WallStSmart

Frontdoor Inc (FTDR)vsH&R Block Inc (HRB)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

H&R Block Inc generates 85% more annual revenue ($3.91B vs $2.12B). HRB leads profitability with a 18.9% profit margin vs 12.2%. HRB appears more attractively valued with a PEG of 0.51. HRB earns a higher WallStSmart Score of 75/100 (B+).

FTDR

Buy

57

out of 100

Grade: C

Growth: 6.7Profit: 7.5Value: 4.0Quality: 5.5
Piotroski: 6/9Altman Z: 2.32

HRB

Strong Buy

75

out of 100

Grade: B+

Growth: 6.0Profit: 9.5Value: 6.7Quality: 6.0
Piotroski: 5/9Altman Z: 1.99
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

FTDRSignificantly Overvalued (-39.1%)

Margin of Safety

-39.1%

Fair Value

$40.46

Current Price

$63.64

$23.18 premium

UndervaluedFair: $40.46Overvalued
HRBSignificantly Overvalued (-38.6%)

Margin of Safety

-38.6%

Fair Value

$26.35

Current Price

$37.46

$11.11 premium

UndervaluedFair: $26.35Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FTDR1 strengths · Avg: 10.0/10
Return on EquityProfitability
113.0%10/10

Every $100 of equity generates 113 in profit

HRB6 strengths · Avg: 9.3/10
P/E RatioValuation
6.5x10/10

Attractively priced relative to earnings

Return on EquityProfitability
67.9%10/10

Every $100 of equity generates 68 in profit

Operating MarginProfitability
43.2%10/10

Strong operational efficiency at 43.2%

Debt/EquityHealth
-83.1210/10

Conservative balance sheet, low leverage

PEG RatioValuation
0.518/10

Growing faster than its price suggests

EPS GrowthGrowth
24.2%8/10

Earnings expanding 24.2% YoY

Areas to Watch

FTDR3 concerns · Avg: 3.0/10
PEG RatioValuation
2.384/10

Expensive relative to growth rate

Price/BookValuation
19.5x4/10

Trading at 19.5x book value

Debt/EquityHealth
5.151/10

Elevated debt levels

HRB1 concerns · Avg: 4.0/10
Altman Z-ScoreHealth
1.994/10

Grey zone — moderate risk

Comparative Analysis Report

WallStSmart Research

Bull Case : FTDR

The strongest argument for FTDR centers on Return on Equity.

Bull Case : HRB

The strongest argument for HRB centers on P/E Ratio, Return on Equity, Operating Margin. Profitability is solid with margins at 18.9% and operating margin at 43.2%. PEG of 0.51 suggests the stock is reasonably priced for its growth.

Bear Case : FTDR

The primary concerns for FTDR are PEG Ratio, Price/Book, Debt/Equity. Debt-to-equity of 5.15 is elevated, increasing financial risk.

Bear Case : HRB

The primary concerns for HRB are Altman Z-Score.

Key Dynamics to Monitor

FTDR profiles as a value stock while HRB is a mature play — different risk/reward profiles.

FTDR carries more volatility with a beta of 1.51 — expect wider price swings.

FTDR is growing revenue faster at 5.9% — sustainability is the question.

HRB generates stronger free cash flow (1.5B), providing more financial flexibility.

Bottom Line

HRB scores higher overall (75/100 vs 57/100), backed by strong 18.9% margins. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Frontdoor Inc

CONSUMER CYCLICAL · PERSONAL SERVICES · USA

front door, inc. The company is headquartered in Memphis, Tennessee.

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H&R Block Inc

CONSUMER CYCLICAL · PERSONAL SERVICES · USA

H&R Block, Inc., provides services and products for assisted preparation of income tax returns and self-preparation of income tax returns (DIY) to the general public, primarily in the United States, Canada and Australia. The company is headquartered in Kansas City, Missouri.

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