Tom Lee, the popular Wall Street strategist who heads FundStrat Global Advisors and serves as chief investment officer at Fundstrat Capital, recently disclosed the stocks his firm bought and sold across its actively managed ETFs. Lee, known for his bullish market calls, has built a large following among retail investors who track his trades closely.
Intuit
The Fundstrat Granny Shots US Large Cap ETF (NYSE:GRNY) and Fundstrat Granny Shots US Large Cap & Income ETF (NYSE:GRNI) bought Intuit (NASDAQ:INTU), which owns popular companies like TurboTax, CreditKarma, QuickBooks, and MailChimp.
Intuit has become a beaten-down company because of the SaaS-pocalypse fears, with its stock being 55% below its all-time high. Therefore, Lee likely believes that fears that AI tools will disrupt its business are overblown. Instead, it is likely that AI features will help to improve its services and even cut operation costs.
Intuit’s valuation has also become highly friendly, with the forward price-to-earnings ratio moving to 14.7, lower than the sector median of 22.7. This multiple is also much lower than the five-year average of 32. As a result, the management has continued to repurchase its shares. It repurchased $5.5 billion in FY’26, up by 96% from a year earlier. It also $7.9 billion remaining in this authorization.
