Intuit Stock Faces Critical Test as Major Investors Diverge

As Intuit prepares to release its quarterly financial results, the financial technology giant’s shares are showing signs of weakening momentum. Behind the scenes, a significant divergence has emerged among major institutional investors, with some retreating while others aggressively expand their stakes. The upcoming earnings report will determine which faction made the correct strategic bet.

Institutional Investors Adopt Opposing Strategies

The investment community appears deeply divided on Intuit’s prospects. Recent regulatory filings reveal starkly contrasting approaches among major financial institutions. Flossbach Von Storch SE substantially reduced its exposure during the second quarter, cutting its position by 12.4 percent and divesting 2,171 shares. Meanwhile, DJE Kapital AG pursued the exact opposite strategy, establishing a completely new position comprising 94,992 shares valued at approximately $74 million. These contradictory investment decisions highlight the uncertainty currently prevailing among professional money managers regarding Intuit’s trajectory.

Market Analysts Temper Expectations

Sentiment among research firms has noticeably cooled in recent months. Zacks Research downgraded Intuit from “Strong Buy” to “Hold” in August, signaling increased caution for market participants. KeyCorp maintained its “Overweight” rating but reduced its price target from $850 to $825. Despite these adjustments, the consensus recommendation remains “Moderate Buy” with an average price target of $791.82. The message from analysts appears clear: while long-term potential persists, near-term expectations are being recalibrated.

Quarterly Results to Determine Direction

November 20, 2025, represents a pivotal moment for Intuit, with the company scheduled to announce first-quarter fiscal 2026 results after market close. Expectations run high following the previous quarter’s performance, where Intuit exceeded earnings projections with EPS of $2.75 against expectations of $2.66, while reporting revenue growth of 20.3 percent to reach $3.83 billion. Investors now await confirmation whether this positive momentum can be sustained.

Should investors sell immediately? Or is it worth buying Intuit?

The company’s own guidance leaves minimal room for disappointment. Management forecasts first-quarter fiscal 2026 earnings between $3.05 and $3.12 per share, with full-year fiscal 2026 projections ranging from $22.98 to $23.18 per share. Any deviation from these targets could place additional pressure on the stock price.

Strategic Initiatives Offer Encouraging Signs

Amid the uncertainty, several positive developments deserve attention. On November 6, Intuit unveiled its “All-in-One Agentic AI-Driven Consumer Platform,” an artificial intelligence-powered system designed to assist customers with financial decisions. This strategic initiative demonstrates the company’s continued commitment to innovation and technological leadership.

Additionally, Intuit recently announced a substantial dividend increase, raising quarterly payments from $1.04 to $1.20 per share. This move signals confidence in the company’s financial strength and commitment to shareholder returns. However, recent insider selling activity, including transactions by CFO Sandeep Aujla, has generated some concern among market observers.

The central question remains: Will Intuit’s upcoming earnings report catalyze the anticipated turnaround, or will it validate the concerns of skeptical investors? The answer will significantly influence the stock’s direction in the coming months.