H&R Block, Inc. (HRB) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

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H&R Block, Inc.

Valvoline, Inc.

Why is H&R Block, Inc. ?

Risky - Negative Book Value

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -24.15%, its profits have fallen by -9.6%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -24.15% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Tour, Travel Related Services)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is H&R Block, Inc. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

H&R Block, Inc.

-39.33%

-0.56

26.27%

S&P 500

16.12%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

4.06%

EBIT Growth (5y)

9.00%

EBIT to Interest (avg)

10.30

Debt to EBITDA (avg)

1.33

Net Debt to Equity (avg)

-4.55

Sales to Capital Employed (avg)

2.34

Tax Ratio

25.71%

Dividend Payout Ratio

32.91%

Pledged Shares

Institutional Holding

99.69%

ROCE (avg)

102.94%

ROE (avg)

2,857.12%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

-6.01

EV to EBIT

8.25

EV to EBITDA

7.27

EV to Capital Employed

5.00

EV to Sales

1.90

PEG Ratio

0.36

Dividend Yield

4.42%

ROCE (Latest)

60.58%

ROE (Latest)

Negative BV

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bullish

No Trend

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

4What is working for the Company

DIVIDEND PER SHARE(HY)

Highest at USD 11.25

RAW MATERIAL COST(Y)

Fallen by -5.94% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at -311.78 %

-16What is not working for the Company

NET SALES(Q)

At USD 198.87 MM has Fallen at -78.9%

NET PROFIT(Q)

At USD -230.33 MM has Fallen at -245.42%

OPERATING CASH FLOW(Y)

Lowest at USD 605.73 MM

INTEREST(Q)

At USD 23.38 MM has Grown at 34.34%

OPERATING PROFIT(Q)

Lowest at USD -257.36 MM

PRE-TAX PROFIT(Q)

Lowest at USD -307.71 MM

EPS(Q)

Lowest at USD -1.92

Here's what is working for H&R Block, Inc.

Dividend per share

Highest at USD 11.25 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Debt-Equity Ratio

Lowest at -311.78 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Raw Material Cost

Fallen by -5.94% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Depreciation

Highest at USD 30 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Here's what is not working for H&R Block, Inc.

Net Sales

At USD 198.87 MM has Fallen at -78.9%

over average net sales of the previous four periods of USD 942.68 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (USD MM)

Pre-Tax Profit

At USD -307.71 MM has Fallen at -249.34%

over average net sales of the previous four periods of USD 206.04 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (USD MM)

Net Profit

At USD -230.33 MM has Fallen at -245.42%

over average net sales of the previous four periods of USD 158.39 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Interest

At USD 23.38 MM has Grown at 34.34%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Operating Cash Flow

Lowest at USD 605.73 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Operating Profit

Lowest at USD -257.36 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (USD MM)

Pre-Tax Profit

Lowest at USD -307.71 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (USD MM)

EPS

Lowest at USD -1.92

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (USD)