Why Intuit Stock Crashed -30%?
Between November 5, 2025, and February 3, 2026, Intuit (INTU)’s stock fell 34% despite modest gains in revenue and margins. A sharp 38% drop in its P/E multiple reflects market jitters fueled by AI disruption fears, analyst downgrades, and shifting strategies—yet strong earnings and dividends add layers to the story.
Below is an analytical breakdown of stock movement into key contributing metrics.
| 11052025 | 2032026 | Change | |
|---|---|---|---|
| Stock Price ($) | 654.1 | 434.1 | -33.6% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 18,831.0 | 19,433.0 | 3.2% |
| Net Income Margin (%) | 20.5% | 21.2% | 3.1% |
| P/E Multiple | 47.3 | 29.4 | -37.9% |
| Shares Outstanding (Mil) | 280.0 | 279.0 | 0.4% |
| Cumulative Contribution | -33.6% |
So what is happening here? The stock price dropped 34%, driven mainly by a 38% decrease in the P/E multiple, while revenue and net margin both increased slightly by about 3%. Let’s see what’s behind these shifts.
Here Is Why Intuit Stock Moved
- Strong Q1 2026 Earnings: Intuit exceeded EPS and revenue estimates, with strong growth in online ecosystem and Credit Karma.
- AI Disruption Fears: Broad market re-rating of software stocks due to concerns over AI disrupting business models.
- Analyst Price Target Cuts: Oppenheimer lowered its price target to $696.00; KeyCorp also cut its target.
- Increased Quarterly Dividend: Board approved a 15% increase in the quarterly dividend to $1.20/share.
- AI Integration & Strategy: Continued AI innovations, like OpenAI partnership and new Career Pipeline Program.
Our Current Assesment Of INTU Stock
Opinion: We currently find INTU stock fairly priced. Why so? Have a look at the full story. Read Buy or Sell INTU Stock to see what drives our current opinion.
Risk: A solid way to gauge risk with INTU is to check its past drops during major market shocks. It plunged about 72% in the Dot-Com crash, 38% in the Global Financial Crisis, and nearly 49% during the inflation shock. The smaller sell-offs weren’t exactly gentle either — around 36% in the Covid slump and 21% in the 2018 correction. So, even with all the good stuff going for INTU, sharp market downturns can still hit it hard. Quality matters, but when the market’s selling, few stocks escape serious pullbacks.
Think this decline in INTU stock is a buying opportunity? Maybe it is, but single-stock investments can be quite risky. The Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming its benchmark that includes all 3 — the S&P 500, S&P mid-cap, and Russell 2000 indices. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.