Block, Inc. (NYSE:XYZ) Stock Has Average Price Target of $95.61

Shares of Block, Inc. (NYSE:XYZ) have earned a consensus recommendation of “Moderate Buy” from the forty-one brokerages that are currently covering the company, Marketbeat.com reports. Ten equities research analysts have rated the stock with a hold recommendation, twenty-eight have assigned a buy recommendation and three have issued a strong buy recommendation on the company. The average 12 month price target among brokers that have updated their coverage on the stock in the last year is $95.61.

A number of equities analysts recently issued reports on the company. Keefe, Bruyette & Woods increased their price objective on Block from $90.00 to $100.00 and gave the stock an “outperform” rating in a report on Thursday, August 6th. Morgan Stanley lowered Block from an “overweight” rating to an “equal weight” rating and reduced their price target for the stock from $90.00 to $80.00 in a research report on Monday, October 26th. TD Cowen boosted their price target on Block from $101.00 to $105.00 and gave the stock a “buy” rating in a research report on Thursday, August 6th. Wolfe Research increased their price target on Block from $100.00 to $115.00 and gave the stock an “outperform” rating in a research note on Tuesday, August 25th. Finally, BMO Capital Markets reissued a “hold” rating on shares of Block in a report on Tuesday.

Block Stock Down 1.7%

XYZ stock opened at $75.77 on Wednesday. The company has a quick ratio of 2.21, a current ratio of 2.21 and a debt-to-equity ratio of 0.26. Block has a fifty-two week low of $48.21 and a fifty-two week high of $86.92. The firm’s 50-day simple moving average is $77.79 and its 200 day simple moving average is $71.18. The stock has a market cap of $45.52 billion, a PE ratio of 135.30, a price-to-earnings-growth ratio of 0.81 and a beta of 2.58.

Block (NYSE:XYZ) last posted its earnings results on Tuesday, November 3rd. The technology company reported $1.13 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.68 by $0.45. Block had a net margin of 1.43% and a return on equity of 8.10%. The firm had revenue of $6.72 billion during the quarter. During the same period in the previous year, the firm earned $0.54 earnings per share. The company’s revenue for the quarter was up 9.9% on a year-over-year basis. As a group, sell-side analysts predict that Block will post 2.75 EPS for the current year.

Insider Buying and Selling at Block

In other Block news, Director Anthony Eisen sold 6,000 shares of the company’s stock in a transaction that occurred on Monday, August 24th. The stock was sold at an average price of $81.48, for a total value of $488,880.00. Following the completion of the sale, the director directly owned 1,482,672 shares in the company, valued at $120,808,114.56. This represents a 0.40% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Brian Grassadonia sold 8,173 shares of the stock in a transaction on Monday, August 24th. The shares were sold at an average price of $82.42, for a total value of $673,618.66. Following the transaction, the insider directly owned 513,981 shares of the company’s stock, valued at approximately $42,362,314.02. The trade was a 1.57% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have sold 232,686 shares of company stock valued at $18,360,227. Company insiders own 11.37% of the company’s stock.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of the company. Elevation Wealth Partners LLC grew its stake in shares of Block by 301.0% in the 2nd quarter. Elevation Wealth Partners LLC now owns 389 shares of the technology company’s stock worth $30,000 after purchasing an additional 292 shares during the last quarter. Global Assets Advisory LLC acquired a new stake in Block during the first quarter valued at approximately $31,000. Meeder Asset Management Inc. bought a new stake in Block during the second quarter worth approximately $46,000. University of Texas Texas AM Investment Management Co. bought a new stake in Block during the third quarter worth approximately $48,000. Finally, Ancora Advisors LLC bought a new stake in Block during the second quarter worth approximately $53,000. Institutional investors own 70.44% of the company’s stock.

Key Stories Impacting Block

Here are the key news stories impacting Block this week:

• Positive Sentiment: Block earned $1.13 per share, ahead of estimates, while net income increased to $565.6 million from $461.5 million a year earlier. Block Q3 earnings and revenues beat estimates
• Positive Sentiment: The company raised its full-year profit outlook after gross profit growth exceeded its guidance. Cash App contributed to quarterly growth, and faster U.S. payment-volume growth at Square suggests its sales efforts are gaining traction. Block raises full-year profit outlook as Cash App drives Q3 growth
• Neutral Sentiment: Block reached a preliminary settlement with the Department of Justice. A settlement could reduce legal uncertainty, but the available report does not detail its terms. Block lifts profit outlook and reaches preliminary DOJ settlement
• Negative Sentiment: One earnings reaction noted that losses climbed even as adjusted profit improved, a possible concern for investors weighing the stronger outlook against the quality and sustainability of earnings. Block’s adjusted profit jumps as losses climb

Block Company Profile

Block, Inc is a financial technology company that provides payments, commerce, and financial services through an ecosystem of business and consumer products. Formerly known as Square, the company was co-founded by Jack Dorsey and Jim McKelvey and changed its corporate name to Block in 2021.

Its Square ecosystem serves businesses with point-of-sale hardware, payment processing, invoicing, payroll, inventory management, customer engagement, online commerce, and other software tools. Block also offers lending and other financial services to eligible business customers through Square-related products.

For consumers, Block operates Cash App, a mobile financial services platform that supports services such as peer-to-peer payments, money transfers, a Cash App Card, direct deposit, investing, and bitcoin transactions, subject to product and geographic availability.