Block (NYSE:XYZ) Stock Price Down 5.4% – Here’s Why

by · The Cerbat Gem

Block, Inc. (NYSE:XYZ – Get Free Report)’s stock price dropped 5.4% during mid-day trading on Tuesday . The company traded as low as $61.11 and last traded at $60.8750. Approximately 8,150,461 shares changed hands during mid-day trading, a decline of 10% from the average daily volume of 9,015,761 shares. The stock had previously closed at $64.35.

Wall Street Analysts Forecast Growth

Several analysts recently commented on XYZ shares. The Goldman Sachs Group dropped their price target on Block from $96.00 to $82.00 and set a “buy” rating for the company in a research report on Friday, November 7th. Keefe, Bruyette & Woods lifted their target price on shares of Block from $80.00 to $95.00 and gave the stock an “outperform” rating in a research note on Friday, August 8th. Cowen reiterated a “buy” rating on shares of Block in a research report on Friday, August 8th. Citigroup raised shares of Block to a “strong-buy” rating in a research note on Thursday, October 23rd. Finally, Canaccord Genuity Group restated a “buy” rating and set a $80.00 price target on shares of Block in a research report on Tuesday, September 23rd. Three analysts have rated the stock with a Strong Buy rating, twenty-one have issued a Buy rating, twelve have assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average price target of $83.42.

Check Out Our Latest Stock Report on Block

Block Stock Up 1.8%

The company has a debt-to-equity ratio of 0.25, a current ratio of 2.18 and a quick ratio of 2.18. The business’s 50 day simple moving average is $70.88 and its 200 day simple moving average is $70.88. The company has a market capitalization of $37.78 billion, a PE ratio of 12.54, a P/E/G ratio of 2.43 and a beta of 2.65.

Block (NYSE:XYZ – Get Free Report) last posted its quarterly earnings results on Thursday, November 6th. The technology company reported $0.54 earnings per share for the quarter, beating the consensus estimate of $0.25 by $0.29. The business had revenue of $6.11 billion during the quarter. Block had a net margin of 12.99% and a return on equity of 5.54%. The business’s quarterly revenue was up 2.3% on a year-over-year basis. During the same period last year, the company earned $0.53 EPS. As a group, analysts anticipate that Block, Inc. will post 2.54 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, insider Owen Britton Jennings sold 10,417 shares of the company’s stock in a transaction on Friday, November 21st. The stock was sold at an average price of $61.40, for a total value of $639,603.80. Following the transaction, the insider owned 243,540 shares of the company’s stock, valued at $14,953,356. This represents a 4.10% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, insider Brian Grassadonia sold 35,145 shares of the stock in a transaction on Wednesday, October 8th. The stock was sold at an average price of $80.00, for a total value of $2,811,600.00. Following the transaction, the insider owned 535,896 shares of the company’s stock, valued at approximately $42,871,680. This represents a 6.15% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 99,198 shares of company stock valued at $6,968,155 in the last ninety days. Company insiders own 10.85% of the company’s stock.

Institutional Trading of Block

Several institutional investors and hedge funds have recently bought and sold shares of XYZ. S Bank Fund Management Ltd acquired a new stake in shares of Block during the second quarter valued at about $92,000. Praxis Investment Management Inc. purchased a new position in shares of Block during the 2nd quarter worth approximately $508,000. Nordea Investment Management AB acquired a new stake in Block in the 2nd quarter valued at approximately $3,105,000. SilverOak Wealth Management LLC acquired a new stake in Block in the 2nd quarter valued at approximately $218,000. Finally, Private Trust Co. NA purchased a new stake in Block in the second quarter valued at approximately $94,000. 70.44% of the stock is currently owned by hedge funds and other institutional investors.

About Block

(Get Free Report)

Square, Inc provides payment and point-of-sale solutions in the United States and internationally. The company's commerce ecosystem includes point-of-sale software and hardware that enables sellers to turn mobile and computing devices into payment and point-of-sale solutions. It offers hardware products, including Magstripe reader, which enables swiped transactions of magnetic stripe cards; Contactless and chip reader that accepts EMV® chip cards and Near Field Communication payments; Chip card reader, which accepts EMV® chip cards and enables swiped transactions of magnetic stripe cards; Square Stand, which enables an iPad to be used as a payment terminal or full point of sale solution; and Square Register that combines its hardware, point-of-sale software, and payments technology, as well as managed payments solutions.

Recommended Stories