H&R Block (NYSE:HRB) Shares Up 3.6% – What’s Next?

H&R Block, Inc. (NYSE:HRB) shares rose 3.6% during mid-day trading on Wednesday. The company traded as high as $45.22 and last traded at $45.3940. Approximately 179,343 shares traded hands during mid-day trading, a decline of 92% from the average daily volume of 2,321,110 shares. The stock had previously closed at $43.83.

Analysts Set New Price Targets

A number of equities analysts recently weighed in on HRB shares. Zacks Research raised H&R Block from a “hold” rating to a “strong-buy” rating in a report on Monday, October 5th. Weiss Ratings upgraded H&R Block from a “hold (c)” rating to a “hold (c+)” rating in a research report on Wednesday. Stephens started coverage on H&R Block in a research note on Tuesday, July 28th. They issued an “equal weight” rating and a $47.00 target price for the company. Barrington Research upped their target price on H&R Block from $50.00 to $60.00 and gave the stock an “outperform” rating in a research note on Wednesday, August 12th. Finally, The Goldman Sachs Group increased their price target on shares of H&R Block from $29.00 to $33.00 and gave the company a “sell” rating in a research report on Wednesday, August 12th. One equities research analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating, two have issued a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of “Hold” and an average target price of $46.67.

H&R Block Stock Performance

The company has a debt-to-equity ratio of 12.69, a quick ratio of 1.13 and a current ratio of 1.13. The company has a market cap of $5.91 billion, a PE ratio of 8.44, a PEG ratio of 0.60 and a beta of 0.38. The business’s 50-day moving average is $47.07 and its 200 day moving average is $40.50.

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

H&R Block Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Tuesday, October 6th. Shareholders of record on Thursday, September 3rd were given a dividend of $0.46 per share. This represents a $1.84 annualized dividend and a yield of 3.8%. The ex-dividend date of this dividend was Thursday, September 3rd. This is an increase from H&R Block’s previous quarterly dividend of $0.42. H&R Block’s dividend payout ratio is currently 32.17%.

Insider Transactions at H&R Block

In other H&R Block news, insider Mark J. Darling sold 2,700 shares of the firm’s stock in a transaction on Wednesday, September 30th. The shares were sold at an average price of $40.69, for a total value of $109,863.00. Following the sale, the insider owned 21,588 shares of the company’s stock, valued at $878,415.72. This trade represents a 11.12% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. 0.67% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On H&R Block

Several hedge funds and other institutional investors have recently modified their holdings of HRB. Lazard Asset Management LLC grew its stake in shares of H&R Block by 50.9% in the first quarter. Lazard Asset Management LLC now owns 3,761,094 shares of the company’s stock worth $119,377,000 after purchasing an additional 1,269,064 shares during the last quarter. Bank of New York Mellon Corp raised its position in H&R Block by 6.8% during the 1st quarter. Bank of New York Mellon Corp now owns 1,516,885 shares of the company’s stock valued at $48,146,000 after purchasing an additional 96,928 shares during the last quarter. First Trust Advisors LP lifted its holdings in 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 worth $42,169,000 after buying an additional 276,193 shares during the period. Lodge Hill Capital LLC lifted its holdings in 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 buying an additional 250,000 shares during the period. Finally, Boston Trust Walden Corp lifted its holdings in H&R Block by 15.3% in the 1st quarter. Boston Trust Walden Corp now owns 895,236 shares of the company’s stock worth $28,415,000 after buying an additional 118,927 shares during the period. 90.14% of the stock is owned by institutional investors.

H&R Block Company Profile

H&R Block, Inc is a tax preparation and financial services company that helps individuals and small businesses manage tax filing and related financial needs. Its services are delivered through company-owned and franchise offices, online platforms and tax-preparation software, providing both assisted and do-it-yourself filing options.

The company offers federal, state and local tax preparation, tax planning and related support, along with products and services such as refund-related financial solutions, tax identity protection and small-business assistance.