Is karma endowed with intelligence? How can karma judge if you deserve a bad reincarnation or a good reincarnation?

The following is what Bhagwan Ramana Maharshi states to answer your question in his poetic work Upadesa Saram:

கன்மம் பலன் தரல் கர்த்தனது ஆணையால்
கன்மம் கடவுளோ உந்தீபற
கன்மம் சடமதாம் உந்தீபற

Kanmam palan tharal kartthanathu aaNaiyaal
Kanmam kadavuLO untheepaRa
Kanmam jadapathaam untheepaRa

Meaning: “Karma is just jata — insentient. Do you think it is God?! Karma’s fruits become effective only by the will of God.”

This concept had been endorsed in the distant past by both Shankaracharya and Ramanujacharya.

To understand more in detail on how Karma concept works, you may please read this —-> Understanding the concept of Karma & rebirth in Hinduism