Intuit $INTU’s INTUTurboTax remains the cornerstone of its Consumer segment, spanning DIY and assisted income-tax preparation solutions in the United States and Canada. The platform continues to evolve from a traditional self-filing tax software product into a broader, service-led ecosystem that combines assisted tax preparation, faster refund access and integrated financial tools.
TurboTax delivered solid revenue growth in third-quarter fiscal 2026, with revenues rising 7% year over year to $4.4 billion, while revenues for the first nine months increased 7% to $5.14 billion. Growth was driven by assisted tax and consumer money offerings, partly offset by lower TurboTax federal units. For fiscal 2026, TurboTax revenues are expected to rise about 7%, supported by 11% ARPU growth, although total online units are projected to decline 2% and e-file share to fall by about 1 point.
TurboTax Live, Intuit’s official TurboTax service that combines TurboTax’s DIY tax-filing software with access to a tax expert has become the key growth driver. In the third quarter fiscal 2026, new assisted customers rose 29%, supported by local expert channels that boosted customer acquisition. For fiscal 2026, revenues are expected to grow 36% to $2.8 billion and customers are expected to increase 38%, making it about 53% of total TurboTax revenues.
TurboTax’s integration with Credit Karma is becoming increasingly important, as customers using both platforms generate about 30% higher ARPU, while adoption of fast-money offerings and simplified filing tools is helping deepen engagement and customer monetization.
However, TurboTax faced pressure in the price-sensitive DIY segment, particularly among filers earning under $50,000, where Intuit acknowledged losing share on pricing. Yet, TurboTax issuccessfully transitioning from a traditional DIY tax software product to a more service-led, higher-margin platform, strengthening its long-term growth profile within Intuit’s Consumer business.
How Are INTU’s Peers Fairing?
Paychex’s PAYX tax-related business, included in its Management Solutions segment (payroll processing, tax filing and compliance), delivered strong momentum in third-quarter fiscal 2026, with revenues rising 23% year over year to $1.4 billion. Growth was driven by higher client volumes, increased revenue per client and sustained demand for payroll tax compliance services, supported by the Paycor acquisition.
H&R Block $SQ HRB reported third-quarter fiscal 2026 revenues of $2.4 billion, up 5.3% year over year, driven by higher pricing and volume in U.S. assisted tax preparation. Adjusted EPS rose 11.9% to $6.02, and the company raised its FY2026 revenue outlook to $3.91-$3.92 billion.
INTU’s Price Performance, Valuation and Estimates
Shares of Intuit have declined 21.8% over the past three months, underperforming both the broader industry and the S&P 500 Index.
Image Source: Zacks Investment Research
In terms of forward 12-month Price/Sales (P/S), Intuit is currently trading at 3.75X, which is at a discount to the industry average of 7.03X.
Image Source: Zacks Investment Research
Intuit’s estimate revisions reflect a positive trend. The Zacks Consensus Estimate for fiscal 2026 EPS has been revised upward marginally to $23.19 over the past week. The consensus estimate for 2026 calls for 15.1% growth year over year.
Image Source: Zacks Investment Research
Currently, Intuit carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Research Chief Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X $TWTR Imaging which shot up +129.6% in little more than 9 months.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Paychex, Inc. (PAYX): Free Stock Analysis Report
Intuit Inc. (INTU): Free Stock Analysis Report
H&R Block, Inc. (HRB): Free Stock Analysis Report