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Block (SQ) Advances But Underperforms Market: Key Facts
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Block (SQ - Free Report) closed the latest trading day at $63.99, indicating a +0.5% change from the previous session's end. The stock fell short of the S&P 500, which registered a gain of 0.54% for the day. Meanwhile, the Dow gained 0.72%, and the Nasdaq, a tech-heavy index, added 0.65%.
Heading into today, shares of the mobile payments services provider had lost 0.9% over the past month, lagging the Business Services sector's gain of 7.34% and the S&P 500's gain of 4.86% in that time.
Investors will be eagerly watching for the performance of Block in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $0.88, marking a 60% rise compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $6.17 billion, indicating a 9.77% upward movement from the same quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $3.60 per share and revenue of $24.52 billion, indicating changes of +100% and +11.89%, respectively, compared to the previous year.
Investors should also pay attention to any latest changes in analyst estimates for Block. These recent revisions tend to reflect the evolving nature of short-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.33% higher. Right now, Block possesses a Zacks Rank of #3 (Hold).
Investors should also note Block's current valuation metrics, including its Forward P/E ratio of 17.69. This denotes a discount relative to the industry's average Forward P/E of 23.36.
Investors should also note that SQ has a PEG ratio of 0.53 right now. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The average PEG ratio for the Technology Services industry stood at 1.51 at the close of the market yesterday.
The Technology Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 73, which puts it in the top 29% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained 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) Advances But Underperforms Market: Key Facts
Block (SQ - Free Report) closed the latest trading day at $63.99, indicating a +0.5% change from the previous session's end. The stock fell short of the S&P 500, which registered a gain of 0.54% for the day. Meanwhile, the Dow gained 0.72%, and the Nasdaq, a tech-heavy index, added 0.65%.
Heading into today, shares of the mobile payments services provider had lost 0.9% over the past month, lagging the Business Services sector's gain of 7.34% and the S&P 500's gain of 4.86% in that time.
Investors will be eagerly watching for the performance of Block in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $0.88, marking a 60% rise compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $6.17 billion, indicating a 9.77% upward movement from the same quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $3.60 per share and revenue of $24.52 billion, indicating changes of +100% and +11.89%, respectively, compared to the previous year.
Investors should also pay attention to any latest changes in analyst estimates for Block. These recent revisions tend to reflect the evolving nature of short-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.33% higher. Right now, Block possesses a Zacks Rank of #3 (Hold).
Investors should also note Block's current valuation metrics, including its Forward P/E ratio of 17.69. This denotes a discount relative to the industry's average Forward P/E of 23.36.
Investors should also note that SQ has a PEG ratio of 0.53 right now. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The average PEG ratio for the Technology Services industry stood at 1.51 at the close of the market yesterday.
The Technology Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 73, which puts it in the top 29% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained 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.