Intuit Price Targets Slashed to $624 and $658; Partners with Affirm
BMO Capital cut Intuit's price target to $624 from $810 while maintaining its Outperform rating, and TD Cowen trimmed its target to $658 from $802, retaining a Buy rating on the shares. Intuit also secured a multi-year partnership with Affirm to integrate pay-over-time options into QuickBooks Payments for SMB clients.
1. Analyst Ratings and Price Target Revisions
On February 10, BMO Capital cut Intuit's price target to $624 from $810 but maintained an Outperform rating, noting expectations of a clean earnings beat against a low bar. A day earlier, TD Cowen lowered its target to $658 from $802 and kept a Buy rating, citing uncertainty around terminal values and AI-driven growth in the software sector.
2. Affirm Partnership Details
On February 2, Intuit launched a multi-year partnership with Affirm, making it the exclusive pay-over-time solution within QuickBooks Payments. The integration will enable small and mid-market businesses using QuickBooks to offer Affirm's flexible payment plans to their customers, aiming to drive higher conversion rates and improve cash flow management.
3. Potential Impact on Growth and Valuation
The revised price targets reflect analyst concerns over sustained growth and terminal valuation clarity as AI investments ramp up. Meanwhile, the Affirm tie-up enhances Intuit's end-to-end financial management suite, potentially boosting transaction volumes and reinforcing its competitive position in the SMB market.