H&R Block, Inc. (NYSE:HRB) Receives Consensus Recommendation of "Hold" from Brokerages

Key Points

• Brokerages give H&R Block an average recommendation of Hold (1 sell, 3 hold, 1 buy) with a 12‑month consensus price target of $41; Goldman Sachs recently cut its target to $32 and set a sell rating.
• The company beat its latest quarter estimates (EPS $(1.84) vs. $(1.96) expected; revenue $198.9M vs. $187.4M) and issued FY2026 guidance of $4.85–$5.00 EPS, versus analyst expectations around $5.25.
• H&R Block offers a meaningful income profile with an annualized dividend of $1.68 (a 5.4% yield), trades at a P/E of 7.22 and has a market cap of about $3.96 billion.

Shares of H&R Block, Inc. (NYSE:HRB - Get Free Report) have been assigned an average recommendation of "Hold" from the five research firms that are currently covering the company, Marketbeat reports. One investment analyst has rated the stock with a sell rating, three have assigned a hold rating and one has issued a buy rating on the company. The average twelve-month price objective among analysts that have issued a report on the stock in the last year is $41.00.

A number of equities research analysts recently commented on HRB shares. Weiss Ratings raised H&R Block from a "sell (d+)" rating to a "hold (c)" rating in a report on Tuesday, February 17th. The Goldman Sachs Group cut their price target on shares of H&R Block from $48.00 to $32.00 and set a "sell" rating on the stock in a report on Friday, February 6th. Finally, Barrington Research decreased their price objective on shares of H&R Block from $62.00 to $50.00 and set an "outperform" rating for the company in a research note on Wednesday, February 4th.

H&R Block Price Performance

NYSE HRB opened at $31.28 on Friday. The company has a debt-to-equity ratio of 12.86, a current ratio of 1.29 and a quick ratio of 1.29. The stock's fifty day moving average price is $33.39 and its 200 day moving average price is $42.25. H&R Block has a 1 year low of $28.16 and a 1 year high of $64.62. The company has a market cap of $3.96 billion, a price-to-earnings ratio of 7.22, a PEG ratio of 0.49 and a beta of 0.38.

H&R Block (NYSE:HRB - Get Free Report) last issued its quarterly earnings results on Tuesday, February 3rd. The company reported ($1.84) EPS for the quarter, topping analysts' consensus estimates of ($1.96) by $0.12. The company had revenue of $198.87 million during the quarter, compared to analysts' expectations of $187.36 million. H&R Block had a negative return on equity of 176.02% and a net margin of 16.19%.The firm's revenue was up 11.1% compared to the same quarter last year. During the same quarter in the previous year, the firm posted ($1.73) 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 will post 5.25 earnings per share for the current year.

H&R Block Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Monday, April 6th. Investors of record on Wednesday, March 4th will be issued a dividend of $0.42 per share. This represents a $1.68 annualized dividend and a dividend yield of 5.4%. The ex-dividend date of this dividend is Wednesday, March 4th. H&R Block's dividend payout ratio (DPR) is 38.80%.

Institutional Investors Weigh In On H&R Block

Hedge funds have recently added to or reduced their stakes in the business. Versant Capital Management Inc raised its stake in shares of H&R Block by 26.9% during the 3rd quarter. Versant Capital Management Inc now owns 1,042 shares of the company's stock valued at $53,000 after buying an additional 221 shares during the last quarter. Cahill Financial Advisors Inc. boosted its stake in shares of H&R Block by 5.7% during the 3rd quarter. Cahill Financial Advisors Inc. now owns 4,075 shares of the company's stock worth $206,000 after acquiring an additional 221 shares in the last quarter. Xponance Inc. boosted its stake in shares of H&R Block by 1.3% during the 3rd quarter. Xponance Inc. now owns 17,403 shares of the company's stock worth $880,000 after acquiring an additional 223 shares in the last quarter. US Bancorp DE grew its position in shares of H&R Block by 2.1% during the 3rd quarter. US Bancorp DE now owns 12,601 shares of the company's stock valued at $637,000 after acquiring an additional 261 shares during the period. Finally, Covestor Ltd grew its position in shares of H&R Block by 25.7% during the 3rd quarter. Covestor Ltd now owns 1,399 shares of the company's stock valued at $71,000 after acquiring an additional 286 shares during the period. 90.14% of the stock is owned by hedge funds and other institutional investors.

About H&R Block

H&R Block NYSE: HRB is a leading provider of tax preparation services and software solutions, serving individual and small-business clients through a combination of retail offices, online platforms and mobile applications. The company offers assisted tax preparation at its network of retail offices, where clients work with trained tax professionals, as well as do-it-yourself (DIY) software and online filing services designed to guide users through the complexities of federal and state tax returns.

Founded in 1955 by brothers Henry W.

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