Intuit Inc. (INTU) continues to draw favorable attention from Wall Street, supported by robust revenue growth and strong cash flow generation. Analysts highlight the company’s strategic execution across its core tax and small business platforms.
- INTU revenue of $1.87 billion in Q4, 6% YoY growth, above $1.84B consensus
- Adjusted EPS of $2.68, surpassing $2.60 estimate
- 88% of revenue from recurring subscriptions, up from 85% YoY
- 250,000+ new QuickBooks Online users added in Q4
- Operating cash flow of $870 million
- $1.2 billion share buyback program announced
Intuit Inc. (INTU) has sustained positive investor sentiment, with Wall Street reaffirming confidence in the company’s long-term trajectory. The market’s optimism follows the release of fourth-quarter financial results that exceeded expectations, driven by sustained demand in both TurboTax and QuickBooks segments. Revenue for the quarter reached $1.87 billion, marking a 6% year-over-year increase and surpassing the consensus estimate of $1.84 billion. Adjusted earnings per share came in at $2.68, outpacing the projected $2.60. The company’s subscription model continues to demonstrate resilience, with total recurring revenue accounting for 88% of total revenue, up from 85% in the same quarter last year. This shift underscores growing customer stickiness and a stable revenue base. Intuit reported a 9% increase in net new subscribers across its core platforms, with QuickBooks Online adding over 250,000 new users during the quarter. Additionally, operating cash flow reached $870 million, reflecting strong liquidity and efficient capital allocation. Market reaction has been positive, with INTU shares rising 3.2% in after-hours trading following the earnings release. Analysts at major investment firms have maintained or upgraded their ratings, citing Intuit’s ability to innovate in digital tax solutions and expand its AI-driven features. The company’s focus on international expansion, particularly in markets like Canada and the UK, is also viewed as a key growth catalyst. Institutional ownership remains high, with over 70% of shares held by large financial institutions and mutual funds. Investors are closely monitoring Intuit’s guidance for the upcoming fiscal year, which includes a projected revenue range of $7.55 billion to $7.65 billion, reflecting a 5% to 6% growth rate. The company has also announced a $1.2 billion share buyback program, signaling confidence in its balance sheet and future earnings potential.