Intuit (INTU) Slipped as the Outlook and Guidance Fell Short of Expectations

Core Insights - Bristol Gate Capital Partners' Q3 2025 investor letter indicates that the US Equity Strategy underperformed the S&P 500® Total Return Index this quarter, primarily due to limited exposure to the AI/TMT and Value sectors, which benefited from the Federal Reserve's rate cut [1] - Despite the underperformance, the portfolio achieved a 15% dividend growth over the past 12 months, supported by strong underlying fundamentals [1] Company Highlights: Intuit Inc. (NASDAQ:INTU) - Intuit Inc. reported a one-month return of 5.39% and a 52-week gain of 6.58%, with its stock closing at $669.88 on December 30, 2025, and a market capitalization of $186.495 billion [2] - The company faced challenges as its outlook and guidance for FY26 fell short of investor expectations, particularly due to ongoing weakness in MailChimp and a decline in TurboTax units [3] - For FY26, Intuit's management projected EPS between $22.98-23.18, representing a 14.5% year-over-year growth at the midpoint, and revenue forecasted at $20.997-21.186 billion, indicating a 12% increase at the midpoint [3] Hedge Fund Interest - Intuit Inc. was held by 96 hedge fund portfolios at the end of Q3 2025, a decrease from 105 in the previous quarter [4] - The company reported Q1 FY26 revenue of $3.9 billion, reflecting an 18% year-over-year increase [4]