How profitable is H&R Block Inc. (HRB)?

In FY 2025 (10-K), HRB converted $3.8B of revenue into a 44.5% gross margin, 19% operating margin, and $598.8M in free cash flow (15.9% FCF margin).

Stock Ratings / Consumer Discretionary / HRB / financials

UNF (63) SCI (49) RTO (57) IT (76) ⌘ Pro Terminal →

H&R Block Inc. (HRB) Revenue-to-Profit Sankey Flow & SEC XBRL Financials

$52.25 +1.83% NYSE • Live Quote vs Prior Daily Close (Synced Snapshot) EXT / AFTER-HRS: $52.55

H&R Block Inc. (HRB) earns a Roarable Rating of A- (Buy) with 82/100 RQD Confidence. High-quality cash engine (44.5% gross margin, 46% return on capital) with steady institutional support. The company’s underlying cash engine and institutional positioning keep the composite score in the Green Buy zone.

ROARABLE A- • BUY Cap $6.29B

📤 Share Live RQD Speedometer Card: 𝕏 Post Reddit StockTwits ⬇ Live SVG Card

⚡ INSTANT AI QUANT PREVIEW • $0 FREE TIER Click Any Pre-Computed AI Quant Specialist Briefing on HRB Below — or Connect Your Own ChatGPT / Claude

🤖 Mara Quenwick • AI Quant Lead (Click for Instant Brief) Is HRB stock a Buy, Hold, or Sell right now according to Roarable's RQD model?

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As of 2026-11-03, H&R Block Inc. (NYSE: HRB) is rated A- (Buy / BUY) by Roarable's 5-pillar RQD engine with a composite confidence score of 82/100 at a spot price of $52.25 (+1.83% 1D, market cap $6.29B). Pillar breakdown: Fundamental Cash Engine 16/20, Institutional 13F & Options Flow 17/20, SEC Balance-Sheet Forensics 14/20, FRED Macro Regime Fit 17/20, and Executive Insider Alignment 18/20. Across 1009 tracked Consumer Discretionary issuers, HRB ranks #10 in composite RQD confidence.

✓ Pre-computed one-to-many AI Quant brief

🤖 Ellis Vennor • AI Peer & Flow Quant (Click for Instant Brief) How does HRB compare to UNF and SCI in the Consumer Discretionary sector?

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Within the Consumer Discretionary sector (Other Consumer Services), HRB carries a Roarable A- (82/100 RQD), trailing P/E of 10.1x, gross margin of 44.5%, and ROIC of 46.2%. By comparison, UNF (Unifirst Corporation) holds a C grade (63/100 RQD, P/E 31.4x, ROIC 6.4%, cap $4.61B) and SCI (Service Corporation International) posts a D grade (49/100 RQD, P/E 18.9x, ROIC 11.9%, cap $10.38B). Among the 5-stock peer group, HRB leads on earnings multiple (10.1x) while IT leads on capital efficiency (51.5% ROIC).

✓ Pre-computed one-to-many AI Quant brief

🤖 Gideon Ashmere • AI SEC 10-K Forensics (Click for Instant Brief) What are the biggest fundamental strengths and SEC risk factors for HRB?

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Per HRB's SEC EDGAR XBRL 10-K filing (FY2025, filed 2025-06-30, CIK 0000012659), H&R Block Inc. generated $3.76B in revenue (+4.2% YoY), $605.8M in net income, and $598.8M in free cash flow against $2.93B in total assets and $2.44B in total debt. Key quantitative strengths: Strong cash generator (44.5% gross margin)—profits are backed by real money, not accounting tricks. Primary risk factors monitored: Broader market pullbacks can still drag down strong stocks in the short run. Institutional options positioning shows a 50% call / 50% put premium split.

✓ Pre-computed one-to-many AI Quant brief

🤖 AI Quant Disclosure: Roarable Analysts are proprietary AI Quant Specialists — not human financial advisors. Pre-computed one-to-many briefings above are free; interactive 1-on-1 Q&A, custom AI sifting/indicator alerts, and personal ChatGPT/Claude MCP connections require a $9.95/mo Pro account (currently waitlist-only).

INTERACTIVE SCENARIO DECK:

🛡️ Portfolio Crash X-Ray

EXT / AFTER-HRS: $52.55 (+0.57%)🧬 Cannibal Buyback (-2.92% YoY Shares)⚙️ Cash Engine: 16/20 (B+) • 15.9% FCF Margin

Verify 90D Bucket Audit →

📊 Historical Track Record: Scores of 82/100 (A-) historically ranked in the Top 7% of excess returns over the next 90 days (+8.6% avg 90D alpha vs SPY • 71.9% hit rate).

Audit Bucket Track Record →

RQD QUANT TACHOMETERBUY • A-

3-of-3 Quant Analysts Bullish

Cash

SEC

Whale

Impersonal quantitative research (0–100 RQD rubric) — not individualized investment advice. Past performance does not guarantee future results. Full Disclaimer

5-PILLAR RQD RADARRw A- · Rk B+

Each axis scored 0–20

12M PRICE TARGET CONE+10.8% Base Target

WHALE OPTIONS SNAPSHOT: — (No Active Options Snapshot on file for HRB)Realized 20D OHLCV Swing Band: ±7.1%

Deterministic 5-Pillar Attribution (82/100 Composite)

🔍 WHY HRB SCORES 82/100 (A-) — TOP 3 DRIVERS2 Bullish Pillars + #1 Risk Drag

▲ #1 Bullish Driver: Insider Conviction & Share Dilution+18/20 pts (22% of score)

SEC Form 4 / 13F Thermometer: 86% Net Buy • Cannibal Buyback (-2.92% YoY Shares)

▲ #2 Bullish Driver: Whale & Options Positioning+17/20 pts (21% of score)

20D Institutional Volume Accumulation (±7.1% realized swing band)

▼ #1 Drag / Risk Factor: SEC 10-K Forensic Risk14/20 pts (-6 pt drag)

Balance-sheet & 10-K footnote risk deducts 6 pts from forensic ceiling

📈 PAST 4 QUARTERS RQD vs SUBSEQUENT RETURNQ1 → Q2 → Q3 → Current

Q1 (-3Q)

Grade B+$46.02+3.9% Next Q

Q2 (-2Q)

Grade B+$47.83-0.1% Next Q

Q3 (-1Q)

Grade A-$47.80+9.3% Next Q

Current

Grade A-$52.25+8.6% Hist 90D α

Trajectory: B+ (74) → A- (82)Full Audit →

⚔️ ADVERSARIAL OPPOSING CASE & FORENSIC KILL-SWITCH (WHY THE BULL/BEAR THESIS COULD FAIL)GIDEON ASHMERE // FORENSIC SHORT & KILL-SWITCH DOSSIER

⚔️ Adversarial Opposing Case: Why the HRB Bull Thesis Could Fail

Gideon Ashmere Forensic Desk →

Even with a 82/100 (A-) score, HRB faces multiple-compression risk if 10.1x trailing P/E re-rate toward historical sector medians or if hyperscaler/enterprise customer concentration slows in upcoming 10-Q filings.

⚠️ Forensic Kill-Switch #1

Broader market pullbacks can still drag down strong stocks in the short run.

⚠️ Forensic Kill-Switch #2

Dilution & Margin Drag: Cannibal Buyback (-2.92% YoY Shares) — any gross margin slip below 42.0% triggers an automatic RQD downgrade.

⚠️ Forensic Kill-Switch #3

Technical & Forensic Kill-Switch: A daily close below the 50D SMA ($46.54) or 200D SMA ($39.27) invalidates the momentum regime and cuts Target Base ($57.89) toward Bear Floor ($42.84).

🎲 LIVE PREDICTION MARKET ODDS TIED TO $HRB• $2.4M Crowd Pool • Kalshi / Polymarket Composite

Contract: “HRB Beats Next Quarter EPS Consensus (Dec 28, 2026) & Holds Above 200D SMA”

YES 82%NO 18%Trade / Inspect Odds →

VISUAL REVENUE-TO-PROFIT SANKEY WATERFALL • FY 2025 (10-K)

How HRB Turns Every Dollar of Sales Into Real Bottom-Line Profit

Free Cash Flow:$598.8M (15.9% FCF Margin)

Multi-Year SEC EDGAR XBRL Revenue, Net Profit & Free Cash Flow Trajectory

■ Revenue■ Net Profit■ Free Cash Flow

FY23

Rev $3.47B

FY24

Rev $3.61B

FY25

Rev $3.76B

Fiscal Year	Revenue	Gross Margin	Op Margin	Net Profit	Free Cash Flow	ROIC %
FY 2025	$3.76B	44.5%	19%	$605.8M	$598.8M	44.7%
FY 2024	$3.61B	44.8%	19.5%	$595.3M	$657.2M	75%
FY 2023	$3.47B	44.5%	18.8%	$553.7M	$665.6M	20.5%

ON-DEMAND RQD QUANT WORKSHOP • SPONSORED / PARTNER SPOTLIGHTHosted by Perry Belcher & Roarable Forensic Quant Desk

Red-Light Warning Desk: Spotting SEC Cash-Flow & Dilution Risks Before Downgrades (Featuring HRB)

✓Walkthrough of HRB's RQD Radar, SEC cash-conversion gap & downside invalidation levels
✓3 asymmetric Bear/Hedge frameworks when 10-year Treasury yields stay elevated
✓Includes nightly RQD rating-change & forensic signal email alerts on your tracked stocks

RQD INSIDER CLUB WAITLIST$49/YR PLANNED

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HRB // CANDLESTICK & AUTO-TRENDLINE WORKSTATION6M: +68.11%▲ ASCENDING CHANNEL

2026-11-03O $49.68H $52.25L $49.68C $52.25VOL 2.90M

RES: $59.84SUP: $39.83SMA50: $46.54SMA200: $39.27

PRIMARY-SOURCE FORENSICS, SECOND-ORDER LINKS & AI ANALYST DESK

HRB Dilution Monitor, Expectations Hurdle, Butterfly Connections & Policy Exposure

🦋 HRB Butterfly Map → + Track HRB →

Share Count & Dilution Monitor

Multi-year comparable XBRL diluted share count not disclosed (ETF or recent listing).

Reverse-DCF Expectations Hurdle

-1.0%/yr Implied 5Y Growth

vs. +4.2% actual YoY revenue growth (assuming 9.25% cost of equity & 16.5x terminal multiple).

Ellis Vennor Setup Ledger

No active Ellis Vennor swing setup published on HRB today. View full Setup Ledger →

🦋 Documented & Second-Order Butterfly Connections Open Graph →

No direct multi-tier Butterfly edges indexed yet for HRB. Explore sector supply chains on /butterfly.

AI Analyst Theses, Washington Policy & Company Video

🎬 No recent verified company-specific video clip queued for HRB today (we never pad ticker pages with unrelated generic clips). Browse Macro Video Desk →

DETERMINISTIC MULTI-FACTOR EQUITY AUDIT • SEC EDGAR XBRL × RQD PEER BENCHMARK

📊 Quantitative Sector Peer Comparison, SEC Filing Delta & Investment FAQ (HRB)

Consumer Discretionary Rank #10 of 1009 ⚔️ UNF vs HRB Full Matrix →

1. Head-to-Head Consumer Discretionary Peer Comparison (HRB vs. UNF, SCI, RTO, IT)

Industry: Other Consumer Services (73 Tracked Issuers)

Across 1009 tracked Consumer Discretionary securities in the Roarable RQD universe, H&R Block Inc. (HRB) ranks #10 by composite RQD confidence (82/100, grade A-) and #231 by equity capitalization ($6.29B). Within this direct 5-issuer industry benchmark cohort, HRB leads on earnings valuation at 10.1x trailing P/E, while IT leads on capital efficiency and profitability with 51.5% ROIC and 68.8% gross margin. HRB currently leads its immediate peer cohort in composite quantitative strength at 82/100 (A-).

Ticker / Company	Roarable Grade	RQD Score	Trailing P/E	Gross Margin	ROIC	1D Change	Market Cap	Head-to-Head
HRB ACTIVE H&R Block Inc.	A-	82/100	10.1x	44.5%	46.2%	+1.83%	$6.29B	Benchmark Subject
UNF Unifirst Corporation	C	63/100	31.4x	36.6%	6.4%	+1.44%	$4.61B	/unf-vs-hrb →
SCI Service Corporation International	D	49/100	18.9x	26.5%	11.9%	+1.69%	$10.38B	/sci-vs-hrb →
RTO Rentokil Initial plc American	D+	57/100	32.8x	—	9.9%	+3.22%	$11.76B	/rto-vs-hrb →
IT Gartner Inc.	B+	76/100	19.5x	68.8%	51.5%	+2.83%	$14.45B	/it-vs-hrb →

2. Multi-Year SEC XBRL Revenue, Cash Flow & Balance-Sheet Trajectory (FY2023–FY2025)

SEC EDGAR 10-K • FILED 2025-06-30 • CIK 0000012659 ↗

In its most recent audited fiscal period (FY2025, filed 2025-06-30), H&R Block Inc. (HRB) reported GAAP revenue of $3.76B (+4.2% vs. FY2024 revenue of $3.61B , and +8.3% cumulative change since FY2023) , GAAP net income of $605.8M, operating cash flow of $680.9M, and free cash flow of $598.8M (-8.9% YoY). On the balance sheet, HRB closed FY2025 with $2.93B in total assets against $2.44B in total debt (Altman Z-Score: 2.73, Piotroski F-Score: 9/9).

Fiscal Period	Filing Date	Revenue	Net Income	Operating Cash Flow	Free Cash Flow	Total Assets	Total Debt
FY2025 (FY)	2025-06-30	$3.76B	$605.8M	$680.9M	$598.8M	$2.93B	$2.44B
FY2024 (FY)	2024-06-30	$3.61B	$595.3M	$720.9M	$657.2M	$2.71B	$1.93B
FY2023 (FY)	2023-06-30	$3.47B	$553.7M	$821.8M	$665.6M	$4.17B	$975.0M

3. HRB Data-Verified Investor FAQ (RQD Rating, Sector Peers, SEC Forensics & Technicals)

✓ SCHEMA.ORG FAQPAGE JSON-LD ENABLED

Is HRB stock a Buy, Hold, or Sell right now according to Roarable's RQD model?

How does HRB compare to UNF and SCI in the Consumer Discretionary sector?

What are the biggest fundamental strengths and SEC risk factors for HRB?

Where is HRB trading relative to its 50-day, 200-day, and 52-week technical levels?

HRB last traded at $52.25 (+1.83% on volume of 1,734,604 shares), positioning the stock +12.27% above its 50-day simple moving average ($46.54) and +33.05% above its 200-day simple moving average ($39.27). Across its 52-week range of $28.16 to $58.67, HRB sits at the 79.0% percentile with a 14-day RSI of 63.1 (BULLISH MOMENTUM) and an implied next-earnings move of ±7.1% ($48.54 to $55.96).

Direct Sub-Reports: HRB RQD Cockpit HRB 12M Forecast HRB Earnings & Move HRB Dividends & DRIP HRB Insiders & 13F HRB Whale Options HRB Profit Sankey HRB News & Why

ROARABLE RATING BRIEF • RQD 82/100 (A-) ✓ SEC XBRL & RQD VERIFIED

HRB — H&R Block Inc.: What the Facts Mean to a Prospective Investor

Methodology: RQD v6.2 Deterministic 5-Pillar & SEC XBRL Audit

Updated: 2025-06-30

1. Roarable Rating Brief: What This Means to a Prospective Investor

H&R Block Inc. (HRB) earns a live Roarable RQD composite score of 82/100, corresponding to a A- letter grade (Roarable Buy) at a spot price of $52.25 (+1.83% 1D, market capitalization $6.29B).

Fundamental Cash Engine (16/20): Anchored by return on invested capital (ROIC) of 46.2%, gross margin of 44.5%, operating margin of 19.7%, and free cash flow yield of 9.84%.
Whale 13F & Options Flow (17/20) + Insider Conviction (18/20): Tracks institutional 13F accumulation, CBOE options call/put positioning, and SEC Form 4 / Congressional PTR filings.
Macro Regime Fit (17/20) + Forensic Balance Sheet (14/20): Incorporates a 1.04x equity beta, Altman Z-Score of 2.73, Piotroski F-Score of 9/9, and Debt/Equity of 0.85x.

2. Business Model, Unit Margins & SEC Financial Trajectory

H&R Block Inc. (HRB) is a NYSE-listed issuer in the Consumer Discretionary sector, operating in the Other Consumer Services industry,. Per the market data, the company reports a gross margin of 44.5%, an operating margin of 19.7%, and a net margin of 16.1%.

In its latest audited SEC EDGAR 10-K filing for FY2025 (filed 2025-06-30), H&R Block Inc. (HRB) reported $3.76B in annual revenue (up from $3.61B in FY2024, +4.2% YoY) and $605.8M in GAAP net income. Over the multi-year SEC filing window from FY2023 ($3.47B revenue, $553.7M net income) through FY2025, HRB scaled operating cash flow to $680.9M and free cash flow to $598.8M, backed by $2.93B in total assets against $2.44B in total debt.

3. Institutional Bull vs. Bear Thesis & Valuation Tradeoff

🐂 Primary Bull Case (A- • RQD 82/100): Strong cash generator (44.5% gross margin)—profits are backed by real money, not accounting tricks. Big institutional funds and options desks are actively positioning on the bullish side. With Fundamental Cash Engine at 16/20 and Institutional Whale Flow at 17/20, sustained execution supports upside toward the upper end of the $28.16 – $58.67 52-week range.
🐻 Primary Bear Case & Valuation Risk: Broader market pullbacks can still drag down strong stocks in the short run. Investors must weigh 10.1x trailing P/E and 10.1x EV/EBITDA against 19.7% operating margins and a 1.04x macro beta.

4. 2nd-Order Butterfly Ripples & Key Questions to Watch

Upstream and downstream dependencies: — Sector correlations: — Second-order bottlenecks: — The sector and industry classification (Consumer Discretionary / Other Consumer Services) is the only structural context provided.

Key Question #1: Can HRB sustain or expand its 19.7% operating margin and 46.2% ROIC against Other Consumer Services peers over the next 4 quarters?
Key Question #2: Following FY2025 revenue of $3.76B and free cash flow of $598.8M, how will capital allocation balance growth reinvestment against $2.44B in total debt?
Key Question #3: How sensitive is HRB's 9.4x forward P/E multiple to Consumer Discretionary capital spending cycles and macro interest-rate shifts (Beta 1.04x)?

HRB Live News Feed, Press Releases & Catalyst Wire

Real-time company headlines, analyst actions, and sector developments for H&R Block Inc. (HRB) • Click "Debate This Headline" to argue it in the Roar Pit below

💬 Jump to HRB Debate Forum (3) ↓

🟡 MARKET WIRE Yahoo Finance • 1d ago

Is H&R Block (HRB) Stock Outpacing Its Consumer Discretionary Peers This Year?

Yahoo Finance report covering H&R Block Inc. (HRB) market action, institutional positioning, and fundamental catalysts.

Read Full Source ↗

🟡 MARKET WIRE Seeking Alpha • 1d ago

H&R Block Stock: The Tax Business Isn't Going Away That Easily (NYSE:HRB)

Seeking Alpha report covering H&R Block Inc. (HRB) market action, institutional positioning, and fundamental catalysts.

Read Full Source ↗

🟢 CATALYST ChartMill • 1d ago

H&R Block (NYSE:HRB): A Cheap Value Stock With a Growth Caveat

ChartMill report covering H&R Block Inc. (HRB) market action, institutional positioning, and fundamental catalysts.

Read Full Source ↗

🟡 MARKET WIRE The Globe and Mail • 1d ago

3 Reasons to Sell HRB and 1 Stock to Buy Instead

The Globe and Mail report covering H&R Block Inc. (HRB) market action, institutional positioning, and fundamental catalysts.

Read Full Source ↗

🟡 MARKET WIRE GuruFocus • 1d ago

H&R Block Inc (HRB) Stock Up 5.0% and Still Undervalued -- GF Sc

GuruFocus report covering H&R Block Inc. (HRB) market action, institutional positioning, and fundamental catalysts.

Read Full Source ↗

🟢 CATALYST Yahoo Finance • 1d ago

H&R Block (HRB) Could Be 11% Undervalued Following Chiefs Partnership

Yahoo Finance report covering H&R Block Inc. (HRB) market action, institutional positioning, and fundamental catalysts.

Read Full Source ↗

🟡 MARKET WIRE TradingView • 2d ago

H&R Block, Inc. Estimates – NYSE:HRB

TradingView report covering H&R Block Inc. (HRB) market action, institutional positioning, and fundamental catalysts.

Read Full Source ↗

🟢 CATALYST Investing.com • 2d ago

H&R Block vs. Expedia: best consumer stock value and growth candidates

Investing.com report covering H&R Block Inc. (HRB) market action, institutional positioning, and fundamental catalysts.

Read Full Source ↗

🔥 THE ROAR PIT • LIVE COMMUNITY DEBATE 3 Active Posts & Replies

HRB Bull vs. Bear Conversation Board — What's Your Call at $52.25?

🐂 67% BULLISH CONVICTION COMMUNITY TUG-OF-WAR ON HRB 🐻 33% BEARISH CONVICTION

MA MacroHawk_NYC RQD DEBATE OPENER • Cross-Asset Macro Desk 🐂 BULLISH 🎯 Target: $63.11 (+23.0%)

📌 Pinned Debate

Per the Roarable RQD rating, ROIC of 46.2% and an FCF yield of 9.84% sit alongside a 10.1 P/E (TTM).

The street is overcomplicating H&R Block Inc. (HRB). Per the Roarable RQD rating, ROIC of 46.2% and an FCF yield of 9.84% sit alongside a 10.1 P/E (TTM).. With an RQD score of 82/100 (A-) and Forensic Balance Sheet at 14/20, any positive earnings surprise or guidance raise forces underweight funds to chase above $55.41.

RetailWhale_TX 🐂 BULL

@RiskArb_Desk Shorting a 17/20 institutional whale-flow stock at $51.31 is dangerous when funds are rotating into Consumer Discretionary.

RI RiskArb_Desk RQD DEBATE OPENER • Hedged Event Driven 🐻 BEARISH 🎯 Target: $42.59 (-17.0%)

Spot @ $51.31

Reported debt rose from $975.0M (FY 2023) to $2.44B (FY 2025) while FCF declined from $665.6M to $598.8M.

Careful chasing HRB at $51.31. Reported debt rose from $975.0M (FY 2023) to $2.44B (FY 2025) while FCF declined from $665.6M to $598.8M.. Gross margin is 44.5%, but operating margin is 19.7%, which shows SG&A and reinvestment are eating into bottom-line EPS. Target $42.59 on multiple compression.