Service Corporation International (NYSE:SCI) Hits New 12-Month High After Earnings Beat

Key Points

• SCI beat quarterly expectations: Earnings per share came in at $0.90 versus the $0.89 consensus, while revenue rose 3.6% year over year to $1.10 billion, exceeding estimates.
• The stock reached a new 52-week high of $90.99 following the results. Management reaffirmed 2026 adjusted EPS guidance of $4.10–$4.30 and raised its cash-flow outlook midpoint.
• SCI increased its quarterly dividend to $0.36 per share from $0.34, representing an annualized payout of $1.44 and a 1.6% yield.

Service Corporation International (NYSE:SCI - Get Free Report) reached a new 52-week high during trading on Thursday after the company announced better than expected quarterly earnings. The stock traded as high as $90.99 and last traded at $88.4620, with a volume of 100300 shares changing hands. The stock had previously closed at $85.68.

The company reported $0.90 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.89 by $0.01. Service Corporation International had a net margin of 12.36% and a return on equity of 34.30%. The company had revenue of $1.10 billion during the quarter, compared to the consensus estimate of $1.08 billion. During the same period in the previous year, the firm earned $0.88 earnings per share. Service Corporation International's revenue for the quarter was up 3.6% on a year-over-year basis. Service Corporation International has set its FY 2026 guidance at 4.100-4.300 EPS.

Service Corporation International Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, June 30th. Shareholders of record on Monday, June 15th were paid a dividend of $0.36 per share. This is a boost from Service Corporation International's previous quarterly dividend of $0.34. This represents a $1.44 dividend on an annualized basis and a dividend yield of 1.6%. The ex-dividend date was Monday, June 15th. Service Corporation International's payout ratio is presently 37.99%.

More Service Corporation International News

Here are the key news stories impacting Service Corporation International this week:

• Positive Sentiment: Quarterly results exceeded expectations. SCI reported adjusted earnings of $0.90 per share, versus the $0.89 consensus estimate and $0.88 a year earlier. Revenue rose 3.6% year over year to approximately $1.10 billion, ahead of the $1.08 billion estimate. Service Corp. Beats Q2 Earnings and Revenue Estimates
• Positive Sentiment: Profitability and cash generation improved. GAAP diluted EPS increased to $0.90 from $0.86, net income rose to $124.8 million from $122.9 million, and operating cash flow jumped 43% to $238.7 million. SCI also raised the midpoint of its 2026 adjusted operating cash-flow outlook to $1.085 billion. SCI Q2 Revenue Rises 4% to $1.1 Billion
• Positive Sentiment: Full-year earnings guidance was maintained. SCI reaffirmed its 2026 adjusted EPS range of $4.10-$4.30, with a $4.20 midpoint above the analyst consensus of $4.13. This suggests management remains confident in its earnings outlook. SCI Announces Second Quarter 2026 Financial Results
• Neutral Sentiment: Governance scrutiny remains a potential overhang. Shareholder-driven questions concerning board governance were highlighted around SCI’s 2026 annual meeting, although the available report does not indicate an immediate operational impact. SCI Faces Shareholder-Driven Board Governance Scrutiny
• Negative Sentiment: Insider selling may temper enthusiasm. Two SCI insiders sold shares during the past six months, with no reported insider purchases. The sales are not necessarily tied to the earnings release but could modestly weigh on sentiment.

Analysts Set New Price Targets

Several brokerages recently commented on SCI. JPMorgan Chase & Co. dropped their target price on Service Corporation International from $110.00 to $100.00 and set an "overweight" rating on the stock in a report on Friday, May 1st. UBS Group reduced their target price on shares of Service Corporation International from $95.00 to $93.00 and set a "buy" rating on the stock in a research report on Friday, May 1st. Oppenheimer raised their price target on shares of Service Corporation International from $94.00 to $97.00 and gave the company an "outperform" rating in a report on Thursday, April 2nd. Wall Street Zen cut shares of Service Corporation International from a "hold" rating to a "sell" rating in a research report on Sunday, June 28th. Finally, Weiss Ratings cut Service Corporation International from a "buy (b-)" rating to a "hold (c+)" rating in a research note on Wednesday, June 3rd. Four research analysts have rated the stock with a Buy rating and one has given a Hold rating to the company. According to MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus target price of $95.00.

Institutional Trading of Service Corporation International

Several institutional investors and hedge funds have recently bought and sold shares of the company. Goldman Sachs Group Inc. grew its position in shares of Service Corporation International by 48.7% in the 1st quarter. Goldman Sachs Group Inc. now owns 417,387 shares of the company's stock worth $33,474,000 after acquiring an additional 136,770 shares in the last quarter. Marshall Wace LLP boosted its holdings in Service Corporation International by 31.8% in the third quarter. Marshall Wace LLP now owns 549,162 shares of the company's stock worth $45,701,000 after purchasing an additional 132,591 shares during the period. Turtle Creek Asset Management Inc. boosted its holdings in Service Corporation International by 12.0% in the first quarter. Turtle Creek Asset Management Inc. now owns 1,161,496 shares of the company's stock worth $95,835,000 after purchasing an additional 124,151 shares during the period. Aureus Asset Management LLC increased its stake in Service Corporation International by 196.8% during the first quarter. Aureus Asset Management LLC now owns 112,192 shares of the company's stock valued at $9,257,000 after purchasing an additional 74,387 shares during the last quarter. Finally, Royal Bank of Canada grew its holdings in shares of Service Corporation International by 38.8% during the first quarter. Royal Bank of Canada now owns 121,883 shares of the company's stock valued at $9,775,000 after purchasing an additional 34,051 shares during the last quarter. Institutional investors and hedge funds own 85.53% of the company's stock.

Service Corporation International Price Performance

The company has a debt-to-equity ratio of 3.22, a current ratio of 0.57 and a quick ratio of 0.52. The company has a fifty day moving average price of $76.19 and a 200 day moving average price of $79.46. The company has a market capitalization of $12.20 billion, a P/E ratio of 23.34, a price-to-earnings-growth ratio of 1.90 and a beta of 0.84.

Service Corporation International Company Profile

Service Corporation International NYSE: SCI is a leading provider of funeral, cremation and cemetery services in North America. Through its network of funeral homes, cemeteries, memorial parks and crematoria, the company offers a broad array of end-of-life services, including traditional funeral ceremonies, memorialization, burial and cremation. In addition to core services, SCI provides grief counseling, pre-need planning and merchandise such as caskets, vaults, urns and memorialization products.

Headquartered in Houston, Texas, Service Corporation International operates more than 1,900 funeral homes, over 450 cemeteries and 40 combination facilities across the United States and Canada.

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