Intuit (INTU): Evaluating Valuation After Strong Earnings, Dividend Hike, and AI Partnerships

Intuit (INTU) grabbed attention this week after reporting strong quarterly earnings and revenue growth, supported by an upbeat outlook for the year and new technology partnerships. The company's momentum was further fueled by an increased dividend and several product expansion moves.

See our latest analysis for Intuit.

Intuit’s recent wave of AI-powered partnerships and product launches has helped stabilize sentiment following a rocky start to the year. Although the stock is still off its highs, with a 1-year total shareholder return of -0.54%, the long-term picture appears much brighter. Intuit has delivered a 58.6% total return for shareholders over three years and an impressive 77.5% over five years, highlighting the company’s resilience and growth potential even during periods of near-term volatility.

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With strong results, new partnerships, and continued investment in AI innovation, the question for investors now is whether Intuit shares still offer room for upside or if future growth is already reflected in the price.

Most Popular Narrative: 21.3% Undervalued

Intuit’s most-watched narrative assigns a fair value more than 20% above the last close, highlighting expectations for rapid revenue and profit expansion over the next three years.

The accelerating adoption of Intuit's AI-driven all-in-one platform, which includes virtual teams of AI agents and human experts, positions the company to consolidate customers' tech stacks, drive automation of workflows, and unlock substantial ROI for customers. This supports higher average revenue per customer (ARPC) and net margin expansion over time.

Read the complete narrative.

Curious how big tech partnerships and platform innovation combine to power this bold valuation? The model’s secret sauce includes sticky customers, product cross-selling, and margin expansion. Want to see all the concrete growth levers and bold margin bets that push the fair value so high? Dive in and uncover the numbers sparking this valuation debate.

Result: Fair Value of $805.22 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, there are still risks, such as ongoing weakness in Mailchimp and potential slowdowns in international growth, that could challenge this optimistic outlook.

Find out about the key risks to this Intuit narrative.

Build Your Own Intuit Narrative

If you want to dig deeper or form a perspective of your own, you can analyze the latest data and build your narrative in just a few minutes. Do it your way

A good starting point is our analysis highlighting 4 key rewards investors are optimistic about regarding Intuit.

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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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