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Intuit shares fall on softer fiscal 2027 outlook and guidance reset
After posting $4.35 billion in fiscal 2026 fourth-quarter revenue and adjusted earnings of $4.03 per share, Intuit guided to 9% to 10% top-line growth for fiscal 2027, down from 14% the prior year.
Intuit Inc. stock has dropped sharply year to date after the company issued softer fiscal 2027 guidance, prompting Wall Street to cut price targets and revisit the durability of its accounting and tax franchises, according to MarketBeat Ratings. The stock was down nearly 48% for the year at the time of the report.
The outlet points to how the guidance shift has driven the market reaction more than the latest quarter’s results. Intuit’s fiscal 2026 ended with strong fourth-quarter performance, including $4.35 billion in revenue and adjusted earnings of $4.03 per share, which cleared consensus estimates.
For fiscal 2027, management guided to top-line revenue growth of 9% to 10%, a deceleration from 14% growth in the prior year. MarketBeat Ratings also notes the stock’s sell-off pushed valuation metrics lower, with Intuit trading at a forward price-to-earnings ratio near 16.4.
MarketBeat Ratings characterizes the earnings reset as a strategic pivot rather than a broken model, citing an operational reset aimed at recapturing market share in the mid-market and realigning core accounting practices. The report also says Intuit changed how it presents non-GAAP profitability by no longer excluding stock-based compensation from its non-GAAP metrics, creating an “optical” headwind that may have amplified near-term pessimism.