H&R Block (NYSE:HRB) Stock Rating Lowered by Zacks Research

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

HRB has been the topic of a number of other research reports. Stephens started coverage on shares of H&R Block in a research note on Tuesday. They set an “equal weight” rating and a $47.00 price objective on the stock. Weiss Ratings upgraded shares of H&R Block from a “hold (c-)” rating to a “hold (c)” rating in a research note on Thursday, July 2nd. Finally, Barrington Research reissued an “outperform” rating and set a $50.00 price target on shares of H&R Block in a report on Monday, April 27th. One investment analyst has rated the stock with a Buy rating, three have given a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, the company has an average rating of “Hold” and a consensus target price of $43.00.

H&R Block Stock Up 6.3%

H&R Block stock opened at $44.99 on Monday. The firm has a market cap of $5.70 billion, a price-to-earnings ratio of 8.01, a price-to-earnings-growth ratio of 0.60 and a beta of 0.36. H&R Block has a 52 week low of $28.16 and a 52 week high of $55.95. The business’s 50-day moving average price is $38.62 and its 200 day moving average price is $35.50.

H&R Block (NYSE:HRB) last announced its quarterly earnings results on Wednesday, May 6th. The company reported $6.02 earnings per share for the quarter, beating the consensus estimate of $5.77 by $0.25. H&R Block had a negative return on equity of 211.62% and a net margin of 18.90%.The company had revenue of $2.40 billion during the quarter, compared to analysts’ expectations of $2.34 billion. During the same period last year, the business earned $5.38 earnings per share. H&R Block’s quarterly revenue was up 5.3% on a year-over-year basis. H&R Block has set its FY 2026 guidance at 5.100-5.20 EPS. Equities analysts expect that H&R Block will post 5.18 EPS for the current year.

Institutional Inflows and Outflows

Several large investors have recently made changes to their positions in HRB. Elevation Wealth Partners LLC lifted its position in shares of H&R Block by 34.5% during the 2nd quarter. Elevation Wealth Partners LLC now owns 1,040 shares of the company’s stock valued at $40,000 after buying an additional 267 shares in the last quarter. Public Employees Retirement System of Ohio increased its holdings in H&R Block by 0.6% in the 3rd quarter. Public Employees Retirement System of Ohio now owns 46,171 shares of the company’s stock worth $2,335,000 after acquiring an additional 286 shares in the last quarter. Envestnet Portfolio Solutions Inc. raised its position in H&R Block by 1.4% during the fourth quarter. Envestnet Portfolio Solutions Inc. now owns 22,496 shares of the company’s stock worth $980,000 after acquiring an additional 309 shares during the period. Vise Technologies Inc. raised its position in H&R Block by 7.4% during the third quarter. Vise Technologies Inc. now owns 4,486 shares of the company’s stock worth $227,000 after acquiring an additional 311 shares during the period. Finally, MassMutual Private Wealth & Trust FSB lifted its holdings in H&R Block by 54.0% during the second quarter. MassMutual Private Wealth & Trust FSB now owns 895 shares of the company’s stock valued at $34,000 after purchasing an additional 314 shares in the last quarter. 90.14% of the stock is owned by institutional investors and hedge funds.

Key Stories Impacting H&R Block

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

• Positive Sentiment: Recent coverage highlighted H&R Block’s 115% five-year share-price gain while arguing that the stock could remain below fair value based on valuation metrics. This supports the bullish case, although other analysts believe the recent rally has brought the shares closer to fair value. H&R Block Stock Looks Below Fair Value After A 115% Five Year Run
• Positive Sentiment: The company’s most recent quarterly results exceeded expectations, with revenue up 5.3% year over year and EPS of $6.02 versus a $5.77 consensus estimate. The earnings track record and projected fiscal 2026 EPS of approximately $5.10 to $5.20 remain supportive of the investment case.
• Neutral Sentiment: H&R Block will release fourth-quarter and full-year fiscal 2026 results after the market closes on August 11. The announcement gives investors a near-term catalyst, with guidance, tax-season volumes and capital returns likely to influence the next move. H&R Block to Release Fiscal 2026 Results on August 11, 2026
• Negative Sentiment: Zacks Research downgraded HRB from “strong buy” to “hold,” while Stephens initiated or reiterated a neutral stance, assigning an equal-weight/hold rating and a $47 price target. The limited implied upside suggests analysts see less near-term appreciation after the rally.
• Negative Sentiment: Additional analysis questioned whether H&R Block is already fully valued, reinforcing concerns that the stock’s recent advance may have outpaced analysts’ fair-value estimates. Is H&R Block Fully Valued As Analysts See Fair Value Below Its Recent Price?

About H&R Block

H&R Block (NYSE: HRB) is a leading provider of tax preparation services and software solutions, serving individual and small-business clients through a combination of retail offices, online platforms and mobile applications. The company offers assisted tax preparation at its network of retail offices, where clients work with trained tax professionals, as well as do-it-yourself (DIY) software and online filing services designed to guide users through the complexities of federal and state tax returns.

Founded in 1955 by brothers Henry W.