Core Insights - Intuit's shares fell by 4.1% despite strong earnings, as conservative forward guidance disappointed investors [1][2] - The company reported fiscal fourth-quarter earnings of $2.75 per share on $3.83 billion in sales, exceeding Wall Street expectations [2] - AI tools like Intuit Assist were credited for driving customer adoption and spending [2] Financial Performance - Intuit's fiscal fourth-quarter earnings were $2.75 per share, with sales reaching $3.83 billion for the period ending July 31 [2] - The company provided guidance for fiscal 2026 earnings of approximately $23 per share and revenue of around $21 billion [3] Guidance and Market Reaction - The conservative guidance style is intended to maintain credibility with investors [3] - Weak guidance was attributed to slowing sales from the Mailchimp product, although the CFO indicated this was a temporary issue [5] - Despite the CFO's reassurances, the weak guidance led to a decline in Intuit's stock price [6] Long-term Outlook - Intuit is positioned for long-term growth, with a strong product moat and significant switching costs for customers [6]

Core Insights - Intuit (INTU) reported Q4 fiscal 2025 non-GAAP EPS of $2.75, exceeding the Zacks Consensus Estimate of $2.65, with a year-over-year increase of 38.2% [1] - Total revenues reached $3.83 billion, surpassing the consensus mark of $3.74 billion, and reflecting a 20.3% year-over-year growth [1] Revenue Breakdown - Global Business Solutions Group revenues, accounting for 78.6% of total revenues, grew 17.8% year over year to $3.01 billion [2] - Online Ecosystem revenues within this segment increased by 21.1% year over year to $2.2 billion [2] - QuickBooks Online Accounting revenues rose 23.2% year over year to $1.10 billion, driven by higher effective prices and customer growth [2] - Online Services revenues, including payroll and payments, jumped 19% year over year to $1.11 billion [3] - Consumer Group revenues increased by 21.2% to $137 million [3] - ProTax Group's professional tax revenues rose 10.3% year over year to $32 million [3] - Credit Karma contributed $649 million to total revenues, marking a 33.8% year-over-year increase [4] Profitability Metrics - Non-GAAP operating income climbed 39.2% to $1.02 billion, with a non-GAAP operating margin increase of 360 basis points to 26.5% [4] Balance Sheet and Cash Flow - As of July 31, 2025, Intuit's cash and investments totaled $4.6 billion, down from $6.2 billion as of April 30, 2025 [5] - The company had long-term debt of $6 billion and repurchased $2.8 billion of stock during fiscal 2025 [5] - A quarterly dividend of $1.20 per share was approved, representing a 14% year-over-year increase [5] Future Outlook - For Q1 fiscal 2026, Intuit expects revenues to grow between 14% and 15% year-over-year, with non-GAAP EPS estimated between $3.05 and $3.12 [6] - Fiscal 2026 revenue projections are between $20.997 billion and $21.186 billion, indicating approximately 12-13% growth [6] - Non-GAAP operating income for fiscal 2026 is anticipated to be between $8.611 billion and $8.688 billion [7] - Revenue growth expectations for business segments include Global Business Solutions (14-15%), Consumer Group (8-9%), Credit Karma (10-13%), and ProTax (2.3%) [7]

Financial Projections - Intuit's current-quarter and full-year projections missed analysts' estimates [1]

Financial Performance - Intuit achieved a top-line growth of 16% and margin expansion exceeding 40% for the year [2] - Q4 growth reached 20%, demonstrating strong momentum [2] - The company guides for 12-13% top-line growth and continued margin expansion for the next fiscal year [3] Guidance and Outlook - Intuit is being prudent with its guidance at the beginning of the fiscal year, aiming to exceed expectations [3] - Headwinds, particularly related to MailChimp, are being factored into the guidance [3] - Excluding MailChimp, the guidance remains strong [3] - Intuit expresses bullish sentiment about the year and future prospects [4] AI Strategy - Intuit has been strategically focused on data and AI for almost a decade with its AI expert platform strategy [5] - The company leverages data, AI, and human intelligence to manage lead to cash for businesses and credit to wealth for consumers [6] - Growth is driven by AI, including a virtual team of AI agents launched in July to assist businesses with various management tasks [6]

Group 1 - Intuit Inc reported fiscal fourth-quarter earnings of $2.75 per share on $3.83 billion in revenue, exceeding earnings estimates, but the stock fell 6.4% to $653.16 due to weaknesses in Mailchimp and TurboTax, along with a weaker-than-expected outlook [1] - The stock has experienced a decline for four consecutive weeks, moving further away from its July 30 record high of $18.70, although it still holds a year-to-date gain of 2.5% [2] - Analysts are divided on Intuit, with 27 firms maintaining a "buy" or better rating while 11 firms lean towards "hold" or worse, and several firms have cut their price targets [2] Group 2 - There is a growing bearish sentiment in the options market, with 13,000 puts traded compared to 10,000 calls, indicating a significant increase in put volume [3] - The most active options contracts include the September 650-strike call and the August 630- and 650-strike puts, with new positions being opened in all three [3] - Intuit's 50-day call/put volume ratio of 1.21 ranks higher than 91% of readings from the past year, indicating a shift in sentiment among options traders [4]

About this content About Emily Jarvie Emily began her career as a political journalist for Australian Community Media in Hobart, Tasmania. After she relocated to Toronto, Canada, she reported on business, legal, and scientific developments in the emerging psychedelics sector before joining Proactive in 2022. She brings a strong journalism background with her work featured in newspapers, magazines, and digital publications across Australia, Europe, and North America, including The Examiner, The Advocate, The ...

Group 1 - Vladimir Dimitrov, CFA has extensive experience in brand and intangible assets valuation, particularly in technology, telecom, and banking sectors [1] - He has worked with some of the largest global brands during his career in London [1] - Dimitrov is focused on identifying reasonably priced businesses that possess sustainable long-term competitive advantages [1]

Group 1 - The core viewpoint of the article is that Intuit (INTU.US) reported strong fourth-quarter earnings, but the stock fell 5.5% in pre-market trading due to lower-than-expected guidance for the upcoming quarter [1] - Intuit's fourth-quarter revenue increased by 20% to $3.83 billion, surpassing analyst expectations of $3.74 billion [1] - The adjusted earnings per share rose from $1.99 in the same quarter last year to $2.75, also exceeding the expected $2.66 [1] Group 2 - For the first fiscal quarter, Intuit expects revenue growth of 14% to 15%, which is below the analyst forecast of 16% [1] - The company anticipates adjusted earnings per share to be between $3.05 and $3.12, compared to the analyst expectation of $3.07 [1]

Group 1 - Intuit reported fourth-quarter revenue of $3.83 billion, exceeding analyst estimates of $3.75 billion [2] - The company achieved adjusted earnings of $2.75 per share, surpassing analyst expectations of $2.66 per share [2] - For fiscal year 2026, Intuit anticipates revenue between $21 billion and $21.19 billion, compared to estimates of $18.75 billion [3] Group 2 - Intuit expects full-year adjusted earnings to range from $22.98 to $23.18 per share, exceeding estimates of $20.09 per share [3] - Intuit shares fell 5.5% to $659.00 in pre-market trading following the earnings report [3] - Other stocks, such as ETHZilla Corporation and Blaize Holdings, also experienced declines in pre-market trading [5]

Core Viewpoint - Intuit reported strong fourth-quarter earnings, but the stock fell over 5.4% in after-hours trading due to lower-than-expected guidance for the upcoming quarter [1] Financial Performance - Intuit's revenue for the fourth quarter increased by 20% to $3.83 billion, surpassing analyst expectations of $3.74 billion [1] - Adjusted earnings per share rose from $1.99 in the same quarter last year to $2.75, also exceeding the forecast of $2.66 [1] Future Outlook - For the first fiscal quarter, Intuit expects revenue growth of 14% to 15%, which is below the analyst expectation of 16% [1] - The company projects adjusted earnings per share to be between $3.05 and $3.12, slightly below the analyst estimate of $3.07 [1]