Related posts

Choppy stocks, oil downOil, Mickey and Washington lift marketsThe Kids’ Top Stock Picks Challenge: Will They Beat the Market?
Investor Insights

This summary was created by AI, based on 6 opinions in the last 12 months.

Experts have mixed opinions on Block Inc (SQ-N). Some see the potential for growth in the fintech space and believe in the company's solid payment ecosystem, while others are more cautious, citing concerns about decelerating growth in operating metrics. Overall, the consensus seems to be that the company has potential but may face some challenges in the near term. The stock's current share price is well down from highs, and there are differing opinions on its viability and profitability.

Consensus
Mixed
Valuation
Fair Value
BUY ON WEAKNESS
Block Inc

Has been downgraded, but managers are too strong for that. He'd buy on this weakness.

Technology
WAIT
Block Inc
Downgrade today from MS. Upside potential to $100?

Fintech is a tough space. Sometimes the best answer is the simplest, and that's to buy Visa or MA. SQ has an interesting story and ecosystem. When you buy, you always have to compare. He can't see selling a Visa to buy this.

Technology
BUY
Block Inc

They just reported online gross payments up 11% YOY while buy now/pay later was up 25% YOY. 

Technology
SELL ON STRENGTH
Block Inc

A lot of tech stocks will never see their highs again. Best hope here is mid-$60s. On a bit of a downslide. Potential to lose half its value very quickly. Not a buy the dip and trade. If drops below $53, reduce; below $50, get out.

Technology
BUY
Block Inc
Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research

SQ is now trading at 31x times' Forward P/E. In the 2Q, SQ’s revenue grew 25% to $5.53B, beating the estimates of $5.1B and EPS was $0.39 beating estimates of $0.37. The cash app users remain solid, up 15% to around 54 million monthly activities. We think the share price overreacted somewhat because of overall gross profit growth deceleration from 32% in Q1 to 27% in Q2, and expected to further decelerate to the 21% range. The gross payment volume (GPV) also decelerated significantly to only 12% growth compared to more than 20% last year. The balance sheet is strong, with net cash of around $600M. Overall, the quarter was okay, but a deceleration in growth in operating metrics worries investors. However, we think the Square payment ecosystem is solid, we think SQ is a HOLD for now. Block's healthy revenue growth and improving trends for operating margin should pave the way for profitability, despite decelerating near-term volume growth. Management raised guidance again to deliver Ebitda of $1.5 billion for 2023, a gain of $25 million vs. a loss of $115 million previously, even as some operating expenses from 1Q were pushed forward. Diversification of revenue streams is positive, with each vertical software offering now generating more than $100 million in annualized gross profit.
Unlock Premium - Try 5i Free

Technology
HOLD
Block Inc

Financial services & payments company (hardware & software).
Current share price well down from highs.
Recent short seller reports very hard on the business.
Market concerned on viability of the company (no profits).
Jury is out on the prospects for the business.


Technology
COMMENT
Block Inc

A short-seller this week hammered shares. But young people like Block for its app and that's why Wall Street loves it, though if the Fed stays hawkish nothing can save this or fintech. If Block were regulated like a big bank, SQ would be overvalued. So, Block isn't overvalued as it appears. Also, he doesn't see Block's partners dropping then. That said, the short-seller has a good track record and raises some valid question. He doesn't blame anyone selling this.

Technology
COMMENT
Block Inc

Not as risky as other banks (considering today's SVB collapse), it is the young person's bank, but shares are expensive. 

Technology
BUY ON WEAKNESS
Block Inc
Add at $60, then more at $50. A $43 billion company, but it isn't worth $43 billion.
Technology
DON'T BUY
Block Inc
He likes payment processors, like Visa (he owns). The space offers good growth and prospects and levered to rising prices (a plus). Square shares are down a lot.
Technology
COMMENT
Block Inc
SQ vs. PYPL - which to sell? Tough. He's significantly underweight tech. Shares of both are in a basing pattern, below respective 200-day MAs. Might be an opportunity, but who knows how long they'll base? Neither shows great technical strength. PYPL is 3x price to sales, while SQ is 2.2x. More growth with SQ, but PYPL is less volatile and revenue/earnings a bit more predictable. If economy wobbles, SQ is in trouble as it depends on much smaller merchants. Many people have returned to shopping in person, so e-payments are not as popular. Both underperforming S&P. For more stability, keep PYPL. For higher growth but also volatility, keep SQ.
Technology
PAST TOP PICK
Block Inc
(A Top Pick Nov 10/21, Down 73%) Recent market selloff very hard on tech companies. Has since sold shares. Higher interest rates very hard on tech companies valuation. Not making enough profits.
Technology
DON'T BUY
Block Inc
They have a coherent, terrific strategy, but the stock just went up too high. Expect downside and volatility.
Technology
Showing 1 to 15 of 121 entries

Block Inc(SQ-N) Rating

Ranking : 4 out of 5

Bullish - Buy Signals / Votes : 3

Neutral - Hold Signals / Votes : 1

Bearish - Sell Signals / Votes : 1

Total Signals / Votes : 5

Stockchase rating for Block Inc is calculated according to the stock experts' signals. A high score means experts mostly recommend to buy the stock while a low score means experts mostly recommend to sell the stock.

Block Inc(SQ-N) Frequently Asked Questions

What is Block Inc stock symbol?

Block Inc is a American stock, trading under the symbol SQ-N on the New York Stock Exchange (SQ). It is usually referred to as NYSE:SQ or SQ-N

Is Block Inc a buy or a sell?

In the last year, 5 stock analysts published opinions about SQ-N. 3 analysts recommended to BUY the stock. 1 analyst recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for Block Inc.

Is Block Inc a good investment or a top pick?

Block Inc was recommended as a Top Pick by on . Read the latest stock experts ratings for Block Inc.

Why is Block Inc stock dropping?

Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.

Is Block Inc worth watching?

5 stock analysts on Stockchase covered Block Inc In the last year. It is a trending stock that is worth watching.

What is Block Inc stock price?

On 2024-04-12, Block Inc (SQ-N) stock closed at a price of $76.99.