Here’s Why Intuit Could Deliver an Upside Surprise For Investors on August 25th

By Joel South Published Aug 20, 8:00AM EDT

Quick Read

INTU's 47% drawdown leaves shares at a P/E of 21, while Polymarket assigns a 94% beat probability heading into the August 25 report.
INTU's TurboTax Live grows revenue 36% year-over-year while HRB lacks a comparable AI platform, cross-sell engine, or mid-market SMB business.
CEO Sasan Goodarzi previewed an AI-driven platform expansion in August alongside a new $8 billion buyback and a 15% quarterly dividend raise.
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Here’s Why Intuit Could Deliver an Upside Surprise For Investors on August 25th — © Sundry Photography / iStock Editorial via Getty Images

Intuit (NASDAQ:INTU | INTU Price Prediction) shares look set for a positive surprise when the company reports Q4 2026 results later this month. The setup is favorable, with upside written all over it. Here’s what investors need to know.

The Thesis

Intuit heads into the Aug. 25 fiscal Q4 report, and the setup leaves little room for deliberation. The stock has already absorbed a sharp drawdown, guidance moved higher, and prediction markets are pricing near-certainty on another beat. Retirement money wants durable cash flow at a discount, and Intuit is offering both.

Valuation Reset Has Done The Work

Shares traded around $363.87 on Aug. 19, with a P/E of 21, after a more than 42% year-to-date drawdown. Against management’s raised FY2026 non-GAAP EPS guide of $23.80 to $23.85, growth of approximately 18%, that is a low-teens forward multiple on a business compounding double digits. Analyst consensus price target sits at $451.32, with 25 Buy ratings against just two Sell ratings.

The August 25 Catalyst Is Loaded

Polymarket assigns a 94% probability that Intuit beats. History supports the crowd: the company has posted four consecutive EPS beats, ranging from 1.84% to 12.69%. Q4 guidance calls for non-GAAP EPS of $3.56 to $3.62 on revenue growth of 11 to 12%, with TurboTax Live tracking to 36% full-year revenue growth and 38% customer growth. CEO Sasan Goodarzi has previewed “a sweeping expansion and a new lineup of our AI-driven expert platform in August” that introduces consumption-based pricing.

Income And Capital Return Compound The Case

The board authorized a new $8 billion share repurchase program, and management repurchased $1.6 billion in Q3 alone. The quarterly dividend was raised 15% to $1.20 per share. That is a retirement-friendly capital return profile.

Head-To-Head Vs. H&R Block

The obvious tax-prep alternative is H&R Block (NYSE:HRB), and the head-to-head is not close. Intuit’s TurboTax Live segment is growing at 36% revenue and 38% customers, while H&R Block is a a slower-growth business without a comparable AI platform, mid-market SMB business, or Credit Karma-style cross-sell engine. Intuit generated $3.06 billion in net income in a single quarter, dwarfing H&R Block’s annual output.

The Risk, Dismissed

Bears will point to the 17% workforce reduction and $300 to $340 million restructuring charge landing in Q4. Management raised full-year EPS guidance anyway. When a company can absorb a nine-figure charge and still guide EPS higher, that is a signal of underlying strength. Watch the Aug. 25 close to see if it sets up as a high-conviction catalyst for Intuit holders.

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About the Author Joel South →

Joel South covers large-cap stocks, dividend investing, and major market trends, with a focus on earnings analysis, valuation, and turning complex data into actionable insights for investors.

He brings more than 15 years of experience as an investor and financial journalist, including 12 years at The Motley Fool, where he served as an investment analyst, Bureau Chief, and later led the Fool.com investing news desk. He has also co-hosted an investing podcast and appeared across TV and radio discussing market trends.