H&R Block, Inc. (HRB) — Fundamental Analysis & Key Financial Ratios

Kaplio overview: H&R Block, Inc.

Market cap $6B · 52 weeks $28 – $54 (4 % below the high) · P/E 8.9× · 2027 expected P/E 8.3× · Dividend 3.4 % · 3 years rising · Next earnings November 9, 2026 · expected EPS $-1.43 · Closing price, Oct 30 · accounts published Aug 11.

• Valuation: P/E 8.9× (cheap).
• Business: 5-year ROIC 11.5 % (fair).
• Balance sheet: Net debt/EBITDA 1.2× (solid).
• Earnings: 6 of 8 (on track).

What would it be worth at its usual multiples?

At the decade median (11.7×) $67 (+31 %); at its sector median (17.9×) $103 (+100 %). Implied price from applying the reference multiples to today's earnings (or book value, or FFO) per share. Not a fair value: it is where the stock would trade at its usual multiples.

What matters in consumer cyclicals: 4 of 7 pass

• Current Ratio 1.13, fails.
• Altman Z-Score 0.9, fails.
• 5y avg ROIC 11.5 %, borderline.
• 5y avg operating margin 10.9 %, passes.
• Net debt / EBITDA 1.2×, passes.
• P/E read in reverse (cyclicals) 8.9×, passes.
• EV/Sales vs history 1.5×, passes.

Against its peers (reference peers) — H&R Block, Inc.: P/E 8.9×; EV/EBITDA 7.0×; ROIC 35.3 %; $6.3B. Frontdoor, Inc. (P/E 23.2×; EV/EBITDA 12.5×; ROIC 18.2 %; $6.0B), Churchill Downs Incorporated (P/E 16.3×; EV/EBITDA 9.5×; ROIC 8.1 %; $6.6B), Installed Building Products, Inc. (P/E 23.0×; EV/EBITDA 12.4×; ROIC 14.2 %; $5.7B).

Expensive or cheap against its last ten years?

P/E at each close: today 8.9× · median 11.7× · minimum 5.8× · maximum 20.9× · cheap below 9.3× · expensive above 13.9×. It has been cheaper than today only 24% of the time over its last ten years.

Dividend

solid · Yield 3.4 % ($1.66 per share in 2026) · Years raising it 3 · 5-year growth +10 % a year · Free cash flow coverage 3.4× · With $1,000 invested today you'd collect $33.50 a year ($2.79 a month).