H&R Block (NYSE:HRB) Issues FY 2027 Earnings Guidance

H&R Block (NYSE:HRB) issued an update on its FY 2027 earnings guidance on Tuesday morning. The company provided earnings per share (EPS) guidance of 6.040-6.240 for the period, compared to the consensus earnings per share estimate of 6.140. The company issued revenue guidance of $4.1 billion-$4.2 billion, compared to the consensus revenue estimate of $4.1 billion.

Analysts Set New Price Targets

Several brokerages have recently issued reports on HRB. Barrington Research lifted their price target on H&R Block from $50.00 to $60.00 and gave the company an “outperform” rating in a research note on Wednesday, August 12th. Stephens started coverage on H&R Block in a research report on Tuesday, July 28th. They set an “equal weight” rating and a $47.00 price objective for the company. Weiss Ratings lowered H&R Block from a “hold (c+)” rating to a “hold (c)” rating in a research note on Tuesday. Zacks Research lowered H&R Block from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, November 3rd. Finally, The Goldman Sachs Group lifted their target price on H&R Block from $36.00 to $40.00 and gave the company a “sell” rating in a research report on Tuesday. One research analyst has rated the stock with a Buy rating, three have issued a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the company currently has a consensus rating of “Hold” and an average target price of $49.00.

H&R Block Stock Performance

NYSE HRB opened at $51.06 on Wednesday. The firm’s fifty day moving average price is $46.75 and its two-hundred day moving average price is $39.65. The stock has a market cap of $6.25 billion, a PE ratio of 9.37, a PEG ratio of 0.67 and a beta of 0.40. H&R Block has a fifty-two week low of $28.16 and a fifty-two week high of $58.67. The company has a debt-to-equity ratio of 12.69, a quick ratio of 1.13 and a current ratio of 1.13.

H&R Block (NYSE:HRB) last announced its quarterly earnings results on Monday, November 9th. The company reported ($1.40) earnings per share (EPS) for the quarter, topping the consensus estimate of ($1.43) by $0.03. H&R Block had a net margin of 17.92% and a negative return on equity of 276.60%. The company had revenue of $224.34 million during the quarter, compared to the consensus estimate of $212.28 million. During the same period in the prior year, the business earned ($1.20) earnings per share. The company’s revenue for the quarter was up 10.2% compared to the same quarter last year. On average, equities analysts expect that H&R Block will post 6.11 EPS for the current fiscal year.

H&R Block Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, January 6th. Investors of record on Thursday, December 3rd will be given a dividend of $0.46 per share. The ex-dividend date is Thursday, December 3rd. This represents a $1.84 dividend on an annualized basis and a yield of 3.6%. H&R Block’s payout ratio is currently 32.17%.

Insiders Place Their Bets

In other H&R Block news, insider Mark J. Darling sold 2,700 shares of the company’s stock in a transaction dated 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 transaction, the insider owned 21,588 shares of the company’s stock, valued at $878,415.72. This represents a 11.12% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 0.67% of the stock is owned by corporate insiders.

Key H&R Block News

Here are the key news stories impacting H&R Block this week:

• Positive Sentiment: Fiscal Q1 revenue rose 10.2% year over year to $224.3 million, beating estimates, and the $1.40-per-share loss was slightly narrower than analysts expected. Growth was attributed in part to international services, Wave and tax demand. H&R Block Q1 Earnings Meet Estimates, Revenues Increase 10% Y/Y
• Positive Sentiment: Management reaffirmed fiscal 2027 revenue guidance of roughly $4.1 billion to $4.2 billion and EPS guidance of $6.04 to $6.24, broadly in line with consensus. It is also expanding a test of its consultative service model to about 650 offices. H&R Block reaffirms FY2027 outlook and expands consultative model test
• Positive Sentiment: The company repurchased $100 million of shares during the quarter and declared a $0.46 quarterly dividend, equivalent to $1.84 annually. These capital returns may appeal to income-focused investors. H&R Block declares $0.46 dividend
• Negative Sentiment: The quarterly loss widened from a year earlier as operating expenses pressured profitability, tempering the revenue growth. H&R Block Posts Higher 1Q Revenue, Wider Loss
• Negative Sentiment: Goldman Sachs raised its price target from $36 to $40 but maintained a Sell rating, signaling a cautious view of the stock’s valuation and potential downside. Goldman Sachs stock recommendations

About H&R Block

H&R Block, Inc. provides tax preparation and related financial services to individuals and small businesses. Its offerings include in-person tax preparation, online do-it-yourself filing, virtual tax assistance, and tax software, along with bookkeeping and other small-business services through its Block Advisors and Wave brands. Founded in 1955 in Kansas City, Missouri, by brothers Henry and Richard Bloch, the company grew from a local tax preparation business into a provider of tax services through offices and digital channels.