Title
Earning Preview: Intuit this quarter’s revenue is expected to increase by 18.37%, and institutional views are predominantly bullishAbstract
Intuit Inc. will report fiscal second-quarter results on February 26, 2026, Post Market; investors are watching whether accelerating tax-season revenues and ongoing product integrations can drive stronger operating leverage and earnings outperformance.Market Forecast
Consensus indicators point to continued top-line expansion this quarter, with Intuit Inc. expected to deliver revenue of 4.53 billion, up 18.37% year over year, alongside estimated adjusted EPS of 3.67, up 41.91% year over year; EBIT is estimated at 1.39 billion, an increase of 39.13% year over year. Forecasts for gross margin and net margin have not been disclosed; the company’s revenue mix is expected to tilt seasonally toward the Consumer segment due to tax-filing activity, while the QuickBooks-led Global Business Solutions franchise remains a structural growth pillar.The company’s main businesses remain diversified across Global Business Solutions and Consumer, with the former expected to maintain double-digit growth momentum aided by product enhancements and partner integrations. The most promising growth engine continues to be the Global Business Solutions portfolio anchored by QuickBooks; last quarter this franchise generated 2.99 billion in revenue, and management initiatives suggest it will outpace corporate-average growth as adoption of premium tiers, payments, and AI-driven features increases through the fiscal year.
Last Quarter Review
In the previous quarter, Intuit Inc. reported revenue of 3.89 billion, a gross profit margin of 78.40%, GAAP net profit attributable to shareholders of 0.45 billion, a net profit margin of 11.48%, and adjusted EPS of 3.34; revenue grew 18.34% year over year and adjusted EPS rose 33.60% year over year. The company delivered upside to expectations, with revenue exceeding estimates by 125.06 million and adjusted EPS beating by 0.25, while GAAP net income improved sequentially by 17.06%.On the business mix, Global Business Solutions contributed 2.99 billion and the Consumer Group contributed 894.00 million, underscoring the seasonality of the portfolio and the continued scale of the QuickBooks ecosystem. Management’s ongoing focus on product upgrades and ecosystem integrations positions the Global Business Solutions segment to sustain growth as the fiscal year progresses toward peak tax season.
Current Quarter Outlook
Global Business Solutions
The core priority for this quarter is to preserve and extend the growth trajectory of Global Business Solutions, which remains the largest revenue engine and a key determinant of consolidated operating leverage. The product roadmap across QuickBooks, including embedded payments and payroll, is designed to increase customer lifetime value by nudging cohorts into higher-value tiers and expanding attach rates. Two partnerships announced recently add tangible near-term catalysts: the integration of Affirm’s pay-over-time capability into QuickBooks Payments, which can improve invoice collections and elevate transaction volume, and a deeper integration with Wix that enables a unified workflow for commerce, financials, and operations—features that can both improve retention and draw incremental subscribers from Wix’s installed base.The operating thesis centers on scale benefits in the online ecosystem, where a larger base of subscribers generates compounding transaction activity and richer data signals that can be monetized through AI-powered assistants. Management’s AI features embedded in workflows—ranging from cashflow insights to automated categorization and anomaly detection—should help justify premium-tier pricing and reduce churn. As a result, Global Business Solutions is well placed to outperform corporate-average growth, supporting stronger mix-driven margins once tax-season timing effects normalize later in the fiscal year. Given the first quarter’s 2.99 billion contribution and the breadth of product enhancements delivered, we expect momentum to persist even as macro conditions fluctuate.
Most Promising Growth Engine
Within Global Business Solutions, the online and mid-market expansions are the most promising profit drivers because they compound subscription revenue with payments and payroll monetization. Mid-market suites and advanced offerings unlock larger average contract values and create natural upgrade pathways, while embedded payments increase both stickiness and transaction revenue density per customer. The Affirm partnership could widen addressable invoice financing use cases for small and mid-sized businesses, while the Wix collaboration should funnel commerce-facing users into an end-to-end finance stack, lifting trial-to-paid conversion and reducing multi-tool friction for merchants.This growth engine also benefits from the company’s ongoing effort to industrialize AI assistants into core workflows. As more customers use automated bookkeeping, reconciliation, and cashflow tools, the ecosystem can command higher effective pricing and reduce support costs per user, translating into better unit economics. Over time, this can help stabilize gross margin around the high-70s level even as mix shifts between subscription and transaction revenue, offering incremental earnings power beyond headline revenue growth.
Key Stock Price Drivers This Quarter
The near-term stock reaction is likely to be shaped by tax-season performance, progress on ecosystem partnerships, and investor perception around AI disruption risk. Tax-season dynamics disproportionately affect the Consumer business in fiscal Q2, and investors will parse disclosed filers, attach of assisted services, and monetization per return; upside in these metrics can amplify the company’s 41.91% estimated year-over-year EPS growth into a stronger-than-expected operating leverage print. On ecosystem partnerships, concrete early signals from the Affirm and Wix integrations—such as attach rates, invoice financing utilization, or cross-channel onboarding—would validate the strategy of expanding commerce-finance linkages and drive confidence in second-half growth cadence.Investor debate over AI is a double-edged driver for sentiment. On one hand, the market has priced in risk that general-purpose AI could disintermediate some software workflows; on the other, there is a growing recognition that deeply embedded, domain-specific assistants can increase retention and monetization within established platforms. Evidence that Intuit Inc. is turning AI features into paid-value levers—via tier upgrades, workflow automation, and decision support—would mitigate disruption concerns and re-anchor valuation on durable cash-flow growth. Given the estimate setup for revenue of 4.53 billion and EBIT of 1.39 billion, execution against these levers may have an outsized influence on the post-print trajectory.
Analyst Opinions
Recent institutional commentary between January 1, 2026 and February 19, 2026 skews decisively bullish. Across the period, at least four prominent research notes reiterate or initiate positive stances—Truist initiated at Buy with a 739.00 target, TD Cowen initiated at Buy with an 802.00 target, KeyBanc maintained Overweight while adjusting its target to 750.00, and RBC Capital Markets reaffirmed its Buy view and framed recent pullbacks as a buying opportunity—versus one notable counterpoint from Wells Fargo, which moved to Hold. That represents roughly an 80% bullish-to-bearish split over the window, and the majority view coalesces around continued double-digit revenue growth in fiscal Q2, expanding earnings power, and improving product monetization through AI-driven features.The bullish camp emphasizes three core arguments. First, the fiscal Q2 setup benefits from seasonal uplift in the Consumer franchise while maintaining structural gains in the QuickBooks ecosystem, supporting the 18.37% year-over-year revenue expansion embedded in current estimates and a 41.91% year-over-year increase in adjusted EPS. Second, the product roadmap—highlighted by Affirm-enabled pay-over-time in QuickBooks Payments and a deeper Wix integration—adds new vectors for customer acquisition and higher attach of premium services, which in turn increases average revenue per customer and lengthens retention. Third, while AI disruption has weighed on software multiples, the positive case notes that Intuit Inc.’s AI assistants are embedded in critical workflows and supported by proprietary financial data, which can be monetized via tier upgrades and more automated expert experiences; this strategic positioning is viewed as a potential tailwind to both growth and margin resilience.
RBC Capital Markets’ stance captures the prevailing logic: pullbacks tied to generalized AI fears create a valuation gap relative to a business that can integrate AI into core offerings such as TurboTax and QuickBooks and monetize those capabilities through premium tiers and expert-assisted options. KeyBanc’s maintained Overweight underscores confidence in the multi-pronged ecosystem strategy despite broader software volatility, interpreting the target revision as a reflection of market-wide multiple compression rather than a deterioration in operating prospects. New Buy initiations from Truist and TD Cowen show continued appetite among coverage universes to underwrite the thesis that AI-enhanced workflows and partner-led distribution can sustain double-digit top-line growth and faster EPS compounding.
The minority view, represented by Wells Fargo’s Hold, centers on concerns that generative AI could lower friction for do-it-yourself tax or finance tasks, which might compress premium attach over time. The data points investors will watch in this print—assisted attach in the Consumer business, customer upgrades in the QuickBooks franchise, and early indicators from Affirm and Wix integrations—speak directly to that debate. If the company demonstrates that AI is driving higher-value product mix and not just lower-cost self-service substitution, the bullish majority argues that consensus estimates for revenue of 4.53 billion, EBIT of 1.39 billion, and adjusted EPS of 3.67 may prove conservative.
Market-implied expectations reflect the balance of these views. With last quarter’s revenue of 3.89 billion, gross margin of 78.40%, GAAP net margin of 11.48%, and adjusted EPS of 3.34 already illustrating solid operating discipline, the path to upside this quarter likely hinges on execution in the Consumer ramp and tangible progress in ecosystem monetization. The analyst majority expects those levers to compound and reinforce a durable earnings trajectory, reinforcing their predominantly bullish stance into the February 26, 2026 report, Post Market.
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