Intuit stock slipped 3.3% today, giving back some of its recent gains, even as the company posted what looks like one of the cleanest profit stories in large cap software. Full year revenue landed at US$21.4b and diluted earnings per share from continuing operations reached US$16.54 on a trailing basis, with net margin at 21.3%. The market seems more focused on the softer near term revenue outlook and customer growth reset than on a year in which profit growth comfortably outpaced sales. That tension is the real story behind todayās move.
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Q4 2026 Earnings Summary
- Revenue, Q4 2026 vs. Q4 2025: US$4,354m vs. US$3,831m (up 13.7%)
- Net Income, Q4 2026 vs. Q4 2025: US$363m vs. US$381m (down 4.7%)
- Basic EPS, Q4 2026 vs. Q4 2025: US$1.33 vs. US$1.37 (down 2.3%)
- Net Margin, Trailing 12 Months vs. Prior Year: 21.3% vs. 20.5% (up 0.8 percentage points)
Prefer clean charts instead of scrolling through another wall of earnings tables and footnotes? See Intuit's full financial picture, including an at-a-glance view of its valuation in our company report for Intuit.
Intuitās AI Platform Story Meets Real Usage Milestones
The bullish story around Intuit hinges on whether AI and higher value services really turn the platform into a āsystem of intelligenceā that lifts customer value, not just margins on paper. On that score, several FY26 milestones were hit. The three Big Bets grew about 34% and now contribute roughly 30% of revenue, which shows that assisted tax, money movement and mid market are becoming material, not side projects. TurboTax Live revenue grew 37% and customers grew 38%, which backs the idea that done for you AI plus human tax help is gaining traction.
In small business, mid market revenue grew 39% with mid market customers up 28% and online ecosystem revenue for QuickBooks Online Advanced and Intuit Enterprise Suite up 38% in Q4. That aligns with the claim that AI rich workflows and vertical editions are lifting adoption among larger and more complex customers.
Compare these AI driven gains inside Intuit to what institutional analysts are expecting next. See the consensus price target analysis for Intuit to check how far the Street's targets sit from today's share price move.Intuit Earnings Reset Keeps Bearish Concerns Alive
The bearish view on Intuit says AI competition, softer TurboTax trends and heavier reliance on money products will drag growth down and strain profitability. This quarter does not close that argument. FY26 revenue grew 14% while management now guides FY27 revenue growth to 9% to 10%. That is a clear step down that aligns with worries about slower tax and Credit Karma momentum. TurboTax revenue grew 7% for the year and total online paying customers grew 3%, which supports the concern that customer acquisition has lagged even as AI investment and product launches ramp up.
Bears also argue that chasing low end pricing and free offers risks compressing margins. Management is explicitly resetting TurboTax entry pricing and leaning into free and Lite products to widen the funnel. Guidance still points to EPS growth in the low 20s, but the key milestone of reaccelerating customer growth without sacrificing earnings is not yet proven.
With Intuit balancing strong margins, slower forecast growth and a share price that just fell 3.3%, it is worth asking how resilient the balance sheet really is. Check the full liquidity, leverage and cash coverage breakdown in our financial health analysis of Intuit stock.Stay Ahead With Simply Wall St
If Intuit's mix of strong margins and a softer near term revenue outlook has your attention, register for free with Simply Wall St and add it to a Watchlist to track price movements against fair value and wait for an entry point that fits your plan. Once you hold Intuit or any other stock, use the Portfolio Command Center to cut through noise and focus on key updates that matter for your holdings. For long term context and new angles on Intuit, tap into the Community to see how other investors are thinking about risks and catalysts. This can help you surface hidden drivers and potential red flags early so you can stay a step ahead of the market.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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