Is Block Stock a Buy? Experts Evaluate the Future Prospects

Saturday, 9 March 2024, 12:55

Block (NYSE: SQ) has shown impressive financial growth and profitability potential in the latest results. With a focus on efficiency and expanding user base, Block aims to capitalize on the fintech market. Investors are presented with a compelling opportunity to consider the current valuation and long-term potential for Block stock.
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Is Block Stock a Buy? Experts Evaluate the Future Prospects

On the path to bigger profits

This growth business could start to generate sizable earnings. Block pleased investors when it revealed its financial results for the last three months of 2023. Gross profit surged 22% on a year-over-year basis, with double-digit percentage gains for both Square and Cash App.

This business is picking up steam

In 2023, Block's operating expenses were up 18% year over year, trailing the 25% jump in gross profit. This helped result in net income of $9.8 million for the full year, a welcome surprise.

Powering the financial lives of its users

When considering what would happen if the business didn't exist, it's clear Block has an economic moat, particularly around switching costs. Merchants who use Square's offerings are unlikely to change providers.


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


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