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Block (SQ) Outpaces Stock Market Gains: What You Should Know
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In the latest trading session, Block (SQ - Free Report) closed at $53.94, marking a +1.62% move from the previous day. The stock outpaced the S&P 500's daily gain of 0.67%. Elsewhere, the Dow gained 0.25%, while the tech-heavy Nasdaq added 1.14%.
Coming into today, shares of the mobile payments services provider had lost 12.37% in the past month. In that same time, the Business Services sector lost 0.98%, while the S&P 500 lost 0.73%.
Block will be looking to display strength as it nears its next earnings release. On that day, Block is projected to report earnings of $0.43 per share, which would represent year-over-year growth of 2.38%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $5.38 billion, up 19.22% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $1.68 per share and revenue of $21.39 billion, which would represent changes of +68% and +22%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Block. 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. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. The Zacks Consensus EPS estimate has moved 24.4% 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 31.68. This represents a premium compared to its industry's average Forward P/E of 24.38.
It is also worth noting that SQ currently has a PEG ratio of 1.06. 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 1.48 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 153, which puts it in the bottom 40% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Block (SQ) Outpaces Stock Market Gains: What You Should Know
In the latest trading session, Block (SQ - Free Report) closed at $53.94, marking a +1.62% move from the previous day. The stock outpaced the S&P 500's daily gain of 0.67%. Elsewhere, the Dow gained 0.25%, while the tech-heavy Nasdaq added 1.14%.
Coming into today, shares of the mobile payments services provider had lost 12.37% in the past month. In that same time, the Business Services sector lost 0.98%, while the S&P 500 lost 0.73%.
Block will be looking to display strength as it nears its next earnings release. On that day, Block is projected to report earnings of $0.43 per share, which would represent year-over-year growth of 2.38%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $5.38 billion, up 19.22% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $1.68 per share and revenue of $21.39 billion, which would represent changes of +68% and +22%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Block. 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. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. The Zacks Consensus EPS estimate has moved 24.4% 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 31.68. This represents a premium compared to its industry's average Forward P/E of 24.38.
It is also worth noting that SQ currently has a PEG ratio of 1.06. 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 1.48 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 153, which puts it in the bottom 40% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.