RBC Capital Remains a Buy on Intuit Inc. (INTU)

​Intuit Inc. (NASDAQ:INTU) is one of the Best Software Stocks to Buy According to Wall Street Analysts. On January 28, Biraj Borkhataria from RBC Capital reiterated a Buy rating on the stock with a $850 price target. Earlier, on January 21, Keith Weiss from Morgan Stanley reiterated a Buy rating on Intuit Inc. (NASDAQ:INTU) with a $880 price target.

​Analysts from RBC Capital noted that the company faces risks related to AI, where its customers can turn to free AI tools instead of paying for TurboTax or expert help. However, the firm highlights that less than 15% of the paid users are vulnerable to this shift. Moreover, the firm also believes that the opportunities from AI outweigh threats. RBC highlighted that AI has the potential to drive customer upgrades and grow the addressable market for Intuit Inc. (NASDAQ:INTU). Moreover, the firm also likes the partnerships Intuit has built with OpenAI and Anthropic.

​That said, analysts from Morgan Stanley noted that they are bullish on the stock due to the untapped growth potential in key product areas and its cheap valuation. The firm projects 20% annual revenue growth by FY30 and raised revenue expectations from $19 billion in FY25 to $43 billion.

Intuit Inc. (NASDAQ:INTU) provides financial management, payments & capital, compliance, and marketing products and services in the US. The company operates in four segments: Global Business Solutions, Consumer, Credit Karma, and ProTax.

While we acknowledge the potential of INTU to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than INTU and that has 100x upside potential, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.