H&R Block, Inc. shares are sitting close to an important technical support area around 23.28 USD based on weekly price data. Against this backdrop, investors can use this good timing for new long positions.
Summary
● The company has strong fundamentals. More than 70% of listed companies have a lower mix of growth, profitability, debt and visibility criteria.
● In a short-term perspective, the company has interesting fundamentals.
Strengths
● The current area is a good opportunity for investors interested in buying the stock in a mid or long-term perspective. Indeed, the share is moving closer to its lower bound at USD 23.28 USD in weekly data.
● The company is in a robust financial situation considering its net cash and margin position.
● Considering the small differences between the analysts' various estimates, the group's business visibility is good.
● The group usually releases upbeat results with huge surprise rates.
● With a P/E ratio at 11.59 for the current year and 10.91 for next year, earnings multiples are highly attractive compared with competitors.
● This company will be of major interest to investors in search of a high dividend stock.
● For the past twelve months, EPS forecast has been revised upwards.
Weaknesses
● According to forecast, a sluggish sales growth is expected for the next fiscal years.
● Below the resistance at 26.25 USD, the stock shows a negative configuration when looking looking at the weekly chart.
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H&R Block, Inc. is engaged in providing tax preparation services, financial products, and small business solutions. The Company provides assisted and do-it-yourself (DIY) tax return preparation solutions through multiple channels, including in-person, online and mobile applications, virtual, and desktop software and distributes H&R Block-branded services and products. It also offers small business financial solutions through its Company-owned and franchise offices and online through Wave. The Company provides additional services, including Refund Transfers (RT), Peace of Mind Extended Service Plan (POM), H&R Block Emerald Prepaid Mastercard (Emerald Card), H&R Block Emerald Advance Lines of Credit (EA), Tax Identity Shield (TIS), Refund Advances (RA), and small business financial solutions. The RTs enable clients to receive their tax refunds by their chosen method of disbursement and include a feature enabling clients to deduct tax preparation and related fees from their tax refunds.