Intuit (NASDAQ:INTU) Receives Underweight Rating from Piper Sandler

Key Points

• Piper Sandler reaffirmed its “underweight” rating on Intuit and set a $250 price target, implying roughly 28.7% downside from the stock’s $350.41 opening price.
• Analyst opinions remain mixed: Intuit has a consensus “Moderate Buy” rating and an average price target of $454.65, despite several firms recently cutting targets and Goldman Sachs downgrading the stock to “sell.”
• Intuit’s latest quarter modestly exceeded expectations, with $12.80 EPS and $8.56 billion in revenue, up 10.4% year over year; however, investors face concerns over potentially weaker TurboTax growth and related securities litigation allegations.

Intuit (NASDAQ:INTU - Get Free Report)'s stock had its "underweight" rating reaffirmed by equities researchers at Piper Sandler in a research note issued to investors on Wednesday,Benzinga reports. They presently have a $250.00 target price on the software maker's stock. Piper Sandler's price objective indicates a potential downside of 28.66% from the stock's current price.

Other equities analysts have also recently issued research reports about the stock. Jefferies Financial Group cut their target price on shares of Intuit from $650.00 to $550.00 and set a "buy" rating for the company in a research report on Thursday, May 21st. KeyCorp lowered their price target on shares of Intuit from $520.00 to $450.00 and set an "overweight" rating on the stock in a research report on Thursday, May 21st. Rothschild & Co Redburn dropped their price objective on shares of Intuit from $700.00 to $600.00 and set a "buy" rating for the company in a research note on Tuesday, June 2nd. Wells Fargo & Company cut their price objective on Intuit from $425.00 to $360.00 and set an "equal weight" rating for the company in a research report on Thursday, May 21st. Finally, The Goldman Sachs Group lowered Intuit from a "neutral" rating to a "sell" rating and reduced their target price for the company from $519.00 to $276.00 in a research note on Tuesday, June 2nd. Twenty research analysts have rated the stock with a Buy rating, nine have given a Hold rating and three have given a Sell rating to the company's stock. Based on data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus price target of $454.65.

Intuit Trading Up 4.4%

Shares of INTU stock opened at $350.41 on Wednesday. Intuit has a fifty-two week low of $252.84 and a fifty-two week high of $719.10. The stock has a market cap of $95.85 billion, a P/E ratio of 21.22, a P/E/G ratio of 1.09 and a beta of 0.97. The business has a fifty day simple moving average of $294.02 and a 200-day simple moving average of $361.87. The company has a quick ratio of 1.45, a current ratio of 1.45 and a debt-to-equity ratio of 0.26.

Intuit (NASDAQ:INTU - Get Free Report) last released its quarterly earnings results on Wednesday, May 20th. The software maker reported $12.80 earnings per share (EPS) for the quarter, topping the consensus estimate of $12.57 by $0.23. The business had revenue of $8.56 billion during the quarter, compared to the consensus estimate of $8.54 billion. Intuit had a return on equity of 25.18% and a net margin of 21.91%.The business's revenue was up 10.4% on a year-over-year basis. During the same quarter in the previous year, the company posted $11.65 EPS. On average, analysts forecast that Intuit will post 18.18 earnings per share for the current fiscal year.

Insider Transactions at Intuit

In related news, Director Richard L. Dalzell sold 338 shares of the stock in a transaction on Thursday, June 11th. The stock was sold at an average price of $279.86, for a total value of $94,592.68. Following the transaction, the director directly owned 12,326 shares of the company's stock, valued at approximately $3,449,554.36. This trade represents a 2.67% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Vasant M. Prabhu acquired 1,250 shares of Intuit stock in a transaction dated Friday, May 22nd. The stock was purchased at an average cost of $309.45 per share, for a total transaction of $386,812.50. Following the completion of the purchase, the director directly owned 1,250 shares in the company, valued at approximately $386,812.50. This represents a ∞ increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. In the last ninety days, insiders have sold 1,239 shares of company stock valued at $348,354. Corporate insiders own 2.49% of the company's stock.

Hedge Funds Weigh In On Intuit

A number of hedge funds have recently made changes to their positions in the business. Archer Investment Corp purchased a new position in Intuit in the second quarter valued at about $37,000. Kingsview Wealth Management LLC acquired a new stake in Intuit during the 2nd quarter valued at $410,000. Beacon Pointe Advisors LLC acquired a new stake in Intuit during the 2nd quarter valued at $1,643,000. Livforsakringsbolaget Skandia Omsesidigt purchased a new stake in Intuit during the 2nd quarter worth $455,000. Finally, Rakuten Investment Management Inc. purchased a new stake in Intuit during the 2nd quarter worth $17,688,000. Hedge funds and other institutional investors own 83.66% of the company's stock.

More Intuit News

Here are the key news stories impacting Intuit this week:

• Positive Sentiment: Intuit participated in a broad software-sector rebound, with investors treating the stock as a relatively discounted enterprise-software name after its significant decline from the 52-week high. The move appeared driven primarily by sector rotation rather than a new company-specific catalyst. Software Stocks Soar in Rotational Trade
• Positive Sentiment: Recent analyst commentary remains supportive of Intuit’s longer-term growth prospects, highlighting its advanced products, artificial-intelligence initiatives—including Intuit Intelligence Chat—and an estimated nearly $90 billion mid-market opportunity. Analysts also expect earnings growth in the upcoming report, although these are expectations rather than new financial results. Investors Reacting to Intuit’s AI Expansion
• Neutral Sentiment: Mizuho reduced its price target for INTU from $500 to $430 while retaining an “Outperform” rating. The lower target signals more cautious assumptions, but the rating still implies confidence in upside from current levels. Mizuho Lowers Intuit Price Target
• Negative Sentiment: Multiple law firms publicized a securities class action and a September 8 lead-plaintiff deadline. The lawsuit alleges Intuit made misleading statements about TurboTax growth and the strength of its tax-related business, including claims that growth would remain durable before guidance was reduced. The allegations have not been proven, but continued legal publicity raises reputational, financial, and investor-confidence risks. Shareholders Sue Intuit Over TurboTax Claims
• Negative Sentiment: TD Cowen maintained a Hold stance, citing the possibility that Intuit may need to reset growth targets as monetization assumptions become more conservative. This reinforces concerns about pressure on the DIY tax business and the credibility of prior TurboTax growth expectations. Intuit Growth Targets Poised for Reset

About Intuit

Intuit Inc NASDAQ: INTU is a financial software company headquartered in Mountain View, California, that develops and sells cloud-based financial management and compliance products for individuals, small businesses, self-employed workers and accounting professionals. Founded in 1983 by Scott Cook and Tom Proulx, the company has grown from desktop tax and accounting software into a diversified provider of online financial tools. As of my latest update, Sasan Goodarzi serves as Chief Executive Officer.

Intuit's product portfolio includes QuickBooks, its flagship accounting and business-management platform that offers bookkeeping, payroll, payments and invoicing capabilities; TurboTax, a tax-preparation and filing service aimed at individual taxpayers; and Mint, a consumer personal-finance and budgeting app.

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