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Investing.com - Macquarie has raised its price target on Block Inc. (NYSE:SQ) to $67.00 from $50.00 while maintaining a Neutral rating on the stock. The payment company, currently trading at $75.38 with a market capitalization of $45.87 billion, sees analyst targets ranging from $35 to $105.
The 34% increase in price target follows Block’s quarterly earnings results, which exceeded market expectations despite another Bitcoin-driven revenue miss, according to the research firm.
Block has raised its 2025 guidance based on the earnings beat and what Macquarie describes as "solid execution on new launches" across its payment ecosystem.
The research firm noted some positive developments for the payment company, including "Square buoyancy and earnings strength," but pointed out that Cash App’s Gross Payment Volume (GPV) continues to decline following what it called a "soft" first quarter.
Macquarie’s updated price target reflects higher estimates and a roll-forward to fiscal year 2026 estimates discounted to a one-year forward basis, though the firm maintained its Neutral stance citing ongoing "softness" in Cash App GPV and Square US GPV.
In other recent news, Block Inc. reported second-quarter earnings that surpassed market expectations, leading to several analysts raising their price targets for the company. Block’s strong performance was highlighted by a notable increase in gross profit and adjusted operating income, prompting the company to revise its fiscal year 2025 guidance upward. Analysts from Bernstein SocGen, Keefe, Bruyette & Woods, TD Cowen, Needham, and KeyBanc all increased their price targets for Block, with figures ranging from $95 to $100.
Bernstein SocGen and KBW both maintained an Outperform rating on Block, citing robust growth and a rebound in Cash App and Seller trends. TD Cowen pointed to a broad-based recovery with a reacceleration of Cash App gross profit, particularly in Borrow, Buy Now Pay Later, and Cash Card services. Needham emphasized strong growth in Block’s Square segment, driven by retail and mid-market customers, alongside Cash App’s performance. KeyBanc noted the company’s better-than-expected results and subsequent guidance increase as key factors in their decision. These developments reflect analyst optimism about Block’s continued growth trajectory.
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