We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Forget AI Stocks: Buy This Tech Stock Now for Value and 130% Upside
Key Takeaways
Intuit offers investors ~130% upside if it returns to its all-time highs from the summer of 2025.
The stock already found support at key long-term technical levels.
The tax software titan trades at its lowest forward earnings level since the 2008 financial crisis.
Plus, INTU's revenue and earnings growth outlook remains solid, and it's rolling out its own AI efforts.
Investors looking to buy proven large-cap technology stocks trading at potentially deep-value levels and 55% below their all-time highs, might consider buying Intuit.
Chasing AI and chip stocks that have already soared over 100% in 2026 to start September might not be the most prudent investment strategy given the current wave of uncertainty and volatility hitting the market.
The upcoming midterm elections and the ongoing tensions between the U.S. and Iran create a series of unknowns. Plus, surging bond yields make risky Wall Street bets less attractive, and the Fed is possibly preparing a rate hike in the middle of the month.
Image Source: Zacks Investment Research
Given this backdrop, let’s dive into why investors might want to consider taking a chance on beaten-down technology stock Intuit to kick off September.
It might be worth nibbling on Intuit simply because it offers investors ~130% upside if it were to ever return to its all-time highs from the summer of 2025.
INTU: Buy this Tech Stock for Deep Value, Growth, AI Efforts, and 130% Upside
Intuit (INTU - Free Report) stock has dropped 55% from its late-July 2025 peaks as Wall Street worries that the rapid adoption and advancements of artificial intelligence tools will eat away at its core tax and business software offerings. INTU offered slightly disappointing FY27 sales guidance when it reported its Q4 results on August 25.
The bear case is simple: AI means that fewer people use TurboTax and the company's various other business and financial software.
But current Zacks estimates and Intuit’s other fundamentals signal that investors should consider being greedy when others are fearful and start at least nibbling at Intuit stock, considering that it offers roughly ~130% upside if it ever returns to its all-time highs.
Image Source: Zacks Investment Research
INTU in May announced plans to cut 17% of its global workforce, in a move the company says is about streamlining operations and improving execution.
It must also be stressed that the company behind TurboTax, QuickBooks, consumer finance platform Credit Karma, and more is rolling out its own AI solutions throughout its business and evolving in other ways to adapt to the AI age.
Intuit’s broader “Big Bets” efforts are focused on TurboTax Live, which is where experts help file or fully prepare returns. The push also includes AI agents+human experts that ‘do the work’ for consumers, small businesses, and accountants.
Image Source: Zacks Investment Research
INTU is also expanding its reach and appeal to mid-market business clients via “conversational AI, enterprise scale, and deep industry workflows for CFOs and accounting firms.”
The firm said its Big Bets efforts expanded by 34% in fiscal 2026 and accounted for 30% of total sales, which jumped 14% YoY. On top of that, Intuit expanded its GAAP earnings by 20% in fiscal 2026.
More importantly, the nearby charts highlight Intuit's impressive long-term EPS growth over the last decade and its strong outlook over the next few years.
Image Source: Zacks Investment Research
The tax software giant is projected to grow its revenue by 9% in FY27 and 10% in FY28 to reach nearly $26 billion. This marks a slowdown compared to its recent expansion, and its earnings estimates have slipped 15% and 9%, respectively, for 2027 and 2028 since its release.
But the slowdown, or at least a large chunk of Intuits' near-term outlook, is likely already baked into its stock price.
The company, which boasts approximately 100 million global customers, is boosting its buybacks and raising its dividend, supported by its robust balance sheet and impressive free cash flow growth.
Image Source: Zacks Investment Research
INTU stock has climbed ~970% in the past 20 years vs. Tech’s ~1,000% and the S&P 500’s ~525%. This strong performance includes its ~55% drop from last summer’s highs.
The stock already found support at its very long-term 200-month moving average earlier this summer. The tech stock is on the cusp of potentially breaking out above a key range while still trading at some of its most oversold RSI levels on record.
Image Source: Zacks Investment Research
The software titan that’s rapidly expanding its AI efforts and preparing for a quickly changing technological landscape trades at its lowest forward earnings multiple since the 2008 financial crisis at just 14.8X forward 12-month earnings.
This marks an 80% discount to its highs, 55% value against its median, and a 25% discount to the Tech sector.
View the Zacks #1 Rank List
Image: Bigstock
Forget AI Stocks: Buy This Tech Stock Now for Value and 130% Upside
Key Takeaways
Investors looking to buy proven large-cap technology stocks trading at potentially deep-value levels and 55% below their all-time highs, might consider buying Intuit.
Chasing AI and chip stocks that have already soared over 100% in 2026 to start September might not be the most prudent investment strategy given the current wave of uncertainty and volatility hitting the market.
The upcoming midterm elections and the ongoing tensions between the U.S. and Iran create a series of unknowns. Plus, surging bond yields make risky Wall Street bets less attractive, and the Fed is possibly preparing a rate hike in the middle of the month.
Image Source: Zacks Investment Research
Given this backdrop, let’s dive into why investors might want to consider taking a chance on beaten-down technology stock Intuit to kick off September.
It might be worth nibbling on Intuit simply because it offers investors ~130% upside if it were to ever return to its all-time highs from the summer of 2025.
INTU: Buy this Tech Stock for Deep Value, Growth, AI Efforts, and 130% Upside
Intuit (INTU - Free Report) stock has dropped 55% from its late-July 2025 peaks as Wall Street worries that the rapid adoption and advancements of artificial intelligence tools will eat away at its core tax and business software offerings. INTU offered slightly disappointing FY27 sales guidance when it reported its Q4 results on August 25.
The bear case is simple: AI means that fewer people use TurboTax and the company's various other business and financial software.
But current Zacks estimates and Intuit’s other fundamentals signal that investors should consider being greedy when others are fearful and start at least nibbling at Intuit stock, considering that it offers roughly ~130% upside if it ever returns to its all-time highs.
Image Source: Zacks Investment Research
INTU in May announced plans to cut 17% of its global workforce, in a move the company says is about streamlining operations and improving execution.
It must also be stressed that the company behind TurboTax, QuickBooks, consumer finance platform Credit Karma, and more is rolling out its own AI solutions throughout its business and evolving in other ways to adapt to the AI age.
Intuit’s broader “Big Bets” efforts are focused on TurboTax Live, which is where experts help file or fully prepare returns. The push also includes AI agents+human experts that ‘do the work’ for consumers, small businesses, and accountants.
Image Source: Zacks Investment Research
INTU is also expanding its reach and appeal to mid-market business clients via “conversational AI, enterprise scale, and deep industry workflows for CFOs and accounting firms.”
The firm said its Big Bets efforts expanded by 34% in fiscal 2026 and accounted for 30% of total sales, which jumped 14% YoY. On top of that, Intuit expanded its GAAP earnings by 20% in fiscal 2026.
More importantly, the nearby charts highlight Intuit's impressive long-term EPS growth over the last decade and its strong outlook over the next few years.
Image Source: Zacks Investment Research
The tax software giant is projected to grow its revenue by 9% in FY27 and 10% in FY28 to reach nearly $26 billion. This marks a slowdown compared to its recent expansion, and its earnings estimates have slipped 15% and 9%, respectively, for 2027 and 2028 since its release.
But the slowdown, or at least a large chunk of Intuits' near-term outlook, is likely already baked into its stock price.
The company, which boasts approximately 100 million global customers, is boosting its buybacks and raising its dividend, supported by its robust balance sheet and impressive free cash flow growth.
Image Source: Zacks Investment Research
INTU stock has climbed ~970% in the past 20 years vs. Tech’s ~1,000% and the S&P 500’s ~525%. This strong performance includes its ~55% drop from last summer’s highs.
The stock already found support at its very long-term 200-month moving average earlier this summer. The tech stock is on the cusp of potentially breaking out above a key range while still trading at some of its most oversold RSI levels on record.
Image Source: Zacks Investment Research
The software titan that’s rapidly expanding its AI efforts and preparing for a quickly changing technological landscape trades at its lowest forward earnings multiple since the 2008 financial crisis at just 14.8X forward 12-month earnings.
This marks an 80% discount to its highs, 55% value against its median, and a 25% discount to the Tech sector.