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Block (SQ) Outperforms Broader Market: What You Need to Know
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The most recent trading session ended with Block (SQ - Free Report) standing at $68.83, reflecting a +0.76% shift from the previouse trading day's closing. The stock outperformed the S&P 500, which registered a daily gain of 0.06%. At the same time, the Dow added 0.13%, and the tech-heavy Nasdaq gained 0.24%.
Prior to today's trading, shares of the mobile payments services provider had gained 0.6% over the past month. This has lagged the Business Services sector's gain of 7.07% and the S&P 500's gain of 6.45% in that time.
Investors will be eagerly watching for the performance of Block in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on February 22, 2024. The company is expected to report EPS of $0.60, up 172.73% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $5.69 billion, up 22.33% from the prior-year quarter.
Investors should also take note of any recent adjustments 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.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 6.42% higher. Block is currently sporting a Zacks Rank of #3 (Hold).
In the context of valuation, Block is at present trading with a Forward P/E ratio of 22.88. This expresses a discount compared to the average Forward P/E of 23.96 of its industry.
Investors should also note that SQ has a PEG ratio of 0.66 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Technology Services was holding an average PEG ratio of 1.53 at yesterday's closing price.
The Technology Services industry is part of the Business Services sector. Currently, this industry holds a Zacks Industry Rank of 92, positioning it in the top 37% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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Block (SQ) Outperforms Broader Market: What You Need to Know
The most recent trading session ended with Block (SQ - Free Report) standing at $68.83, reflecting a +0.76% shift from the previouse trading day's closing. The stock outperformed the S&P 500, which registered a daily gain of 0.06%. At the same time, the Dow added 0.13%, and the tech-heavy Nasdaq gained 0.24%.
Prior to today's trading, shares of the mobile payments services provider had gained 0.6% over the past month. This has lagged the Business Services sector's gain of 7.07% and the S&P 500's gain of 6.45% in that time.
Investors will be eagerly watching for the performance of Block in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on February 22, 2024. The company is expected to report EPS of $0.60, up 172.73% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $5.69 billion, up 22.33% from the prior-year quarter.
Investors should also take note of any recent adjustments 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.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 6.42% higher. Block is currently sporting a Zacks Rank of #3 (Hold).
In the context of valuation, Block is at present trading with a Forward P/E ratio of 22.88. This expresses a discount compared to the average Forward P/E of 23.96 of its industry.
Investors should also note that SQ has a PEG ratio of 0.66 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Technology Services was holding an average PEG ratio of 1.53 at yesterday's closing price.
The Technology Services industry is part of the Business Services sector. Currently, this industry holds a Zacks Industry Rank of 92, positioning it in the top 37% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.