H&R Block (NYSE:HRB) Upgraded at Zacks Research

Key Points

• Zacks Research upgraded H&R Block from “hold” to “strong buy,” though the broader analyst consensus remains “hold” with an average price target of $46.67.
• H&R Block reported quarterly EPS of $2.38, exceeding estimates by $0.17, while revenue rose 255.5% year over year to $1.14 billion.
• The stock opened at $42.66, with a market capitalization of $5.23 billion; institutional investors own approximately 90.14% of outstanding shares.

H&R Block (NYSE:HRB - Get Free Report) was upgraded by equities research analysts at Zacks Research from a "hold" rating to a "strong-buy" rating in a report released on Monday, Zacks reports.

Other equities research analysts also recently issued research reports about the stock. The Goldman Sachs Group boosted their price objective on shares of H&R Block from $29.00 to $33.00 and gave the company a "sell" rating in a research report on Wednesday, August 12th. Weiss Ratings reaffirmed a "hold (c)" rating on shares of H&R Block in a report on Tuesday, September 29th. Barrington Research lifted their target price on H&R Block from $50.00 to $60.00 and gave the company an "outperform" rating in a research report on Wednesday, August 12th. Finally, Stephens initiated coverage on H&R Block in a report on Tuesday, July 28th. They set an "equal weight" rating and a $47.00 price target for the company. One research analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating, two have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of "Hold" and a consensus target price of $46.67.

H&R Block Stock Up 1.6%

Shares of NYSE:HRB opened at $42.66 on Monday. The company has a current ratio of 1.13, a quick ratio of 1.13 and a debt-to-equity ratio of 12.69. The stock has a fifty day simple moving average of $47.16 and a two-hundred day simple moving average of $39.83. H&R Block has a 12-month low of $28.16 and a 12-month high of $58.67. The stock has a market capitalization of $5.23 billion, a price-to-earnings ratio of 7.46, a PEG ratio of 0.55 and a beta of 0.38.

H&R Block (NYSE:HRB - Get Free Report) last issued its earnings results on Tuesday, August 11th. The company reported $2.38 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.21 by $0.17. H&R Block had a net margin of 18.59% and a negative return on equity of 214.84%. The firm had revenue of $1.14 billion for the quarter, compared to the consensus estimate of $1.12 billion. During the same quarter in the prior year, the firm posted $2.27 earnings per share. The business's revenue was up 255.5% on a year-over-year basis. H&R Block has set its FY 2027 guidance at 6.040-6.240 EPS. On average, research analysts anticipate that H&R Block will post 6.11 earnings per share for the current fiscal year.

Insider Activity

In related news, insider Mark J. Darling sold 2,700 shares of the firm's stock in a transaction on Wednesday, September 30th. The stock was sold at an average price of $40.69, for a total value of $109,863.00. Following the completion of the sale, the insider directly owned 21,588 shares in the company, valued at $878,415.72. This trade represents a 11.12% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. 0.67% of the stock is owned by insiders.

Hedge Funds Weigh In On H&R Block

Several hedge funds have recently bought and sold shares of the business. MassMutual Private Wealth & Trust FSB raised its holdings in shares of H&R Block by 54.0% in the second quarter. MassMutual Private Wealth & Trust FSB now owns 895 shares of the company's stock valued at $34,000 after acquiring an additional 314 shares in the last quarter. Elevation Wealth Partners LLC lifted its stake in H&R Block by 34.5% in the second quarter. Elevation Wealth Partners LLC now owns 1,040 shares of the company's stock worth $40,000 after acquiring an additional 267 shares during the period. Bogart Wealth LLC grew its holdings in H&R Block by 51.4% during the 1st quarter. Bogart Wealth LLC now owns 1,311 shares of the company's stock worth $42,000 after acquiring an additional 445 shares in the last quarter. Plato Investment Management Ltd bought a new position in H&R Block during the 2nd quarter worth about $61,000. Finally, Leonteq Securities AG bought a new position in H&R Block during the 1st quarter worth about $86,000. Institutional investors own 90.14% of the company's stock.

H&R Block Company Profile

H&R Block, Inc is a tax preparation and financial services company that helps individuals and small businesses manage tax filing and related financial needs. Its services are delivered through company-owned and franchise offices, online platforms and tax-preparation software, providing both assisted and do-it-yourself filing options.

The company offers federal, state and local tax preparation, tax planning and related support, along with products and services such as refund-related financial solutions, tax identity protection and small-business assistance.

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