What is H&R Block Inc worth?
With the base-case assumptions below, a discounted cash flow model on H&R Block Inc's reported free cash flow gives $91.93 per share. The share price was $42.19 on September 25, 2026, 54% below that value.
Inputs from the filings
Three sets of assumptions
| Case | Growth yrs 1-5 | Discount rate | Value per share | Value vs price |
|---|---|---|---|---|
| Bear | -2.0% | 10.0% | $55.44 | +31% |
| Base | 3.0% | 9.0% | $91.93 | +118% |
| Bull | 8.0% | 8.0% | $160.07 | +279% |
Sensitivity: base case value per share
| 1.5% | 2.0% | 2.5% | 3.0% | 3.5% | |
|---|---|---|---|---|---|
| 7.0% | $117.70 | $125.50 | $135.03 | $146.95 | $162.26 |
| 8.0% | $98.52 | $103.58 | $109.56 | $116.73 | $125.50 |
| 9.0% | $84.48 | $87.94 | $91.93 | $96.59 | $102.09 |
| 10.0% | $73.77 | $76.23 | $79.01 | $82.20 | $85.87 |
| 11.0% | $65.32 | $67.12 | $69.14 | $71.41 | $73.97 |
Where the presets come from
Base: years 1 to 5 grow at H&R Block Inc's revenue growth rate over the last 5 fiscal years (2.9% a year), held between -5% and 15%. Years 6 to 10 grow halfway between that and the long-run rate of 2.5%. Future cash is discounted at 9% a year.
Bear: 5 points less growth, 2% long-run growth, 10% discount rate. Bull: 5 points more growth (at most 25%), 3% long-run growth, 8% discount rate.
Value per share = (present value of 10 years of free cash flow + present value of everything after + cash - debt) / diluted shares.
This is a model run on assumptions, not a recommendation or a price target. Small changes in the discount rate or growth move the result a lot, as the table above shows. Change them yourself in the calculator.
Adjust the assumptions
Move the sliders for growth, long-run growth and discount rate, or switch to average free cash flow, and see the value per share change.
Adjust the assumptions