Block (NYSE:XYZ) Sets New 52-Week Low – What’s Next?

Block, Inc. (NYSE:XYZ) reached a new 52-week low during trading on Monday . The stock traded as low as $54.83 and last traded at $54.85, with a volume of 6303930 shares changing hands. The stock had previously closed at $60.00.

Wall Street Analyst Weigh In

Several equities analysts recently weighed in on the stock. Canaccord Genuity Group decreased their target price on shares of Block from $120.00 to $100.00 and set a “buy” rating for the company in a research note on Friday, February 21st. Sanford C. Bernstein set a $100.00 price objective on shares of Block in a research report on Saturday. UBS Group dropped their target price on shares of Block from $98.00 to $97.00 and set a “buy” rating on the stock in a report on Friday, February 21st. Wells Fargo & Company lifted their price target on Block from $85.00 to $95.00 and gave the stock an “overweight” rating in a report on Thursday, January 16th. Finally, Barclays lowered their price target on Block from $112.00 to $97.00 and set an “overweight” rating on the stock in a research report on Monday, February 24th. Six analysts have rated the stock with a hold rating and twenty-five have issued a buy rating to the company. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $95.62.

Block Stock Performance

The company has a market capitalization of $34.60 billion, a P/E ratio of 12.28, a price-to-earnings-growth ratio of 0.72 and a beta of 2.78. The company has a quick ratio of 2.07, a current ratio of 2.07 and a debt-to-equity ratio of 0.26.

Block (NYSE:XYZ) last issued its quarterly earnings results on Thursday, February 20th. The technology company reported $0.26 EPS for the quarter, missing analysts’ consensus estimates of $0.37 by ($0.11). Block had a return on equity of 5.80% and a net margin of 11.92%. The company had revenue of $6.03 billion during the quarter, compared to the consensus estimate of $6.23 billion. On average, equities analysts forecast that Block, Inc. will post 2.54 earnings per share for the current year.

Insider Activity

In related news, insider Owen Britton Jennings sold 2,836 shares of the firm’s stock in a transaction dated Thursday, January 2nd. The stock was sold at an average price of $89.38, for a total value of $253,481.68. Following the sale, the insider now directly owns 195,449 shares of the company’s stock, valued at $17,469,231.62. This trade represents a 1.43 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, insider Brian Grassadonia sold 3,253 shares of Block stock in a transaction that occurred on Monday, February 24th. The shares were sold at an average price of $68.01, for a total transaction of $221,236.53. Following the sale, the insider now directly owns 548,597 shares in the company, valued at $37,310,081.97. This trade represents a 0.59 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders sold 21,967 shares of company stock worth $1,649,113. 10.49% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of the company. Southpoint Capital Advisors LP acquired a new stake in Block during the 3rd quarter worth approximately $114,121,000. Massachusetts Financial Services Co. MA raised its stake in shares of Block by 770.0% during the third quarter. Massachusetts Financial Services Co. MA now owns 1,738,708 shares of the technology company’s stock valued at $116,719,000 after acquiring an additional 1,538,849 shares during the last quarter. Woodson Capital Management LP bought a new position in shares of Block during the third quarter valued at $27,255,000. Azora Capital LP lifted its holdings in shares of Block by 358.4% during the third quarter. Azora Capital LP now owns 503,402 shares of the technology company’s stock worth $33,793,000 after purchasing an additional 393,593 shares during the period. Finally, Graypoint LLC acquired a new stake in Block in the fourth quarter valued at $32,445,000. 70.44% of the stock is currently owned by institutional investors.

Block Company Profile

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.