Here’s Why Intuit (INTU) is Struggling

3 weeks ago 21

Soumya Eswaran

Thu, July 9, 2026 astatine 8:12 AM CDT 3 min read

ClearBridge Investments, a planetary equity manager, precocious published second-quarter 2026 commentary for its "Large Cap Growth Strategy". A transcript of the missive tin beryllium downloaded here. Equity markets experienced a important rally successful the 2nd quarter, fueled by robust net and expanding optimism regarding easing geopolitical tensions. The S&P 500 Index climbed 15.2% during this period, portion the Russell 1000 Growth Index returned 16.7%, contempt immoderate volatility successful sentiment towards AI. The reconstitution of Russell U.S. Indexes and the SpaceX IPO had a notable interaction connected large-cap maturation benchmarks this quarter. The Strategy transitioned from a diversified to a non-diversified attack successful the quarter, allowing for greater flexibility successful portfolio management. Against this backdrop, the Strategy underperformed its benchmark, driven by banal enactment and assemblage allocation. In addition, delight cheque the Strategy's apical 5 holdings to cognize its champion picks successful 2026.

In its April 2026 capitalist letter, ClearBridge Large Cap Growth Strategy highlighted Intuit Inc. (NASDAQ:INTU). Intuit Inc. (NASDAQ:INTU) is simply a fiscal bundle institution offering products and services for fiscal management, payments, capital, compliance, and marketing. On July 8, 2026, Intuit Inc. (NASDAQ:INTU) closed astatine $272.10 per share. One-month instrumentality of Intuit Inc. (NASDAQ:INTU) was -2.17%, and its shares mislaid 63.78% implicit the past 52 weeks. Intuit Inc. (NASDAQ:INTU) has a marketplace capitalization of $74.43 billion.

ClearBridge Large Cap Growth Strategy stated the pursuing regarding Intuit Inc. (NASDAQ:INTU) successful its April 2026 capitalist update:

"The Strategy besides exited a presumption successful Intuit Inc. (NASDAQ:INTU) owed to increasing concerns that AI could commoditize parts of its taxation business. In bid to support competitiveness, absorption appears to admit the request to reinvest successful the TurboTax platform, which we judge could measurement connected guardant guidance. We besides spot rising contention to Intuit's QuickBooks tiny concern business bundle level from some accepted and AI peers. Our merchantability follows akin logic applied to different bundle companies implicit the past fewer years: exiting companies with anemic oregon weakening halfway businesses that bash not person a wide AI strategy to vie successful an progressively analyzable environment."

TD Cowen Expects Strong Q3 Performance from Intuit (INTU)

Intuit Inc. (NASDAQ:INTU) is not connected our database of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 92 hedge money portfolios held Intuit Inc. (NASDAQ:INTU) astatine the extremity of the archetypal quarter, compared to 91 successful the erstwhile quarter. In the 3rd 4th of fiscal 2026, Intuit Inc. (NASDAQ:INTU) reported revenue of $8.6 billion, reflecting a 10% year-over-year growth. While we admit the imaginable of Intuit Inc. (NASDAQ:INTU) arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you're looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.

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