INTU
Intuit Inc.
Technology · Software - Application · United States · Stock
Score Breakdown
Scored for Dividend Income profile
Sub-scores are 0–20 each; Model Score is weighted by your selected investment goal. How it works →
Why Ranked Here
- Strong double-digit revenue growth combined with even faster net income and EPS expansion earned a near-top growth score, reflecting improving operating leverage [growth.revenue.yoy, growth.net_income.yoy, growth.eps_diluted.yoy].
- High profitability metrics — 26.1% operating margin, 20.5% net margin, and 10.5% ROA — alongside a conservative 0.3 debt-to-equity ratio and 19.9x interest coverage contributed solid scores across the profitability and financial health factors [profitability.operating_margin_pct, profitability.net_margin_pct, profitability.roa_pct, financial_health.debt_to_equity, financial_health.interest_coverage].
- Consistent multi-year dividend growth from $2.72 to $4.16 per share with a sustainable 30.7% payout ratio earned a near-maximum dividend score [dividend.dps_trend, dividend.payout_ratio].
Why Not Higher
- The Enterprise AI Software theme assignment contributed zero score under the model's current methodology, leaving meaningful potential upside unrealized in the composite rating [theme.assigned].
- Despite strong fundamentals, the highly seasonal quarterly pattern — with 2026Q3 revenue of $8.6 billion dwarfing the $3.8–4.7 billion range of the prior three quarters — introduces uncertainty about the sustainability of the momentum reading [momentum.revenue_quarterly].
Data Confidence
10 / 10
Very High — full data coverage
Why This Score
Grounded in figures from this company's SEC EDGAR filings — not a restatement of the score itself.
Revenue grew from FY2024's $16,285,000,000 to FY2025's $18,831,000,000, a gain of +15.6%. Over the same period, net income rose +30.6% and diluted EPS expanded +31.1%, from $10.43 in FY2024 to $13.67 in FY2025.
The model rewarded the combination of double-digit top-line expansion and even faster bottom-line growth, which signals improving operating leverage and supports a near-top score on this factor.
In FY2025, Intuit posted an operating margin of 26.1%, a net margin of 20.5%, and a return on assets of 10.5%.
These figures indicate that the company converts a substantial share of revenue into operating and net income while generating meaningful returns on its asset base, all of which the model treats as hallmarks of high-quality profitability.
In FY2025, Intuit carried a debt-to-equity ratio of 0.3 and an interest coverage ratio of 19.9, against a total asset base of $36,958,000,000.
A low debt-to-equity ratio and very high interest coverage together indicate that the company's debt load is modest relative to equity and that operating income comfortably services interest obligations, supporting a solid score on this factor.
Over the last four reported quarters, revenue accelerated from $3,831,000,000 in 2025Q4 to $3,885,000,000 in 2026Q1, $4,651,000,000 in 2026Q2, and $8,558,000,000 in 2026Q3. Operating income followed a similar trajectory, rising from $339,000,000 in 2025Q4 to $534,000,000, $855,000,000, and $4,020,000,000 in the subsequent three quarters, with net income climbing from $381,000,000 in 2025Q4 to $3,064,000,000 in 2026Q3.
The sharp sequential acceleration across all three metrics in the most recent quarter drove a strong momentum reading, reflecting the model's reward for improving near-term financial trends.
Intuit has grown its dividends per share every year from $2.72 in FY2022 to $3.12 in FY2023, $3.60 in FY2024, and $4.16 in FY2025, while maintaining a dividend payout ratio of 30.7% in FY2025.
The model rewarded the consistent multi-year dividend growth alongside a moderate payout ratio, which suggests the dividend is well-covered by earnings and has room to continue growing, resulting in a near-maximum score on this factor.
Intuit is assigned to the Enterprise AI Software macro theme.
Although the company carries an Enterprise AI Software theme assignment, this designation did not translate into score under the model's current methodology for this factor.
Research Summary
AI-generated analysis reflects data and conditions as of the report date shown above. Verify any specific figures through primary sources before acting on this analysis.
Intuit delivered strong FY2025 results, with revenue rising 15.6% to $18.8 billion and net income growing even faster at 30.6%, reflecting meaningful operating leverage [growth.revenue.yoy, growth.net_income.yoy]. Profitability metrics are robust, with a 26.1% operating margin and 20.5% net margin, while the balance sheet remains conservatively financed at a 0.3 debt-to-equity ratio with interest coverage of 19.9x [profitability.operating_margin_pct, profitability.net_margin_pct, financial_health.debt_to_equity, financial_health.interest_coverage]. Quarterly momentum has accelerated sharply, with revenue surging to $8.6 billion and operating income reaching $4.0 billion in 2026Q3, and the company has consistently grown its dividend from $2.72 in FY2022 to $4.16 in FY2025 while maintaining a sustainable 30.7% payout ratio [momentum.revenue_quarterly, momentum.operating_income_quarterly, dividend.dps_trend, dividend.payout_ratio]. The composite picture is one of a financially healthy, high-quality compounder earning a total model score of 76.4/100 and a Medium risk rating.
Plain English
Intuit is a software company that grew its sales by about 16% last year and its profits even faster, keeps very little debt, and has been steadily raising its dividend every year — making it look like a well-run, financially solid business [growth.revenue.yoy, growth.net_income.yoy, financial_health.debt_to_equity, dividend.dps_trend].
Bull Case vs. Bear Case
Bull Case
- Revenue grew 15.6% year-over-year to $18.8 billion in FY2025, while net income expanded 30.6% and diluted EPS jumped 31.1% to $13.67, demonstrating that growth is translating into even faster profit expansion [growth.revenue.yoy, growth.net_income.yoy, growth.eps_diluted.yoy].
- The company's 26.1% operating margin and 10.5% return on assets in FY2025 signal a high-quality business that efficiently converts revenue into profit and generates strong returns on its asset base [profitability.operating_margin_pct, profitability.roa_pct].
- Dividends per share have grown every year from $2.72 in FY2022 to $4.16 in FY2025, with a conservative 30.7% payout ratio leaving ample room for continued dividend growth [dividend.dps_trend, dividend.payout_ratio].
Bear Case
- The Enterprise AI Software theme assignment did not contribute any score under the model's current methodology, meaning the thematic tailwind is not yet reflected in the quantitative rating [theme.assigned].
- Quarterly revenue and income show a highly seasonal pattern, with 2026Q3 results dramatically higher than the prior three quarters, which may make trend analysis and forward projections less straightforward [momentum.revenue_quarterly, momentum.net_income_quarterly].
- While the balance sheet is healthy, the company's total asset base of $36.96 billion means that sustaining a 10.5% return on assets requires consistently strong earnings performance with little margin for operational missteps [financial_health.total_assets, profitability.roa_pct].
What Could Change the Picture
Bullish Triggers
- If the Enterprise AI Software theme begins to receive quantitative credit in the model, Intuit's existing strong fundamentals could push its composite score meaningfully higher [theme.assigned].
- Continued acceleration in quarterly operating income — which reached $4.0 billion in 2026Q3 versus $339 million in 2025Q4 — would further validate the operating leverage story and strengthen the momentum factor [momentum.operating_income_quarterly].
Bearish Triggers
- A reversal in the sharp sequential revenue acceleration seen through 2026Q3 could weaken the momentum factor, which currently benefits from a very strong most-recent quarter [momentum.revenue_quarterly].
- Any deterioration in operating margins from the current 26.1% level would undermine the profitability narrative that supports a significant portion of the composite score [profitability.operating_margin_pct].
Risk Profile
Medium RiskIntuit's financial health is strong, with a low 0.3 debt-to-equity ratio and interest coverage of 19.9x providing a substantial buffer against financial stress [financial_health.debt_to_equity, financial_health.interest_coverage]. However, the pronounced quarterly seasonality in revenue and operating income — ranging from $339 million in operating income in 2025Q4 to $4.0 billion in 2026Q3 — means that near-term results can vary dramatically, which the model reflects in a Medium risk rating [momentum.operating_income_quarterly].
This report is for educational and research purposes only. It does not constitute financial, investment, legal, or tax advice — always conduct your own due diligence before making investment decisions.