Redwood Investment Management LLC Decreases Position in H&R Block, Inc. $HRB

Key Points

• Redwood Investment Management LLC reduced its stake in H&R Block by 9.6%, now holding 92,654 shares, which constitutes 0.6% of its investment portfolio.
• H&R Block announced a quarterly dividend increase from $0.38 to $0.42, representing an annualized dividend of $1.68 and a yield of 3.2%.
• The company's latest earnings report revealed an EPS of $2.27, missing consensus estimates of $2.81, while revenue saw a 4.6% year-over-year increase.

Redwood Investment Management LLC decreased its position in H&R Block, Inc. (NYSE:HRB - Free Report) by 9.6% during the first quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 92,654 shares of the company's stock after selling 9,798 shares during the quarter. H&R Block accounts for approximately 0.6% of Redwood Investment Management LLC's portfolio, making the stock its 26th largest position. Redwood Investment Management LLC owned about 0.07% of H&R Block worth $5,088,000 at the end of the most recent reporting period.

A number of other hedge funds and other institutional investors also recently bought and sold shares of HRB. SVB Wealth LLC bought a new stake in shares of H&R Block in the 1st quarter worth $26,000. Brooklyn Investment Group raised its holdings in H&R Block by 72.1% in the 1st quarter. Brooklyn Investment Group now owns 513 shares of the company's stock valued at $28,000 after acquiring an additional 215 shares during the period. Bogart Wealth LLC boosted its stake in shares of H&R Block by 42.9% in the 1st quarter. Bogart Wealth LLC now owns 666 shares of the company's stock valued at $37,000 after purchasing an additional 200 shares in the last quarter. Covestor Ltd grew its position in shares of H&R Block by 21.8% during the 1st quarter. Covestor Ltd now owns 1,356 shares of the company's stock worth $75,000 after buying an additional 243 shares during the period. Finally, GAMMA Investing LLC grew its stake in shares of H&R Block by 129.2% in the 1st quarter. GAMMA Investing LLC now owns 1,508 shares of the company's stock worth $83,000 after acquiring an additional 850 shares in the last quarter. 90.14% of the stock is currently owned by institutional investors and hedge funds.

H&R Block Stock Performance

HRB traded up $0.23 during trading hours on Friday, hitting $50.36. 2,240,143 shares of the stock were exchanged, compared to its average volume of 2,069,680. The stock has a market cap of $6.75 billion, a price-to-earnings ratio of 11.27, a price-to-earnings-growth ratio of 0.81 and a beta of 0.24. The company has a debt-to-equity ratio of 12.86, a current ratio of 0.90 and a quick ratio of 0.90. H&R Block, Inc. has a 12 month low of $47.00 and a 12 month high of $64.90. The stock has a 50-day simple moving average of $54.17 and a 200-day simple moving average of $55.47.

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

H&R Block Increases Dividend

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

Analyst Ratings Changes

Several equities research analysts have issued reports on HRB shares. Wall Street Zen raised H&R Block from a "hold" rating to a "buy" rating in a research note on Friday, May 9th. Northcoast Research cut shares of H&R Block from a "buy" rating to a "neutral" rating in a research note on Friday, May 2nd. The Goldman Sachs Group decreased their price objective on shares of H&R Block from $54.00 to $48.00 and set a "sell" rating on the stock in a research report on Wednesday, August 13th. Zacks Research downgraded shares of H&R Block from a "strong-buy" rating to a "hold" rating in a report on Wednesday, August 13th. Finally, Barrington Research lowered their price objective on shares of H&R Block from $70.00 to $62.00 and set an "outperform" rating for the company in a research 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. According to data from MarketBeat.com, H&R Block has a consensus rating of "Hold" and an average target price of $55.00.

H&R Block Company Profile

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.