Service Corporation International (NYSE:SCI) Posts Quarterly Earnings Results, Misses Estimates By $0.03 EPS

Key Points

• Service Corporation International reported Q results of $0.97 EPS, missing consensus by $0.03 while revenue of $1.10 billion met estimates and rose 2.1% year-over-year; management updated FY2026 guidance to 4.050–4.350 EPS.
• The board increased the quarterly dividend to $0.34 (annualized $1.36), up from $0.32, implying a 1.6% yield and a payout ratio of about 35.8%.
• Street sentiment remains positive with an average "Buy" rating and a $98 consensus target, while JPMorgan started coverage at an overweight rating with a $110 target and Oppenheimer raised its target to $97.

Service Corporation International (NYSE:SCI - Get Free Report) released its quarterly earnings results on Wednesday. The company reported $0.97 earnings per share for the quarter, missing analysts' consensus estimates of $1.00 by ($0.03), FiscalAI reports. Service Corporation International had a net margin of 12.59% and a return on equity of 34.21%. The firm had revenue of $1.10 billion for the quarter, compared to analyst estimates of $1.10 billion. During the same period in the previous year, the business posted $0.96 earnings per share. Service Corporation International's revenue for the quarter was up 2.1% on a year-over-year basis. Service Corporation International updated its FY 2026 guidance to 4.050-4.350 EPS.

Service Corporation International Stock Performance

SCI traded up $0.06 during trading hours on Wednesday, hitting $86.41. 1,517,317 shares of the stock were exchanged, compared to its average volume of 1,158,899. The stock has a market cap of $11.99 billion, a price-to-earnings ratio of 22.74, a price-to-earnings-growth ratio of 1.91 and a beta of 0.97. The stock has a 50-day simple moving average of $81.84 and a 200-day simple moving average of $80.73. The company has a debt-to-equity ratio of 3.10, a current ratio of 0.55 and a quick ratio of 0.50. Service Corporation International has a 12 month low of $74.14 and a 12 month high of $88.67.

Service Corporation International Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, March 31st. Investors of record on Friday, March 13th were paid a dividend of $0.34 per share. This represents a $1.36 annualized dividend and a yield of 1.6%. This is a boost from Service Corporation International's previous quarterly dividend of $0.32. The ex-dividend date was Friday, March 13th. Service Corporation International's dividend payout ratio (DPR) is 35.79%.

Wall Street Analyst Weigh In

Several brokerages have recently weighed in on SCI. Weiss Ratings upgraded Service Corporation International from a "buy (b-)" rating to a "buy (b)" rating in a research note on Friday, April 24th. Oppenheimer boosted their price target on Service Corporation International from $94.00 to $97.00 and gave the stock an "outperform" rating in a research note on Thursday, April 2nd. Wall Street Zen downgraded Service Corporation International from a "hold" rating to a "sell" rating in a report on Saturday, February 21st. Finally, JPMorgan Chase & Co. began coverage on Service Corporation International in a report on Tuesday, January 20th. They set an "overweight" rating and a $110.00 price objective on the stock. Five analysts have rated the stock with a Buy rating, According to data from MarketBeat, the company presently has an average rating of "Buy" and a consensus target price of $98.00.

Insiders Place Their Bets

In other Service Corporation International news, Director Tony Coelho sold 7,700 shares of the stock in a transaction on Tuesday, March 10th. The shares were sold at an average price of $79.87, for a total transaction of $614,999.00. Following the sale, the director directly owned 28,388 shares of the company's stock, valued at approximately $2,267,349.56. This represents a 21.34% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, CAO Tammy R. Moore sold 5,000 shares of the firm's stock in a transaction dated Friday, February 13th. The stock was sold at an average price of $80.48, for a total transaction of $402,400.00. Following the completion of the transaction, the chief accounting officer owned 21,654 shares in the company, valued at approximately $1,742,713.92. The trade was a 18.76% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. 3.40% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Service Corporation International

A number of hedge funds and other institutional investors have recently bought and sold shares of SCI. Sunbelt Securities Inc. bought a new position in shares of Service Corporation International during the third quarter valued at approximately $42,000. Los Angeles Capital Management LLC acquired a new position in Service Corporation International during the 4th quarter valued at approximately $54,000. Danske Bank A S bought a new position in Service Corporation International during the 3rd quarter worth $83,000. Toronto Dominion Bank bought a new position in Service Corporation International during the 4th quarter worth $238,000. Finally, Brighton Jones LLC acquired a new stake in Service Corporation International in the fourth quarter worth $435,000. 85.53% of the stock is currently owned by institutional investors and hedge funds.

About Service Corporation International

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.