Jefferies maintained a buy recommendation on Intuit Inc. on Wednesday, citing a conservative outlook for fiscal 2027 that sets a low bar for the company to surpass.
The brokerage kept its price target at $500, up from Intuit’s closing price of $357.46 on Tuesday, which marked a 46% decline for the year. The stock rose 2.89% to $358.06 in regular trading on Aug. 27, while after-hours activity showed a marginal decline of 0.01%.
Intuit’s guidance for fiscal 2027 projects total revenue growth of 9% to 10%, a deceleration of more than 400 basis points from the 14% growth recorded in fiscal 2026. The company has not reported growth below 10% since fiscal 2015. Within its tax segment, TurboTax is expected to expand by just 2% to 3%, trailing competitor H&R Block’s 4.8% guidance. TurboTax Live revenue grew 37% in fiscal 2026 and is projected to rise in the mid-double digits in fiscal 2027, following a 47% increase in fiscal 2025.
Intuit’s mid-market accounting segment expanded by 39% in fiscal 2026, aligning with the roughly 40% growth seen in fiscal 2025. The company is shifting strategy to attract small business customers through free and low-cost offerings such as QuickBooks Free and QuickBooks Lite, while also pursuing free and low-cost tax filing customers.
In its most recent quarter, Intuit repurchased $2.1 billion in shares, a sharp increase from the $0.9 billion to $1.6 billion range recorded in the first three quarters of fiscal 2026. Total buybacks for the fiscal year reached $5.5 billion, doubling the prior-year total. The company retains $7.9 billion in authorized repurchase capacity. Financial health indicators from InvestingPro show an 81% gross margin and a perfect Piotroski Score of 9.
For the fourth quarter of fiscal 2026, Intuit reported adjusted earnings per share of $4.03, exceeding analyst expectations of $3.54. Revenue totaled $4.4 billion, also surpassing projections of $4.28 billion. Adjusted net income rose 47% year-over-year.
