Block (NYSE:XYZ) Stock Keeps “Outperform” Rating at Royal Bank Of Canada

Block (NYSE:XYZ)‘s stock had its “outperform” rating restated by equities research analysts at Royal Bank Of Canada in a research report issued to clients and investors on Wednesday, Benzinga reports. They currently have a $95.00 price objective on the technology company’s stock. Royal Bank Of Canada‘s price objective would suggest a potential upside of 21.47% from the company’s current price.

XYZ has been the topic of a number of other reports. Truist Financial upped their price objective on Block from $82.00 to $93.00 and gave the company a “buy” rating in a report on Friday, July 24th. William Blair cut Block to a “market perform” rating in a research note on Tuesday, June 30th. UBS Group set a $96.00 target price on Block in a research report on Thursday, October 15th. Wolfe Research upped their price target on Block from $100.00 to $115.00 and gave the company an “outperform” rating in a research note on Tuesday, August 25th. Finally, Robert W. Baird upped their price target on Block from $105.00 to $106.00 and gave the company an “outperform” rating in a research note on Friday, October 2nd. Four analysts have rated the stock with a Strong Buy rating, twenty-nine have assigned a Buy rating and nine have assigned a Hold rating to the stock. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average price target of $95.55.

Block Trading Up 0.1%

Block stock traded up $0.11 during midday trading on Wednesday, hitting $78.21. 2,821,003 shares of the stock were exchanged, compared to its average volume of 6,160,633. The company has a current ratio of 2.21, a quick ratio of 2.21 and a debt-to-equity ratio of 0.26. The stock’s 50-day simple moving average is $78.72 and its 200 day simple moving average is $75.26. Block has a fifty-two week low of $48.21 and a fifty-two week high of $86.92. The stock has a market capitalization of $46.99 billion, a price-to-earnings ratio of 139.65, a PEG ratio of 0.81 and a beta of 2.55.

Block (NYSE:XYZ) last posted its earnings results on Wednesday, August 5th. The technology company reported $1.02 earnings per share for the quarter, beating the consensus estimate of $0.48 by $0.54. Block had a net margin of 1.43% and a return on equity of 8.10%. The company had revenue of $6.62 billion for the quarter. During the same quarter in the previous year, the firm earned $0.62 earnings per share. The business’s revenue for the quarter was up 9.3% compared to the same quarter last year. Block has set its FY 2026 guidance at 4.020-4.020 EPS and its Q3 2026 guidance at 1.020-1.020 EPS. On average, equities analysts anticipate that Block will post 2.74 EPS for the current year.

Insiders Place Their Bets

In other Block news, Director Anthony Eisen sold 6,000 shares of the business’s stock in a transaction that occurred on Monday, October 19th. The stock was sold at an average price of $78.58, for a total value of $471,480.00. Following the sale, the director owned 1,254,672 shares of the company’s stock, valued at $98,592,125.76. The trade was a 0.48% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders have sold 308,565 shares of company stock valued at $24,872,046. 11.37% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently modified their holdings of the company. BlackRock Inc. acquired a new stake in Block in the second quarter valued at approximately $621,703,000. Hyperion Asset Management Ltd raised its holdings in Block by 6.9% during the second quarter. Hyperion Asset Management Ltd now owns 2,682,854 shares of the technology company’s stock worth $203,897,000 after purchasing an additional 172,848 shares in the last quarter. Arrowstreet Capital Limited Partnership raised its holdings in Block by 528.2% during the first quarter. Arrowstreet Capital Limited Partnership now owns 3,309,296 shares of the technology company’s stock worth $199,153,000 after purchasing an additional 2,782,523 shares in the last quarter. Dimensional Fund Advisors LP raised its holdings in Block by 1.3% during the first quarter. Dimensional Fund Advisors LP now owns 3,147,988 shares of the technology company’s stock worth $189,353,000 after purchasing an additional 39,112 shares in the last quarter. Finally, Sumitomo Mitsui Trust Group Inc. raised its holdings in Block by 1.0% during the first quarter. Sumitomo Mitsui Trust Group Inc. now owns 2,624,534 shares of the technology company’s stock worth $157,944,000 after purchasing an additional 25,067 shares in the last quarter. 70.44% of the stock is currently owned by hedge funds and other institutional investors.

Block Company Profile

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.