H&R Block, Inc. $HRB Shares Purchased by Hsbc Holdings PLC

Key Points

• Hsbc Holdings PLC has increased its stake in H&R Block, Inc. by 184.8%, holding 65,459 shares valued at approximately $3.55 million at the end of the first quarter.
• H&R Block recently announced a quarterly dividend increase from $0.38 to $0.42 per share, which represents a 3.3% dividend yield.
• The company reported $2.27 EPS for the last quarter, falling short of the consensus estimate of $2.81 EPS, although revenue increased by 4.6% year-over-year.

Hsbc Holdings PLC grew its stake in H&R Block, Inc. (NYSE:HRB - Free Report) by 184.8% in the 1st quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 65,459 shares of the company's stock after purchasing an additional 42,478 shares during the period. Hsbc Holdings PLC's holdings in H&R Block were worth $3,553,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors have also recently modified their holdings of the company. Allspring Global Investments Holdings LLC raised its holdings in shares of H&R Block by 98.1% in the first quarter. Allspring Global Investments Holdings LLC now owns 100,601 shares of the company's stock worth $5,667,000 after buying an additional 49,827 shares during the period. Truist Financial Corp raised its holdings in shares of H&R Block by 13.5% in the first quarter. Truist Financial Corp now owns 767,369 shares of the company's stock worth $42,136,000 after buying an additional 91,075 shares during the period. Envestnet Asset Management Inc. raised its holdings in shares of H&R Block by 17.7% in the first quarter. Envestnet Asset Management Inc. now owns 703,672 shares of the company's stock worth $38,639,000 after buying an additional 105,973 shares during the period. Asset Management One Co. Ltd. purchased a new stake in shares of H&R Block in the first quarter worth approximately $1,317,000. Finally, Brown Advisory Inc. raised its holdings in shares of H&R Block by 1.6% in the first quarter. Brown Advisory Inc. now owns 11,942 shares of the company's stock worth $656,000 after buying an additional 191 shares during the period. 90.14% of the stock is currently owned by hedge funds and other institutional investors.

H&R Block Stock Up 0.5%

NYSE HRB traded up $0.23 during midday trading on Friday, hitting $50.36. 2,240,143 shares of the company traded hands, compared to its average volume of 2,069,680. The company has a debt-to-equity ratio of 12.86, a current ratio of 0.90 and a quick ratio of 0.90. The company has a market cap of $6.75 billion, a PE ratio of 11.27, a price-to-earnings-growth ratio of 0.81 and a beta of 0.24. The company's 50-day simple moving average is $54.08 and its 200-day simple moving average is $55.46. H&R Block, Inc. has a 52 week low of $47.00 and a 52 week high of $64.90.

H&R Block (NYSE:HRB - Get Free Report) last announced its earnings results on Tuesday, August 12th. The company reported $2.27 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.81 by ($0.54). The company had revenue of $1.11 billion for the quarter, compared to the consensus estimate of $1.07 billion. H&R Block had a net margin of 16.11% and a negative return on equity of 191.38%. The firm's revenue was up 4.6% compared to the same quarter last year. During the same period last year, the business posted $1.89 EPS. H&R Block has set its FY 2026 guidance at 4.850-5.000 EPS. As a group, equities research analysts forecast that H&R Block, Inc. will post 5.25 earnings per share for the current year.

H&R Block Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Monday, October 6th. Shareholders of record on Thursday, September 4th will be given a dividend of $0.42 per share. This is a boost from H&R Block's previous quarterly dividend of $0.38. The ex-dividend date of this dividend is Thursday, September 4th. This represents a $1.68 annualized dividend and a yield of 3.3%. H&R Block's payout ratio is 33.56%.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently weighed in on the company. Barrington Research reduced their price target on H&R Block from $70.00 to $62.00 and set an "outperform" rating on the stock in a report on Wednesday, August 13th. Wall Street Zen upgraded H&R Block from a "hold" rating to a "buy" rating in a report on Friday, May 9th. Zacks Research downgraded H&R Block from a "strong-buy" rating to a "hold" rating in a report on Wednesday, August 13th. Northcoast Research downgraded H&R Block from a "buy" rating to a "neutral" rating in a report on Friday, May 2nd. Finally, The Goldman Sachs Group reduced their price objective on H&R Block from $54.00 to $48.00 and set a "sell" rating on the stock in a report on Wednesday, August 13th. One research analyst has rated the stock with a Buy rating, two have issued a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat, the stock has an average rating of "Hold" and an average target price of $55.00.

About H&R Block

H&R Block, Inc engages in the provision of tax return preparation solutions, financial products and small business solutions. The company was founded by Henry W. Bloch and Richard A. Bloch on January 25, 1955, and is headquartered in Kansas City, MO.