In the preceding three months, 23 analysts have released ratings for Block SQ, presenting a wide array of perspectives from bullish to bearish.
Summarizing their recent assessments, the table below illustrates the evolving sentiments in the past 30 days and compares them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 10 | 9 | 3 | 1 | 0 |
| Last 30D | 0 | 1 | 0 | 0 | 0 |
| 1M Ago | 3 | 2 | 1 | 1 | 0 |
| 2M Ago | 5 | 5 | 2 | 0 | 0 |
| 3M Ago | 2 | 1 | 0 | 0 | 0 |
Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $89.83, a high estimate of $106.00, and a low estimate of $60.00. This current average has increased by 8.73% from the previous average price target of $82.62.
Understanding Analyst Ratings: A Comprehensive Breakdown
A clear picture of Block's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| David Koning | Baird | Raises | Outperform | $98.00 | $95.00 |
| Darrin Peller | Wolfe Research | Raises | Outperform | $100.00 | $95.00 |
| Dan Dolev | Mizuho | Raises | Buy | $106.00 | $99.00 |
| Mark Palmer | Benchmark | Raises | Buy | $99.00 | $89.00 |
| James Faucette | Morgan Stanley | Lowers | Underweight | $60.00 | $62.00 |
| Dan Dolev | Mizuho | Maintains | Buy | $99.00 | $99.00 |
| Alex Markgraff | Keybanc | Raises | Overweight | $95.00 | $80.00 |
| David Togut | Evercore ISI Group | Maintains | In-Line | $75.00 | $75.00 |
| Trevor Williams | Jefferies | Raises | Buy | $100.00 | $90.00 |
| Peter Christiansen | Citigroup | Raises | Buy | $86.00 | $76.00 |
| Joseph Vafi | Canaccord Genuity | Raises | Buy | $95.00 | $80.00 |
| Kevin Barker | Piper Sandler | Raises | Overweight | $88.00 | $86.00 |
| Daniel Perlin | RBC Capital | Raises | Outperform | $88.00 | $77.00 |
| Vasundhara Govil | Keefe, Bruyette & Woods | Raises | Market Perform | $78.00 | $74.00 |
| Moshe Katri | Wedbush | Maintains | Outperform | $90.00 | - |
| Andrew Jeffrey | Truist Securities | Raises | Buy | $100.00 | $90.00 |
| Andrew Bauch | Wells Fargo | Announces | Overweight | $95.00 | - |
| Jeff Cantwell | Seaport Global | Announces | Buy | $95.00 | - |
| Jeff Cantwell | Wells Fargo | Raises | Equal-Weight | $65.00 | $55.00 |
| Moshe Katri | Wedbush | Maintains | Outperform | $90.00 | - |
| Mark Palmer | Benchmark | Announces | Buy | $89.00 | - |
| David Chiaverini | Wedbush | Announces | Outperform | $90.00 | - |
| Lance Jessurun | BTIG | Announces | Buy | $85.00 | - |
Key Insights:
- Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to Block. This information provides a snapshot of how analysts perceive the current state of the company.
- Rating: Offering a comprehensive view, analysts assess stocks qualitatively, spanning from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Block compared to the broader market.
- Price Targets: Analysts provide insights into price targets, offering estimates for the future value of Block's stock. This comparison reveals trends in analysts' expectations over time.
Understanding these analyst evaluations alongside key financial indicators can offer valuable insights into Block's market standing. Stay informed and make well-considered decisions with our Ratings Table.
Stay up to date on Block analyst ratings.
About Block
Founded in 2009, Block provides payment services to merchants, along with related services. The company also launched Cash App, a person-to-person payment network. In 2023, Square's payment volume was a little over $200 million.
Block's Financial Performance
Market Capitalization Analysis: Positioned below industry benchmarks, the company's market capitalization faces constraints in size. This could be influenced by factors such as growth expectations or operational capacity.
Revenue Growth: Over the 3 months period, Block showcased positive performance, achieving a revenue growth rate of 24.13% as of 31 December, 2023. This reflects a substantial increase in the company's top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Financials sector.
Net Margin: Block's net margin lags behind industry averages, suggesting challenges in maintaining strong profitability. With a net margin of 3.08%, the company may face hurdles in effective cost management.
Return on Equity (ROE): The company's ROE is below industry benchmarks, signaling potential difficulties in efficiently using equity capital. With an ROE of 0.98%, the company may need to address challenges in generating satisfactory returns for shareholders.
Return on Assets (ROA): Block's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of 0.53%, the company may face hurdles in generating optimal returns from its assets.
Debt Management: Block's debt-to-equity ratio is below the industry average at 0.32, reflecting a lower dependency on debt financing and a more conservative financial approach.
How Are Analyst Ratings Determined?
Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.
Analysts may enhance their evaluations by incorporating forecasts for metrics like growth estimates, earnings, and revenue, delivering additional guidance to investors. It is vital to acknowledge that, although experts in stocks and sectors, analysts are human and express their opinions when providing insights.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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