H&R Block (NYSE:HRB) Stock Gets Downgrade from Zacks Research

H&R Block (NYSE:HRB) was downgraded by research analysts at Zacks Research from a “strong-buy” rating to a “hold” rating in a research note issued to investors on Tuesday, Zacks reports.

Several other research analysts have also weighed in on HRB. The Goldman Sachs Group upped their price objective on shares of H&R Block from $29.00 to $33.00 and gave the company a “sell” rating in a research note on Wednesday, August 12th. Barrington Research boosted their price target on shares of H&R Block from $50.00 to $60.00 and gave the company an “outperform” rating in a report on Wednesday, August 12th. Stephens assumed coverage on H&R Block in a report on Tuesday, July 28th. They set an “equal weight” rating and a $47.00 price objective for the company. Finally, Weiss Ratings raised H&R Block from a “hold (c)” rating to a “hold (c+)” rating in a research report on Wednesday, October 14th. One investment analyst has rated the stock with a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, the stock has an average rating of “Hold” and an average price target of $46.67.

H&R Block Price Performance

Shares of NYSE:HRB opened at $55.35 on Tuesday. The company’s fifty day moving average is $46.73 and its two-hundred day moving average is $39.42. The company has a market cap of $6.78 billion, a P/E ratio of 9.68, a price-to-earnings-growth ratio of 0.70 and a beta of 0.40. H&R Block has a 12-month low of $28.16 and a 12-month high of $58.67. The company has a quick ratio of 1.13, a current ratio of 1.13 and a debt-to-equity ratio of 12.69.

H&R Block (NYSE:HRB) last announced its quarterly earnings data on Tuesday, August 11th. The company reported $2.38 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.21 by $0.17. The firm had revenue of $1.14 billion during the quarter, compared to the consensus estimate of $1.12 billion. H&R Block had a negative return on equity of 214.84% and a net margin of 18.59%. The business’s revenue for the quarter was up 255.5% on a year-over-year basis. During the same period in the prior year, the business earned $2.27 EPS. H&R Block has set its FY 2027 guidance at 6.040-6.240 EPS. Equities analysts expect that H&R Block will post 6.11 earnings per share for the current fiscal year.

Insider Buying and Selling at H&R Block

In other news, insider Mark J. Darling sold 2,700 shares of the stock in a transaction that occurred on Wednesday, September 30th. The stock was sold at an average price of $40.69, for a total value of $109,863.00. Following the completion of the sale, the insider directly owned 21,588 shares of the company’s stock, valued at approximately $878,415.72. This represents a 11.12% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Corporate insiders own 0.67% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of the company. Lazard Asset Management LLC lifted its position in shares of H&R Block by 50.9% during the 1st quarter. Lazard Asset Management LLC now owns 3,761,094 shares of the company’s stock worth $119,377,000 after buying an additional 1,269,064 shares during the period. Bank of New York Mellon Corp lifted its holdings in shares of H&R Block by 6.8% during the first quarter. Bank of New York Mellon Corp now owns 1,516,885 shares of the company’s stock valued at $48,146,000 after acquiring an additional 96,928 shares during the period. First Trust Advisors LP boosted its stake in shares of H&R Block by 26.2% in the 1st quarter. First Trust Advisors LP now owns 1,328,584 shares of the company’s stock valued at $42,169,000 after purchasing an additional 276,193 shares in the last quarter. Lodge Hill Capital LLC grew its holdings in shares of H&R Block by 31.2% in the 1st quarter. Lodge Hill Capital LLC now owns 1,050,000 shares of the company’s stock worth $33,327,000 after purchasing an additional 250,000 shares during the last quarter. Finally, Pacer Advisors Inc. grew its holdings in shares of H&R Block by 29.9% in the 1st quarter. Pacer Advisors Inc. now owns 692,760 shares of the company’s stock worth $21,988,000 after purchasing an additional 159,369 shares during the last quarter. 90.14% of the stock is owned by institutional investors.

About H&R Block

H&R Block, Inc is a provider of tax preparation and financial services headquartered in Kansas City, Missouri. The company serves individual taxpayers through a network of company-owned and franchise offices, as well as digital platforms that support do-it-yourself tax filing. Its services include federal, state and local tax preparation, tax advice, and assistance with tax-related products and filings.

The company also offers small-business tax preparation and bookkeeping services, payroll support, and related financial products.