Intuit Inc. INTU raised its fiscal year 2026 outlook following a stronger-than-expected third quarter, with revenues increasing 10% year over year to $8.6 billion and non-GAAP EPS growing 10% to $12.80. Management said that the results reflected operational focus and continued scaling of key growth engines, prompting an increase to full-year revenue and all non-GAAP guidance.
Intuit now expects fiscal year 2026 revenues in the range of $21.341-$21.374 billion, representing 13%-14% growth, and non-GAAP EPS in the band of $23.80-$23.85, up about 18%. The guidance raise was driven primarily by momentum in assisted tax, the money portfolio and mid-market business solutions, each growing by more than 30%.
The Global Business Solutions segment’s revenues are now expected to grow approximately 16%, supported by continued strength in the Online Ecosystem, QuickBooks Online Accounting, payroll, payments, Bill Pay, and mid-market offerings such as QuickBooks Advanced and Intuit Enterprise Suite. Growth in this segment also reflects pricing benefits, customer growth and favorable mix shift.
The Consumer segment’s revenues are expected to grow approximately 10%, led by TurboTax growth of about 7%, Credit Karma growth of about 19% and ProTax growth of about 4%. Future Consumer growth is likely to be supported by TurboTax Live adoption, higher average revenue per user (ARPU) from assisted offerings, faster refund access, Credit Karma cross-sell and broader monetization beyond tax.
Intuit has acknowledged pressure among price-sensitive DIY TurboTax filers, especially those earning under $50,000. Still management expects AI-led product momentum, QuickBooks pricing and mix gains, Credit Karma strength and a leaner cost structure following its planned 17% workforce reduction to support faster, more focused execution.
How Are INTU’s Peers Fairing?
Automatic Data Processing ADP raised FY2026 guidance to 6%-7% revenue growth from the earlier 6% and 10%-11% adjusted EPS growth from the earlier 9%-10%. The company cited stronger-than-expected Q3 revenue/EPS, margin expansion from disciplined investment, improved Employer Services retention, solid bookings and continued AI-driven productivity investments as the rationale.
H&R Block HRB raised its FY2026 guidance after a stronger tax season, now expecting revenues of $3.91B-$3.92B and adjusted EPS of $5.10-$5.20. The raise was driven by Q3 beats, improved assisted tax market share trends, stronger execution and higher-quality business outcomes.
INTU’s Price Performance, Valuation and Estimates
Shares of Intuit have declined 19.9% over the past month, underperforming both the broader industry and the S&P 500 Index.
Image Source: Zacks Investment Research
In terms of forward 12-month Price/Sales (P/S), Intuit is currently trading at 3.65X, which is at a discount to the industry average of 7.07X.
Image Source: Zacks Investment Research
Intuit’s estimate revisions reflect a positive trend. The Zacks Consensus Estimate for fiscal 2026 EPS has been revised upward by two cents to $23.15 over the past three months. The consensus estimate for 2026 calls for 14.9% growth year over year.
Image Source: Zacks Investment Research
Currently, Intuit carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
7 Best Stocks for the Next 30 Days
Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."
Since 1988, the full list has beaten the market more than 2X over with an average gain of +23.9% per year. So be sure to give these hand picked 7 your immediate attention.
See them now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Automatic Data Processing, Inc. (ADP): Free Stock Analysis Report
Intuit Inc. (INTU): Free Stock Analysis Report
H&R Block, Inc. (HRB): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).