Block (NYSE:XYZ) Stock Price Expected to Rise, BMO Capital Markets Analyst Says

Block (NYSE:XYZ) had its price objective boosted by stock analysts at BMO Capital Markets from $101.00 to $102.00 in a research note issued on Tuesday. The firm currently has a “market perform” rating on the technology company’s stock. BMO Capital Markets‘s price objective points to a potential upside of 18.62% from the company’s current price.

Several other research analysts have also issued reports on XYZ. Robert W. Baird increased their price target on Block from $105.00 to $106.00 and gave the stock an “outperform” rating in a report on Friday, October 2nd. Wells Fargo & Company boosted their price objective on Block from $97.00 to $110.00 and gave the company an “overweight” rating in a report on Thursday. Zacks Research lowered Block from a “strong-buy” rating to a “hold” rating in a research report on Thursday, July 30th. Susquehanna increased their target price on Block from $100.00 to $110.00 and gave the stock a “positive” rating in a report on Wednesday. Finally, KeyCorp lifted their price target on shares of Block from $105.00 to $108.00 and gave the company an “overweight” rating in a research report on Thursday, August 6th. Two research analysts have rated the stock with a Strong Buy rating, thirty-four have given a Buy rating, ten have given a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $98.24.

Block Stock Up 2.3%

XYZ traded up $1.95 during midday trading on Tuesday, hitting $85.99. The company had a trading volume of 2,921,824 shares, compared to its average volume of 6,193,499. Block has a 52 week low of $48.21 and a 52 week high of $88.51. The company has a quick ratio of 2.21, a current ratio of 2.23 and a debt-to-equity ratio of 0.25. The company has a market capitalization of $51.66 billion, a price-to-earnings ratio of 116.52, a PEG ratio of 0.92 and a beta of 2.58. The stock’s 50 day moving average price is $77.90 and its 200 day moving average price is $71.39.

Block (NYSE:XYZ) last released its quarterly earnings data on Tuesday, November 3rd. The technology company reported $1.13 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.68 by $0.45. Block had a net margin of 1.80% and a return on equity of 9.63%. The company had revenue of $6.72 billion for the quarter. During the same period last year, the company earned $0.54 EPS. Block’s revenue for the quarter was up 9.9% compared to the same quarter last year. On average, research analysts anticipate that Block will post 2.75 earnings per share for the current fiscal year.

Insider Activity at Block

In related news, Director Anthony Eisen sold 6,000 shares of the business’s stock in a transaction dated Monday, August 24th. The shares were sold at an average price of $81.48, for a total value of $488,880.00. Following the transaction, the director directly owned 1,482,672 shares of the company’s stock, valued at approximately $120,808,114.56. The trade was a 0.40% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Brian Grassadonia sold 8,173 shares of Block stock in a transaction dated Monday, August 24th. The stock was sold at an average price of $82.42, for a total transaction of $673,618.66. Following the completion of the sale, the insider directly owned 513,981 shares in the company, valued at approximately $42,362,314.02. This represents a 1.57% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 226,686 shares of company stock valued at $17,861,807 over the last ninety days. Corporate insiders own 11.37% of the company’s stock.

Institutional Investors Weigh In On Block

Several large investors have recently modified their holdings of the stock. BlackRock Inc. purchased a new stake in Block in the second quarter worth $621,703,000. Arrowstreet Capital Limited Partnership raised its stake in shares of Block by 528.2% in the first quarter. Arrowstreet Capital Limited Partnership now owns 3,309,296 shares of the technology company’s stock valued at $199,153,000 after buying an additional 2,782,523 shares during the period. Assenagon Asset Management S.A. raised its stake in shares of Block by 372.8% in the second quarter. Assenagon Asset Management S.A. now owns 937,540 shares of the technology company’s stock valued at $71,253,000 after buying an additional 739,264 shares during the period. Bank of America Corp DE purchased a new position in shares of Block during the 2nd quarter valued at $23,531,000. Finally, Engineers Gate Manager LP lifted its position in shares of Block by 2,575.4% during the 2nd quarter. Engineers Gate Manager LP now owns 571,414 shares of the technology company’s stock valued at $43,427,000 after buying an additional 550,056 shares during the last quarter. Hedge funds and other institutional investors own 70.44% of the company’s stock.

Block News Roundup

Here are the key news stories impacting Block this week:

• Positive Sentiment: Block’s third-quarter results beat expectations: earnings per share were $1.13 versus the $0.68 consensus, while revenue rose 9.9% year over year. Cash App lending and Square growth helped lift gross profit 22% to $3.24 billion, and the company raised its 2026 outlook. Shares recently reached a 52-week high following the results. Article: Block earnings lift outlook Article: Block Q3 earnings beat estimates
• Positive Sentiment: Several firms raised price targets, reinforcing optimism: Wells Fargo lifted its target to $110, TD Cowen to $109, Barclays and Argus to $105, and RBC to $103. Needham reiterated its Buy rating, while TD Cowen and Susquehanna also expressed expectations for further gains. Wells Fargo forecast Argus target increase Barclays target increase
• Positive Sentiment: Traders also purchased a large volume of Block call options, suggesting bullish positioning, though options activity can be speculative. Call options activity
• Neutral Sentiment: Morgan Stanley raised its target to $82 but maintained an Equal Weight rating; Scotiabank also kept a Sector Perform rating. Their views are more cautious than the broader cluster of Buy and Outperform calls.
• Negative Sentiment: Block is making its second round of job cuts this year, affecting employees in Cash App. The cuts may reduce costs, but the timing shortly after strong earnings could raise questions about staffing and business needs. Article: Block job cuts

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.