WallStSmart

H&R Block Inc (HRB)vsService Corporation International (SCI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Service Corporation International generates 11% more annual revenue ($4.33B vs $3.91B). HRB leads profitability with a 18.9% profit margin vs 12.4%. HRB appears more attractively valued with a PEG of 0.51. HRB earns a higher WallStSmart Score of 75/100 (B+).

HRB

Strong Buy

75

out of 100

Grade: B+

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

SCI

Buy

56

out of 100

Grade: C

Growth: 3.3Profit: 7.5Value: 5.0Quality: 3.0
Piotroski: 4/9Altman Z: 0.48
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

HRBSignificantly Overvalued (-38.6%)

Margin of Safety

-38.6%

Fair Value

$26.35

Current Price

$37.46

$11.11 premium

UndervaluedFair: $26.35Overvalued

Intrinsic value data unavailable for SCI.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

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

SCI2 strengths · Avg: 9.0/10
Return on EquityProfitability
39.5%10/10

Every $100 of equity generates 40 in profit

Operating MarginProfitability
22.1%8/10

Strong operational efficiency at 22.1%

Areas to Watch

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

Grey zone — moderate risk

SCI4 concerns · Avg: 3.0/10
PEG RatioValuation
1.514/10

Expensive relative to growth rate

Revenue GrowthGrowth
2.1%4/10

2.1% revenue growth

EPS GrowthGrowth
-1.0%2/10

Earnings declined 1.0%

Altman Z-ScoreHealth
0.482/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

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.

Bull Case : SCI

The strongest argument for SCI centers on Return on Equity, Operating Margin.

Bear Case : HRB

The primary concerns for HRB are Altman Z-Score.

Bear Case : SCI

The primary concerns for SCI are PEG Ratio, Revenue Growth, EPS Growth. Debt-to-equity of 3.26 is elevated, increasing financial risk.

Key Dynamics to Monitor

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

SCI carries more volatility with a beta of 0.85 — expect wider price swings.

HRB is growing revenue faster at 5.3% — 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 56/100), 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.

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.

Service Corporation International

CONSUMER CYCLICAL · PERSONAL SERVICES · USA

Service Corporation International offers death care products and services in the United States and Canada. The company is headquartered in Houston, Texas.

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