Intuit (INTU): Gauging Valuation as AI Strategy and GenOS Updates Take Center Stage

Intuit (INTU) recently took the stage at the GraphQL Summit 2025 in San Francisco, where company engineers explored the latest in AI-driven platforms and highlighted a key update to their Generative AI Operating System.

See our latest analysis for Intuit.

Intuit’s high-profile role at the GraphQL Summit comes on the heels of a solid year for shareholders, with the company’s 1-year total shareholder return at 4.8% and a standout 3-year return of over 72%. While recent weeks saw some downward momentum, with a 7-day share price return of -5.6%, the longer-term performance indicates resilience and continued interest tied to Intuit's ongoing push into AI-enabled financial technology.

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But with shares still at a notable discount to analyst targets and recent gains reflecting AI-driven optimism, investors have to ask: is Intuit undervalued right now, or is the optimism around its AI strategy already fully baked in?

Most Popular Narrative: 21.7% Undervalued

With the narrative's fair value estimate at $819.73 far above Intuit’s recent close of $641.79, this perspective frames the stock as notably undervalued. Such a valuation highlights bullish expectations around future financial performance and product expansion, setting the stage for further debate on whether current growth is fully factored into the price.

The accelerating adoption of Intuit's AI-driven all-in-one platform, including 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 this narrative gets to such a premium? There is a bold foundation built on a few aggressive forecasts about future revenue and margins. The big reveal? Clicking through uncovers the key assumptions and just how much profit expansion Intuit’s fans are betting on. Don’t miss the deeper story behind this sky-high price target.

Result: Fair Value of $819.73 (UNDERVALUED)

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

However, Mailchimp’s ongoing revenue struggles and slow international expansion could challenge the bullish case and serve as stumbling blocks for Intuit’s future growth.

Find out about the key risks to this Intuit narrative.

Another Perspective: Multiples Point to Caution

While the most popular view frames Intuit as undervalued, a glance at market price-to-earnings ratios paints a cautionary picture. Intuit trades at 46.2 times earnings, which is higher than both the U.S. software industry’s 34.8 and its fair ratio of 43.5. This signals it is more expensive than its sector and what regression models suggest. Could this premium indicate untapped potential, or is it a sign that expectations have run too far ahead?

See what the numbers say about this price — find out in our valuation breakdown.

Build Your Own Intuit Narrative

If you see the story differently or want to dig deeper into the details yourself, you can shape your own Intuit outlook 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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