New York, Feb 3, 2026, 19:06 (EST) — Trading after the bell.
Intuit (INTU) shares dropped 10.9% to $434.09 in after-hours trading, following an 11% slide during regular session. Salesforce, Datadog, and Adobe each lost roughly 7%, while Synopsys and Atlassian declined about 8%. The S&P 500 software and services index tumbled 3.8%. “We’re seeing a lot of software companies across the spectrum get hit,” noted Art Hogan, chief market strategist at B. Riley Wealth. John Campbell of Allspring Global Investments added that parts of the market were “priced for perfection.” Reuters
This move is significant since Intuit occupies a key spot in tax filing and small-business accounting—sectors investors usually see as stable and reliable. But on days like this, even “predictable” businesses can get dumped.
The Nasdaq Composite dropped 1.4%, while the S&P 500 slipped 0.8% on Tuesday, with tech and software shares bearing the brunt of the selloff.
Traders highlighted new offerings from Anthropic, which rolled out plug-ins for its Claude Cowork agent to automate tasks in legal, sales, marketing, and data analysis. “Sometimes the market just shoots first and asks questions later,” said Mike Archibald, portfolio manager at AGF Investments. Schroders analyst Jonathan McMullan noted that investors were “aggressively repricing” software and data stocks as the “visibility premium” begins to fade. Reuters
Intuit revealed a multi-year deal with Affirm on Monday to introduce “pay over time” options within QuickBooks Payments for eligible U.S. customers. “We are giving businesses a powerful new way to increase conversion and improve cash flow,” said David Hahn. Pat Suh described it as “another lever for growth.” This buy-now-pay-later setup allows customers to split their bills into installments, while merchants receive immediate payment and the lender assumes the repayment risk. Intuit Inc.
Intuit timed its announcement during Super Bowl LX week to launch a financial literacy program in partnership with the NFL and the 49ers Foundation. “Financial literacy is a foundational life skill,” said Dave Zasada, a company vice president. Intuit Inc.
Shares had slipped 2.37% on Monday, ending at $487.12, before the sell-off hit on Tuesday. It marked a tough couple of days for investors.
Intuit, the company behind TurboTax, Credit Karma, QuickBooks, and Mailchimp, depends heavily on tax season and steady fees from small businesses. AI might streamline tasks and boost user engagement within its platforms. Yet, it also raises a pressing concern among investors: who’s at risk of commoditization—and how quickly?
The risk cuts both ways. Should the AI disruption story lose steam and next month’s results reveal steady demand, Tuesday’s decline might reverse. On the other hand, if clients shift to cheaper automated alternatives or prices drop to protect market share, valuations could face a prolonged, gradual slide.
The next key event is Feb. 26, when Intuit will release its fiscal second-quarter results and host a conference call after markets close. Investors want to hear about tax season momentum, small-business spending patterns, and how Intuit intends to leverage AI without sacrificing pricing power.
