SQ.US Weekly Report · 2026-W34
Overview
Block (SQ.US) remains halted this week with zero trading volume, preventing the formation of weekly price movements. The most recent K-line data available is from mid-January 2025, showing the stock having retreated to lower levels after last November’s peak. Current price of $86.96 represents a significant pullback from the year-end high of ~$92. The company’s latest earnings report (Q3 2024) marks a turnaround to profitability with quarterly EPS of $0.45 and revenue of $5.976 billion, continuing an improving trend that began in Q2.
Price Action and Technicals
The halt this week prevents access to intra-week trading data. Based on available K-line history, the last recorded close was January 17, 2025 at $86.96. Tracing back to late October 2024, the stock initially surged in early November (reaching $87.25 on November 12) but subsequently entered a pullback phase over the following two months, with prices stabilizing in the $86-93 range through mid-January. The most significant technical adjustment within the 60-day window occurred in late November, when prices dropped sharply to $69.03 on November 8 before bouncing back to $83.40 on November 11. This was followed by a relatively stable consolidation period.
On volume, mid-January daily trading averaged around 5.7 million shares, comparable to the October median of 4.7-4.8 million shares—no unusual volume surge detected. Turnover rate shows 0.00%, reflecting the current halted status.
Valuation Positioning
Current P/E stands at 52.31x with P/B at 2.69x. Against the valuation data backdrop, this P/E level ranks significantly elevated within the 12-month range—the industry median sits at just 13.28x, making SQ.US’s valuation premium approximately 4 times the sector average. However, this premium lacks proportional support from earnings history: Q3 2023 posted a loss of $0.15 per share, while the company only returned to profitability ($0.45 EPS) in Q3 2024. With annualized earnings still in early stages, the high valuation embeds a strong implicit forecast for accelerating future profit growth.
Earnings Delivery
Latest quarter (Q3 2024) shows EPS of $0.45, a complete turnaround from the $0.15 loss a year prior. Revenue reached $5.976 billion with 6.38% year-over-year growth.
Trend over recent quarters:
- Q3 2024: EPS $0.45, up sequentially from Q2’s $0.31
- Q2 2024: EPS $0.31 with revenue of $6.156 billion, up 11.21% YoY
Earnings improvement is being driven by steady revenue growth (Q2 already exceeded $6.1 billion) coupled with improved cost management. ROE in Q3 came in at 5.79%, declining sequentially from Q2’s 4.08%, yet marking a qualitative shift from Q3 2023’s -1.99%—signaling ongoing recovery in profitability.
Consensus EPS forecast in the latest snapshot shows mean of $4.17 and median of $4.18, implying approximately 9x upside from the current $0.45 quarterly run-rate. This expectations gap aligns with the elevated valuation, as the market prices in material earnings acceleration in subsequent periods.
This Week’s News
Weekly headlines center on Square and OpenTable partnership deepening, product innovation, and institutional positioning:
- 2026-08-21 Square And Opentable Deepen Strategic Partnership For Unified Dining, Guest And Payment Insights
- 2026-08-21 With industry consolidation looming, Block refreshes business payments
- 2026-08-20 Block Stock Slumps Despite Earnings Rising by 65%
- 2026-08-19 Block (NYSE:XYZ) Price Target Raised to $100.00 at Canaccord Genuity Group
- 2026-08-18 Cathie Wood Makes a $22M Bet on Block After Earnings, Sells Shopify and Palantir
- 2026-08-18 Cathie Wood’s Ark Invest buys $21 million in Block as stock drops 6%
- 2026-08-18 Block CFO and COO Amrita Ahuja disposes of $770,219 of common shares
- 2026-08-17 Square Credit Card Levels Up: Rewards Built for Small Businesses and a New Way to Pay Vendors
- 2026-08-16 Block director Anthony Mathew Eisen disposes of $1.44 million in common shares
- 2026-08-16 Block director Anthony Mathew Eisen sells 18,000 common shares for $1.44 million
Key Observations: Post-earnings stock pullback contrasts sharply with sustained institutional optimism. Canaccord Genuity raised price target to $100, while Cathie Wood’s Ark deployed over $20 million into the stock following the decline. Insider selling (CFO $770k, director $1.44M) remains typical during earnings seasons and insufficient to alter fundamental conviction. On products, Square’s refreshed business payment tools reflect competitive positioning amid industry consolidation, while OpenTable integration strengthens ecosystem cohesion.
Conclusion
Block trades halted this week with no transaction data available. The company has achieved turnaround from prior-year losses to $0.45 EPS, yet current 52x P/E reflects elevated valuation assumptions regarding future profit acceleration. Market consensus EPS near $4.17 embeds roughly 9x upside from current quarterly run-rate—creating a notable timing mismatch between near-term earnings delivery and valuation expectations. While the latest report beat forecast, stock price pressured lower, yet institutional conviction remains unwavering. Product innovation and capital deployment by top-tier funds during weakness both suggest the market is actively repricing the balance between current valuation and achievable future growth.