Company Profile
H&R Block, Inc., through its subsidiaries, provides tax preparation, retail banking, and various business advisory and consulting services.
H&R Block, Inc (HRB) is scheduled to report its fourth quarter earnings results on June 26, 2012, after market close.
Technical Overview
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H&R Block has a market cap of $4.58 billion and it is currently trading around $15.60 with a 52 week range of $12.54 to $17.46. The stock has fallen 4.47% year to date. The following table provides the key financial ratios for H&R Block:
| Key Ratio | Value |
| Current Ratio | 0.78 |
| PEG | 1.07 |
| P/E | 11.73 |
| Forward P/E | 10.33 |
| Profit Margin | 12.82% |
| Return On Assets (ROA) | 7.74% |
| Return On Equity (ROE) | 50.35% |
Recent News
On May 23, 2012, H&R Block named Gregory J. Macfarlane as the company's Chief Financial Officer. Mr. Macfarlane will lead all aspects of the company's finance and reporting functions, effective June 4, 2012.
On May 10, 2012, H&R Block announced that its Board of Directors declared a quarterly cash dividend of 20 cents per share, payable July 2, 2012, to shareholders of record as of June 11, 2012.
On April 25, 2012, H&R Block announced a broad strategic realignment to create a more cohesive end-to-end client experience, to drive better efficiency and accountability throughout the organization, and to align its resources to balance long-term client and revenue growth.
On April 25, 2012, H&R Block reported that total U.S. tax returns prepared fiscal year-to-date through April 18 reached a record 22.2 million, up 4.5% compared to the prior year period.
Here's a list of recent changes to analyst ratings:
On June 11, 2012, Thomas White/Global Capital downgraded H&R Block from NEUTRAL to UNFAVORABLE.
On May 8, 2012 Thomas White/Global Capital upgraded H&R Block from UNFAVORABLE to NEUTRAL.
On May 11, 2012 Market Edge downgraded H&R Block from HOLD to SELL.
On April 26, 2012, Compass Point reiterated a BUY rating on H&R Block and lowered the price target from $20.00 to $18.50.
On April 26, 2012 Standard & Poor`s downgraded H&R Block from 4-STAR to 2-STAR.
On April 9, 2012 Thomas White/Global Capital downgraded H&R Block from NEUTRAL to UNFAVORABLE.
On April 10, 2012, Compass Point upgraded H&R Block to BUY from NEUTRAL.
Analyst Guidance and Earnings History
The fourth quarter revenues are expected to be $2.01 billion when compared to $2.33 billion for the same quarter last year. Earnings per share for the fourth quarter are expected to be $2.05 a share, down from a $2.14 a share in the year-ago period.
The average price target from analyst for H&R Block is $20.13 with average rating is OVERWEIGHT.
Out of the last 4 quarters, H&R Block has met or exceeded the EPS estimates only once. The following chart shows the Analyst estimates history and the actual EPS results:
The following chart shows the annual summary of Sales and Net income for H&R Block:
Sources: Some of the data is taken from Google Finance, Yahoo Finance, Finviz and investor sites.
Disclaimer: I am not a registered investment advisor and do not provide specific investment advice. The information contained herein is for informational purposes only. Nothing in this article should be taken as a solicitation to purchase or sell securities. Before buying or selling any stock you should do your own research and reach your own conclusion. It is up to investors to make the correct decision after necessary research.
Disclosure: I have no positions in any stocks mentioned, but may initiate a short position in HRB over the next 72 hours. I change my positions very frequently and may initiate either long or short positions in the above mentioned stocks at any time.
