corporate
Intuit Cuts 2027 Revenue Forecast, Shares Drop Over 10%
Intuit lowered its revenue outlook for fiscal year 2027, leading to a sharp decline in its stock price. The main factor is decreased demand for TurboTax amid pricing competition.
AS1 News
Following the market close on August 25, Intuit issued an updated forecast for the upcoming fiscal year, projecting revenue between $23.28 billion and $23.51 billion. This range falls below the consensus estimate of $23.72 billion and indicates growth of approximately 9–10%, which is lower than previous expectations.
The company's TurboTax segment was particularly affected, with revenue growth forecasted at only 2–3%. Management attributed the slowdown to increased price competition and customer migration to more affordable alternatives.
Market reaction was swift, with shares falling more than 10% in extended trading and approximately 4.3% during the regular session. This decline reflects investor concerns about the company's future growth trajectory.
The lowered revenue forecast and stock decline highlight investor concerns over growth prospects amid competitive pressures, particularly in the tax software segment.