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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 $64.39, moving -0.59% from the previous trading session. This move lagged the S&P 500's daily gain of 0.45%. Meanwhile, the Dow gained 0.8%, and the Nasdaq, a tech-heavy index, added 1.99%.
Heading into today, shares of the mobile payments services provider had gained 7.25% over the past month, outpacing the Business Services sector's gain of 4.22% and the S&P 500's gain of 4.25% in that time.
Investors will be hoping for strength from Block as it approaches its next earnings release. The company is expected to report EPS of $0.35, up 94.44% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $5.08 billion, up 15.41% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.69 per share and revenue of $20.53 billion. These totals would mark changes of +69% and +17.13%, respectively, from last year.
Any recent changes to analyst estimates for Block should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 94.42% lower. Block is holding a Zacks Rank of #3 (Hold) right now.
Valuation is also important, so investors should note that Block has a Forward P/E ratio of 38.28 right now. For comparison, its industry has an average Forward P/E of 23.52, which means Block is trading at a premium to the group.
Investors should also note that SQ has a PEG ratio of 1.89 right now. 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 1.62 at yesterday's closing price.
The Technology Services industry is part of the Business Services sector. This group has a Zacks Industry Rank of 108, putting it in the top 43% 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 $64.39, moving -0.59% from the previous trading session. This move lagged the S&P 500's daily gain of 0.45%. Meanwhile, the Dow gained 0.8%, and the Nasdaq, a tech-heavy index, added 1.99%.
Heading into today, shares of the mobile payments services provider had gained 7.25% over the past month, outpacing the Business Services sector's gain of 4.22% and the S&P 500's gain of 4.25% in that time.
Investors will be hoping for strength from Block as it approaches its next earnings release. The company is expected to report EPS of $0.35, up 94.44% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $5.08 billion, up 15.41% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.69 per share and revenue of $20.53 billion. These totals would mark changes of +69% and +17.13%, respectively, from last year.
Any recent changes to analyst estimates for Block should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 94.42% lower. Block is holding a Zacks Rank of #3 (Hold) right now.
Valuation is also important, so investors should note that Block has a Forward P/E ratio of 38.28 right now. For comparison, its industry has an average Forward P/E of 23.52, which means Block is trading at a premium to the group.
Investors should also note that SQ has a PEG ratio of 1.89 right now. 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 1.62 at yesterday's closing price.
The Technology Services industry is part of the Business Services sector. This group has a Zacks Industry Rank of 108, putting it in the top 43% 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.