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H&R Block Gears Up to Report Q2 Earnings: What's in the Cards?

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H&R Block, Inc. (HRB - Free Report) is scheduled to report its second-quarter fiscal 2025 results on Feb. 4, after the bell.

See the Zacks Earnings Calendar  to stay ahead of market-making news.

The company has an impressive earnings surprise history, having surpassed the Zacks Consensus Estimate in the past four quarters, with the surprise being 9.9% on average.

H&R Block, Inc. Price and EPS Surprise

H&R Block, Inc. Price and EPS Surprise

H&R Block, Inc. price-eps-surprise | H&R Block, Inc. Quote

Q2 Expectations for HRB

HRB operates in a highly cyclical industry, with the bulk of its revenues generated during the tax season. The company’s financial performance is strongest in the third and fourth quarters, corresponding to the March and June periods when tax filings peak.

Given this seasonality, expectations for HRB’s fiscal second-quarter results remain muted. As the company is still in its off-season, the Zacks Consensus Estimate indicates subdued performance, with a loss of 1.53 per share on revenues of $182.8 million. This aligns with historical trends, as its fiscal second quarter typically sees minimal tax preparation activity.

What Our Model Says

Our proven model does not conclusively predict an earnings beat for H&R Block this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

H&R Block has an Earnings ESP of 0.00% and a Zacks Rank #3.

You can see the complete list of today’s Zacks #1 Rank stocks here.

Stocks That Warrant a Look

Here are a few stocks, which, according to our model, have the right combination of elements to beat on earnings this season.

S&P Global (SPGI - Free Report) : The Zacks Consensus Estimate for the company’s fourth-quarter 2024 revenues is pegged at 3.5 billion, indicating year-over-year growth of 10.3%. The consensus estimate for earnings is pegged at $3.4 per share, implying year-over-year growth of 9%. The company beat the consensus estimate in three of the past four quarters and missed once, with an average surprise of 6.3%.

SPGI has an Earnings ESP of +0.83% and currently flaunts a Zacks Rank of 2. The company is scheduled to declare its fourth-quarter 2024 results on Feb. 11. 

TransUnion (TRU - Free Report) : The Zacks Consensus Estimate for the company’s fourth-quarter 2024 revenues is pegged at $1 billion, indicating year-over-year growth of 7.7%. For earnings, the consensus mark is pegged at 96 cents, suggesting a 20% growth from the year-ago quarter’s reported figure. The company beat the consensus estimate in all the past four quarters, with an average surprise of 7.3%.

TRU carries an Earnings ESP of +0.27% and a Zacks Rank of 3 at present. The company is scheduled to declare its fourth-quarter 2024 results on Feb. 13.


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