Nasdaq 100 Falls 1.1% as Intuit Plunges 62% Year-to-Date, June 10

The Nasdaq 100 index fell 1.1% to 29,084.5 on June 10, dropping 329.76 points. The decline reflects broad weakness in technology stocks, particularly software companies. Intuit, a major index holding, has plunged 62% from its July 2025 peak, dragging on the broader index. Despite the pullback, the index remains up 15.2% year-to-date through June 9.

Why Intuit Became the Index Laggard

Intuit stock fell 3.8% on June 10 to $293.78, extending its year-to-date decline to 62%. The company’s market cap has shrunk from $215 billion to $83 billion. Investors fear AI tools will disrupt Intuit’s core software products like TurboTax, QuickBooks, and CreditKarma. However, Intuit’s latest results show revenue grew 10.4% to $8.56 billion, with Global Business revenue rising 15%. Excluding MailChimp, Global Business revenue growth reached 17%.

Index Performance Masks Divergence

The Nasdaq 100 is up 15.2% year-to-date, but individual stocks show sharp divergence. Year-to-date returns vary widely across the index. Intuit’s 62% decline contrasts sharply with the broader index strength. Technical indicators show the index RSI at 49.56, suggesting neutral momentum, while the ADX at 35.00 indicates a strong downtrend in place.

What Meyka’s Data Shows

Meyka rates the Nasdaq 100 a C+ with a 12-month forecast of $25,699.46, implying limited upside from current levels. The index’s 50-day moving average sits at 27,562.63 and 200-day average at 25,583.08. Intuit carries an A- rating from Meyka with a 12-month target of $714.26, 143% above the current price. Analyst consensus on Intuit is Buy, with 21 analysts rating it Buy and only 1 rating it Sell.

Sector Rotation Pressures Tech

The Nasdaq 100’s 1.1% decline reflects broader pressure on software stocks. Intuit faces “SaaSpocalypse” concerns, a concept where AI tools disrupt software companies. Yet Intuit’s business fundamentals remain solid. Revenue growth of 10% and strong Global Business performance suggest the market may be overreacting to disruption fears. The stock trades at a PE of 17.94, below its historical average.

Final Thoughts

The Nasdaq 100 fell 1.1% on June 10, with Intuit’s 62% crash dragging the index lower. Despite sector weakness, Meyka rates Intuit A- with a $714.26 target, suggesting the selloff may be overdone. Investors should watch for stabilization in software valuations.

FAQs

Disclaimer:

The content shared by Meyka AI PTY LTD is solely for research and informational purposes.  Meyka is not a financial advisory service, and the information provided should not be considered investment or trading advice.