0.4x | Above average | |
Capital Return | 61 | 1.49% | 2.19% | Near average | |
Momentum | — | — | — | No data | |
Sentiment | — | — | — | No data |
This section combines price targets, revision history, analyst coverage changes, and an AI summary of what changed on the Street.
Analysts' outlook for Intuit stock has undergone a notable negative shift over the past 30 days, with the average price target dropping by 31.19% to reach $458.82. This decline reflects an erosion of confidence, coinciding with Goldman Sachs downgrading its rating from 'Buy' to 'Sell', indicating fundamental concerns regarding the current valuation or future growth prospects.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Intuit Inc. (INTU) is one of the world's leading providers of financial and software solutions driven by artificial intelligence, offering an integrated platform that provides specialized services for individuals, small businesses, and accountants. The company's business model relies on merging big data with generative artificial intelligence and direct human expertise to help customers make complex financial decisions and manage taxes and accounting with high efficiency, targeting a promising Total Addressable Market (TAM) estimated at approximately $300 billion.
During the third quarter of fiscal year 2026, the company's financial results demonstrated strong performance; total revenue reached $8.6 billion, registering a growth of 10% compared to the previous year. The company also achieved a quarterly net income of $3.1 billion, with diluted earnings per share of $11.09 under Generally Accepted Accounting Principles (GAAP), and $12.80 on a non-GAAP basis, exceeding the upper range of management and analyst expectations due to operational efficiency and the growing adoption of artificial intelligence.
At the operational segment level, the Consumer Platform segment grew by 8% during the third quarter, driven by a 7% growth in the TurboTax platform and a 15% improvement in Credit Karma's performance. At the same time, the Global Business Solutions Group recorded strong revenue growth of 15% (or 17% excluding Mailchimp), supported by a 30% growth in online payment volume and accelerating demand in mid-markets.
Intuit Inc. stock currently trades at $323.435, which is significantly below the average analyst price target of $458.82, with the analyst target range spanning from a low of $276 to an optimistic high of $720. Based on this price gap and the general analyst consensus recommending a 'Buy', the stock is viewed as trading below its market-estimated fair value, supported by long-term earnings per share growth expectations exceeding 15%.
The company's management explained that this difficult decision aims to simplify the organizational structure by reducing management layers and roles that require intensive coordination to increase decision-making speed. The integration of the TurboTax and Credit Karma platforms also contributed to redundant positions that were eliminated, alongside restructuring and reducing spending on the Mailchimp platform. The company expects to direct most of the financial savings resulting from this process directly to boost profit margins and expand earnings per share, with a small portion invested in core growth drivers.
Management acknowledged pricing pressures in the segment with annual incomes below $50,000, and plans to respond by evolving its business model to become value-based rather than based on accounting complexity. This will include offering competitive and suitable pricing packages for simple filings, while relying on the strength of its comprehensive consumer platform to achieve additional returns outside the traditional tax scope. This strategy is based on the fact that 35% of TurboTax customers already use the company's fast financial offerings.
Automated analysis for informational purposes only — not investment advice.
The company raised its official guidance for the full fiscal year 2026, as it now expects to achieve total revenues ranging between $21.341 billion and $21.374 billion, which represents growth ranging between 13% and 14%. It also expects to achieve diluted GAAP earnings per share between $15.79 and $15.84 (including $300 million in restructuring costs), and non-GAAP earnings per share ranging between $23.80 and $23.85, representing approximate growth of 18%.
Credit Karma plays a pivotal role in attracting customers and facilitating the tax filing process, enabling members with simple tax situations to complete up to 80% of their taxes before moving to TurboTax. This operational integration led to a 54% increase in the number of taxpayers starting their tax journey directly through Credit Karma this year. Additionally, customers who integrate TurboTax and Credit Karma services achieve a 30% higher average revenue per user (ARPU) compared to single-platform users.