Intuit (NASDAQ: INTU) reported stronger-than-expected Q2 earnings, driven by growth in its small business and consumer segments, while its recent AI partnerships have begun reshaping Wall Street’s perception of the company. The TurboTax and QuickBooks parent posted revenue of $3.4 billion, up 12% year-over-year, surpassing analyst estimates of $3.32 billion.
Analysts attribute the beat to Intuit’s expanding AI capabilities, including collaborations with OpenAI and internal generative AI tools for small business accounting. “Intuit is transitioning from a tax software company to an AI-driven financial platform,” noted a Morgan Stanley analyst. The company’s Credit Karma unit also saw improved margins, contributing to the upside.
Market reaction was positive, with shares rising 4% in after-hours trading. However, some investors remain cautious about Intuit’s ability to maintain its premium valuation amid increasing competition in AI-powered financial tools. CFO Michelle Clatterbuck emphasized the company’s “multi-year AI roadmap” during the earnings call, while declining to provide specific guidance on expected revenue impacts.