Brace for Turbo Tax software supplier Intuit (INTU) to fall by around 13% this morning. In the fiscal third quarter, Intuit posted strong earnings and lifted its guidance. The eye popping 17% job cut, however, will weigh on shares.
Intuit reported non-GAAP EPS of $12.80. Revenue grew by 10% Y/Y. For Q4, it is forecasting $3.56 to $3.62 EPS. The job cut indicates that Intuit is taking a defensive response to AI disrupting a moat it once enjoyed. AI could potentially prepare tax returns for users.
CME Group (CME) fell by 4% on Wednesday, extending its downtrend that started in March. Investors are not excited about its plans to launch tokenized cash by the end of 2026.
Hasbro (HAS) broke below the $90 support level yesterday. In Q1, it posted 12.7% Y/Y revenue growth to $1 billion. The firm will allocate its capital to pay down its debt, pay shareholders a dividend, and buy back shares.
At a 52-week high, ARM Holdings (ARM) will look to add to its 15% gain from the day before. The market is willing to pay a forward P/E of over 100 times. Investors are hedging their holdings on chip makers like NVIDIA and AMD. ARM could potentially grow its market share in the CPU server market this year. It is more likely to take Intel’s (INTC) share of the server space.
