Block (NYSE:XYZ) Stock Price Target Raised at Rothschild & Co Redburn

Key Points

• Rothschild & Co Redburn raised Block’s price target from $75 to $85, a level about 1.1% below the stock’s then-current price of $85.92.
• Analyst sentiment is broadly positive: Block has a “Moderate Buy” consensus rating and an average price target of $99.34, with other brokerages also raising targets.
• Block’s latest quarter beat earnings expectations, reporting EPS of $1.13 versus $0.68 expected; revenue increased 9.9% year over year to $6.72 billion.

Block (NYSE:XYZ - Get Free Report) had its price objective hoisted by research analysts at Rothschild & Co Redburn from $75.00 to $85.00 in a research report issued to clients and investors on Tuesday. Rothschild & Co Redburn's target price indicates a potential downside of 1.07% from the company's current price.

A number of other brokerages also recently commented on XYZ. Wolfe Research boosted their price objective on Block from $100.00 to $115.00 and gave the stock an "outperform" rating in a research report on Tuesday, August 25th. Susquehanna upped their target price on shares of Block from $100.00 to $110.00 and gave the stock a "positive" rating in a research note on Wednesday. UBS Group set a $96.00 target price on shares of Block in a report on Thursday, October 15th. Cantor Fitzgerald reiterated an "overweight" rating and issued a $95.00 price target on shares of Block in a research note on Friday, September 25th. Finally, Citigroup upgraded shares of Block from a "buy" rating to an "outperform" rating in a report on Tuesday. Two research analysts have rated the stock with a Strong Buy rating, thirty have assigned a Buy rating and eleven have issued a Hold rating to the company. According to MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $99.34.

Block Stock Up 2.2%

NYSE:XYZ traded up $1.88 during midday trading on Tuesday, reaching $85.92. The company had a trading volume of 2,747,583 shares, compared to its average volume of 6,191,620. The firm has a market capitalization of $51.62 billion, a price-to-earnings ratio of 116.34, a PEG ratio of 0.92 and a beta of 2.58. The stock's fifty day simple moving average is $77.90 and its 200-day simple moving average is $71.39. Block has a 12-month low of $48.21 and a 12-month high of $88.51. The company has a current ratio of 2.23, a quick ratio of 2.21 and a debt-to-equity ratio of 0.25.

Block (NYSE:XYZ - Get Free Report) last issued its quarterly earnings results on Tuesday, November 3rd. The technology company reported $1.13 earnings per share for the quarter, topping the consensus estimate of $0.68 by $0.45. Block had a return on equity of 9.63% and a net margin of 1.80%. The company had revenue of $6.72 billion for the quarter. During the same quarter last year, the company earned $0.54 EPS. Block's revenue for the quarter was up 9.9% compared to the same quarter last year. On average, sell-side analysts anticipate that Block will post 2.75 earnings per share for the current fiscal year.

Insider Transactions at Block

In other news, Director Anthony Eisen sold 6,000 shares of the company's stock in a transaction dated Wednesday, October 28th. The stock was sold at an average price of $74.44, for a total transaction of $446,640.00. Following the completion of the transaction, the director directly owned 1,212,672 shares of the company's stock, valued at approximately $90,271,303.68. This represents a 0.49% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders sold 226,686 shares of company stock worth $17,861,807. 11.37% of the stock is owned by insiders.

Institutional Investors Weigh In On Block

Institutional investors have recently added to or reduced their stakes in the business. Fifth Third Bancorp raised its holdings in Block by 0.8% during the third quarter. Fifth Third Bancorp now owns 68,798 shares of the technology company's stock worth $5,059,000 after purchasing an additional 540 shares in the last quarter. Maryland State Retirement & Pension System lifted its position in shares of Block by 11.2% during the 3rd quarter. Maryland State Retirement & Pension System now owns 31,914 shares of the technology company's stock worth $2,347,000 after buying an additional 3,226 shares during the last quarter. Jacobi Capital Management LLC purchased a new stake in shares of Block during the 3rd quarter worth approximately $126,000. First Command Advisory Services Inc. boosted its holdings in shares of Block by 209.9% in the 3rd quarter. First Command Advisory Services Inc. now owns 2,950 shares of the technology company's stock valued at $217,000 after buying an additional 1,998 shares in the last quarter. Finally, Knights of Columbus Asset Advisors LLC acquired a new position in shares of Block in the 3rd quarter valued at $3,017,000. Hedge funds and other institutional investors own 70.44% of the company's stock.

Key Headlines Impacting Block

Here are the key news stories impacting Block this week:

• Positive Sentiment: Block’s third-quarter results beat expectations: earnings per share were $1.13 versus the $0.68 consensus, while revenue rose 9.9% year over year. Cash App lending and Square growth helped lift gross profit 22% to $3.24 billion, and the company raised its 2026 outlook. Shares recently reached a 52-week high following the results. Article: Block earnings lift outlook Article: Block Q3 earnings beat estimates
• Positive Sentiment: Several firms raised price targets, reinforcing optimism: Wells Fargo lifted its target to $110, TD Cowen to $109, Barclays and Argus to $105, and RBC to $103. Needham reiterated its Buy rating, while TD Cowen and Susquehanna also expressed expectations for further gains. Wells Fargo forecast Argus target increase Barclays target increase
• Positive Sentiment: Traders also purchased a large volume of Block call options, suggesting bullish positioning, though options activity can be speculative. Call options activity
• Neutral Sentiment: Morgan Stanley raised its target to $82 but maintained an Equal Weight rating; Scotiabank also kept a Sector Perform rating. Their views are more cautious than the broader cluster of Buy and Outperform calls.
• Negative Sentiment: Block is making its second round of job cuts this year, affecting employees in Cash App. The cuts may reduce costs, but the timing shortly after strong earnings could raise questions about staffing and business needs. Article: Block job cuts

About Block

Block, Inc is a financial technology company that provides payments, commerce, and financial services through an ecosystem of business and consumer products. Formerly known as Square, the company was co-founded by Jack Dorsey and Jim McKelvey and changed its corporate name to Block in 2021.

Its Square ecosystem serves businesses with point-of-sale hardware, payment processing, invoicing, payroll, inventory management, customer engagement, online commerce, and other software tools. Block also offers lending and other financial services to eligible business customers through Square-related products.

For consumers, Block operates Cash App, a mobile financial services platform that supports services such as peer-to-peer payments, money transfers, a Cash App Card, direct deposit, investing, and bitcoin transactions, subject to product and geographic availability.

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