Block (NYSE:XYZ) Issues Earnings Results

Block (NYSE:XYZ) issued its earnings results on Wednesday. The technology company reported $1.02 earnings per share for the quarter, FiscalAI reports. The firm had revenue of $6.62 billion for the quarter. Block had a return on equity of 7.02% and a net margin of 3.30%.

Block Stock Performance

XYZ traded down $0.44 on Wednesday, hitting $84.20. The company had a trading volume of 6,940,340 shares, compared to its average volume of 6,794,182. The stock has a market cap of $50.11 billion, a price-to-earnings ratio of 65.78, a price-to-earnings-growth ratio of 1.03 and a beta of 2.53. The company has a debt-to-equity ratio of 0.26, a current ratio of 1.99 and a quick ratio of 1.99. The company’s fifty day moving average price is $76.29 and its 200 day moving average price is $67.72. Block has a 1-year low of $48.21 and a 1-year high of $86.75.

Insider Activity

In other news, Director Anthony Mathew Eisen sold 6,000 shares of the firm’s stock in a transaction dated Monday, August 3rd. The stock was sold at an average price of $81.52, for a total value of $489,120.00. Following the sale, the director directly owned 1,613,672 shares of the company’s stock, valued at approximately $131,546,541.44. This trade represents a 0.37% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders have sold 359,300 shares of company stock worth $27,640,276. 11.37% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the company. Capital World Investors lifted its holdings in shares of Block by 41.8% during the fourth quarter. Capital World Investors now owns 16,023,441 shares of the technology company’s stock valued at $1,042,966,000 after acquiring an additional 4,727,217 shares during the period. Geode Capital Management LLC grew its position in Block by 0.5% during the 4th quarter. Geode Capital Management LLC now owns 14,406,899 shares of the technology company’s stock worth $934,121,000 after acquiring an additional 67,560 shares during the last quarter. Ameriprise Financial Inc. acquired a new stake in Block during the 2nd quarter valued at $535,305,000. Norges Bank bought a new position in Block in the 4th quarter valued at $484,387,000. Finally, Tiger Global Management LLC boosted its stake in Block by 43.9% in the fourth quarter. Tiger Global Management LLC now owns 6,364,840 shares of the technology company’s stock worth $414,287,000 after purchasing an additional 1,941,528 shares in the last quarter. 70.44% of the stock is currently owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

Several brokerages recently commented on XYZ. Keefe, Bruyette & Woods boosted their target price on Block from $85.00 to $90.00 and gave the stock an “outperform” rating in a report on Friday, May 8th. Jefferies Financial Group began coverage on Block in a research note on Tuesday, June 30th. They issued a “hold” rating on the stock. Truist Financial boosted their price target on shares of Block from $82.00 to $93.00 and gave the stock a “buy” rating in a research report on Friday, July 24th. Deutsche Bank Aktiengesellschaft raised shares of Block to a “buy” rating in a research note on Tuesday, June 30th. Finally, BTIG Research reissued a “buy” rating and set a $90.00 price objective on shares of Block in a research note on Monday, July 27th. Three investment analysts have rated the stock with a Strong Buy rating, twenty-three have issued a Buy rating and ten have assigned a Hold rating to the company’s stock. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus price target of $89.40.

Block Company Profile

Block (NYSE:XYZ) is a financial technology company that builds products and services to facilitate electronic payments, commerce, and consumer finance. Its principal business lines include a seller-focused ecosystem that provides point-of-sale hardware and software, payment processing, invoicing, payroll and lending services, and a consumer-facing platform that offers peer-to-peer payments, banking-like features, and investing. Block’s portfolio also encompasses music streaming and buy-now-pay-later capabilities through businesses acquired to broaden its reach beyond core payments.

The company was founded as Square in 2009 by Jack Dorsey and Jim McKelvey and later rebranded to Block to reflect a diversified set of businesses across payments, consumer finance, and emerging technologies.