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Block (SQ) Stock Sinks As Market Gains: What You Should Know
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Block (SQ - Free Report) closed the most recent trading day at $99.84, moving -0.63% from the previous trading session. This change lagged the S&P 500's daily gain of 0.21%. At the same time, the Dow added 0.19%, and the tech-heavy Nasdaq gained 0.01%.
Heading into today, shares of the mobile payments services provider had lost 31.58% over the past month, lagging the Business Services sector's loss of 8.38% and the S&P 500's loss of 8.08% in that time.
Block will be looking to display strength as it nears its next earnings release, which is expected to be May 5, 2022. In that report, analysts expect Block to post earnings of $0.12 per share. This would mark a year-over-year decline of 70.73%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.23 billion, down 16.43% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.03 per share and revenue of $18.91 billion. These totals would mark changes of -39.77% and +7.05%, respectively, from last year.
Any recent changes to analyst estimates for Block should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 19.33% lower within the past month. Block is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, Block is holding a Forward P/E ratio of 97.7. For comparison, its industry has an average Forward P/E of 19.81, which means Block is trading at a premium to the group.
We can also see that SQ currently has a PEG ratio of 4.62. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Technology Services was holding an average PEG ratio of 1.7 at yesterday's closing price.
The Technology Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 173, which puts it in the bottom 32% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Block (SQ) Stock Sinks As Market Gains: What You Should Know
Block (SQ - Free Report) closed the most recent trading day at $99.84, moving -0.63% from the previous trading session. This change lagged the S&P 500's daily gain of 0.21%. At the same time, the Dow added 0.19%, and the tech-heavy Nasdaq gained 0.01%.
Heading into today, shares of the mobile payments services provider had lost 31.58% over the past month, lagging the Business Services sector's loss of 8.38% and the S&P 500's loss of 8.08% in that time.
Block will be looking to display strength as it nears its next earnings release, which is expected to be May 5, 2022. In that report, analysts expect Block to post earnings of $0.12 per share. This would mark a year-over-year decline of 70.73%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.23 billion, down 16.43% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.03 per share and revenue of $18.91 billion. These totals would mark changes of -39.77% and +7.05%, respectively, from last year.
Any recent changes to analyst estimates for Block should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 19.33% lower within the past month. Block is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, Block is holding a Forward P/E ratio of 97.7. For comparison, its industry has an average Forward P/E of 19.81, which means Block is trading at a premium to the group.
We can also see that SQ currently has a PEG ratio of 4.62. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Technology Services was holding an average PEG ratio of 1.7 at yesterday's closing price.
The Technology Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 173, which puts it in the bottom 32% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.