As April 18th, the tax filing deadline draws near, it's interesting to recall that in the previous tax season, the IRS issued more than 96 million refunds totaling over $292 billion, with an average refund of $3,039.
Millions of taxpayers rush to file their returns each year, creating a surge in demand for tax preparation services and software solutions.
With tax preparation companies reaping the rewards of this annual frenzy, an investor might wonder: "What if I had invested my entire average tax refund of $3,039 in tax-related stocks last year? How much would my investment be worth today?"
Read also: If You Invested $100 In Tesla, AMD, Nvidia, Apple, Microsoft And Plug Power Stock 5 Years Ago
Intuit Inc. INTU, the powerhouse behind TurboTax, the tax preparation software, is well-positioned for growth as taxpayers rush to complete their filings. But how’s the stock doing?
Intuit closed Monday, April 11, 2022 at $469.88.
A $3,039 investment at $469.88 would’ve yielded the investor 6.5 shares, and it would be worth $2,827.54 at current prices — a loss of $210.46, or 6.93%.
Another company that many taxpayers use during the filing rush is H&R Block Inc. HRB, a prominent tax preparation service with an extensive network of brick-and-mortar locations and online offerings.
H&R Block closed Monday, April 11, 2022 at $26.15.
A $3,039 investment at $26.15 would’ve yielded an investor 116.2 shares, and it would be worth $3,976.36 at current prices — a gain of $937.36, or 30.84%.
Avantax Inc AVTA, formerly known as Blucora and the force behind TaxAct, is a strong competitor in the tax preparation software market as well.
Avantax closed Monday, April 11, 2022 at $19.47.
A $3,039 investment at $19.47 would’ve yielded an investor 156.08 shares, and would be worth $4,282.83 at current prices — a gain of $1,243.85, or 40.93%.
Liberty Tax, a subsidiary of NextPoint Financial Inc. NACQF, offers both in-person and online tax preparation services, focusing on delivering tailored tax solutions.
NextPoint closed Monday, April 11, 2022 at $3.05.
A $3,039 investment at $3.05 would’ve yielded an investor 996.4 shares, and would be worth $946.58 at current prices — a loss of $2,092.42, or 68.95%.
Photo: Shutterstock
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Date | ticker | name | Actual EPS | EPS Surprise | Actual Rev | Rev Surprise |
---|
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.