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Investing.com - KeyBanc has lowered its price target on Intuit (NASDAQ:INTU) to $825.00 from $850.00 while maintaining an Overweight rating on the financial software company. Currently trading at $697.76, the stock sits below the analyst consensus range of $600-$938, according to InvestingPro data.
The adjustment follows Intuit’s fiscal fourth-quarter results, which showed revenue and non-GAAP operating income exceeding Street expectations, despite the reduced outlook for fiscal year 2026.
KeyBanc cited continued Mailchimp headwinds, expected to impact growth by 150 basis points in fiscal 2026, along with tougher pricing comparisons versus fiscal 2025 as key factors behind the target reduction.
The firm noted that Intuit’s midmarket online ecosystem continues to perform well with revenue up 40% in the fourth quarter, consistent with the rest of fiscal 2025, while core QuickBooks Online ecosystem revenue grew by 18%.
KeyBanc’s analysis indicated that AI search was not a significant headwind to customer growth, with only approximately 1% of traffic coming from AI search and less than 15% of traffic from SEO search.
In other recent news, Intuit reported strong fiscal fourth-quarter results, with earnings per share of $2.75, surpassing Wall Street’s forecast of $2.66. Revenue also exceeded expectations, reaching $3.8 billion compared to the anticipated $3.74 billion. Despite these positive results, Intuit’s stock saw a decline in after-hours trading. UBS lowered its price target for Intuit to $725, maintaining a Neutral rating, citing conservative revenue guidance for the first quarter of fiscal 2026. Stifel also adjusted its price target to $800 from $850, while keeping a Buy rating, noting solid performance in Intuit’s Credit Karma segment. BofA Securities followed suit, reducing its price target to $800 but maintained a positive view on the company. Goldman Sachs reiterated its Buy rating with an $860 price target, highlighting that the GoPayment Business Solutions and Credit Karma segments outperformed expectations. However, the Consumer segment underperformed, and free cash flow margin was below expectations by 400 basis points.
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