CFO Sandeep Aujla said the company’s fiscal 2027 outlook reflects “deliberate actions” to improve the price-value equation for customers.

  • Intuit is accepting lower near-term revenue per customer to boost retention.
  • Intuit’s fiscal 2027 revenue forecast of $23.28 billion-$23.51 billion fell short of Wall Street’s $23.72 billion estimate.
  • INTU plunged 10.3% overnight and is down more than 44% this year amid concerns over AI disruption and slowing growth.

Intuit Inc. flagged pricing as the biggest reason customers are abandoning its TurboTax tax-preparation tools, prompting the company to deliberately lower prices for its DIY offerings in fiscal 2027 as it seeks to win back users from cheaper rivals.

“Price is now the number 1 reason customers leave TurboTax,” CEO Sasan Goodarzi said on the company’s earnings call on Tuesday. Intuit said it lost “quality DIY customers to low-cost providers” during the latest tax season as consumers today have access to more lower-priced alternatives.

Intuit issued a 2027 sales forecast that missed Wall Street’s expectations, triggering a 10.3% drop in its shares overnight. Shares of software peers Salesforce, Adobe and ServiceNow dropped 0.8% to 1.5% in sympathy.

Intuit Accepts Near-Term Revenue Headwinds For Customer Retention

Intuit said its TurboTax strategy historically focused on maximizing tax revenue and average revenue per customer by upgrading users into higher-value products. The company now plans to accept lower upfront revenue in exchange for acquiring and retaining more customers across its broader consumer platform.

“This means we are deliberately accepting lower initial DIY tax ARPC to acquire and retain more quality customers, grow e-file share and create greater lifetime value,” Goodarzi said.

CFO Sandeep Aujla said the company’s fiscal 2027 outlook reflects “deliberate actions” to improve the price-value equation for DIY customers, resulting in lower tax ARPC.

Intuit is taking a similar approach with QuickBooks, introducing free and low-cost offerings to widen its funnel among small businesses. QuickBooks Free had more than 20,000 customers either actively using the product or converting to paid offerings as of last month, with monetization coming from payments adoption and upgrades, the company said.

Intuit’s Q4 Recap

The pricing reset comes as Intuit reported fourth-quarter revenue of $4.95 billion, up 13.6% from a year earlier and above analysts’ expectations of $4.27 billion, according to LSEG/Reuters. 

However, its fiscal 2027 revenue outlook of $23.28 billion to $23.51 billion, representing 9% to 10% growth — a slowdown from 14% in 2026 — came in below analysts' estimate of $23.72 billion.

The enterprise software company attributed the deceleration to weaker sales at its marketing platform, Mailchimp, a continued decline in its desktop products, and lower average revenue per TurboTax customer following changes designed to attract more users.

Retail View On INTU

Intuit was among the top five trending tickers on Stocktwits late Tuesday. The retail sentiment for the stock rose to ‘extremely bullish’ from ‘bullish.’

Intuit has been among the biggest casualties of the AI-driven selloff in software, with shares down more than 44% this year. Investors have grown increasingly concerned that AI could disrupt its core products, particularly TurboTax. 

INTU stock briefly became the S&P 500’s worst performer in 2026, as fears of AI-powered tax competitors, pricing pressure, and slowing growth overshadowed otherwise solid financial results in the past quarters.

For updates and corrections, email newsroom[at]stocktwits[dot]com.<