Block Intrinsic Value Calculator – Square and Afterpay Sellers Reap the Benefits of Record Black Friday and Cyber Monday
November 29, 2023
☀️Trending News
BLOCK ($NYSE:SQ): Square and Afterpay sellers enjoyed the financial benefits of the record breaking sales during Black Friday and Cyber Monday. These figures represent the largest growth in sales both companies have seen, with record numbers of shoppers choosing to purchase products with the services. Square and Afterpay have become increasingly popular payment methods for many shoppers, who find the convenience of both services appealing. Through Square, customers can purchase items with their debit or credit card and pay with their Square account.
Meanwhile, Afterpay allows shoppers to pay for their items in four installments over six weeks, making it easier for shoppers to manage their payments. The record sales mean that sellers are able to increase their profits and grow their business further, while shoppers are able to take advantage of the convenience and flexibility of both services. With more shoppers turning to Square and Afterpay, it is likely that these record-breaking sales will continue into the future.
Market Price
On Tuesday, BLOCK, the company behind Square and Afterpay, saw a surge in their stock prices. The stock opened at $60.5 and closed at a record high of $63.3, up by 5.0% from prior closing price of 60.3. With record sales numbers reported from these two major shopping days, Square and Afterpay have been able to demonstrate their ability to capitalize on customer demand. As a result, BLOCK stands to benefit from the increased demand for their products and services. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Block. More…
| Total Revenues | Net Income | Net Margin |
| 20.79k | -282.12 | -1.3% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Block. More…
| Operations | Investing | Financing |
| 944.25 | 125.41 | -61.59 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Block. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 32.55k | 14.72k | 29.01 |
Key Ratios Snapshot
Some of the financial key ratios for Block are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 39.5% | – | -1.1% |
| FCF Margin | ROE | ROA |
| 3.8% | -0.8% | -0.4% |
Analysis – Block Intrinsic Value Calculator
We at GoodWhale performed an analysis of BLOCK‘s fundamentals and determined that the intrinsic value of BLOCK share is around $136.4. This was calculated by using our proprietary Valuation Line, which uses a range of fundamental and technical indicators to make accurate valuations. Currently, BLOCK stock is traded at $63.3, which is significantly undervalued by 53.6%. This presents a great opportunity for investors looking for a long-term investment in a promising company. More…
Peers
Its competitors are Affirm Holdings Inc, Fiserv Inc, Shopify Inc.
– Affirm Holdings Inc ($NASDAQ:AFRM)
Affirm Holdings Inc is a provider of financing options for consumers at the point of sale. Affirm’s mission is to empower consumers with honest financial products and services that drive economic growth. Affirm was founded in 2012 by Max Levchin, who also co-founded PayPal, and is headquartered in San Francisco, CA. Affirm allows consumers to pay for purchases over time with simple, transparent financing options that are integrated into the checkout process. Affirm partners with over 2,000 merchants across a variety of industries, including retail, travel, and home goods. Affirm’s products are designed to increase sales and conversion while providing a better experience for consumers. As of 2022, Affirm has a market cap of 5.11B and a return on equity of -19.16%.
– Fiserv Inc ($NASDAQ:FISV)
Fiserv, Inc. is a leading global provider of financial services technology solutions. The company serves more than 30,000 clients in over 100 countries, including banks, credit unions, securities and investment firms, retailers, merchants, government agencies and individual consumers. Fiserv is a member of the S&P 500® Index and the FORTUNE® 500, and is among FORTUNE World’s Most Admired Companies®. The company provides integrated technology solutions, including transaction processing, account processing, electronic bill payment and presentment, mobile banking, and customer relationship management (CRM) to financial institutions and other clients worldwide.
– Shopify Inc ($TSX:SHOP)
Shopify Inc is a Canadian e-commerce company headquartered in Ottawa, Ontario. It is also the name of its proprietary e-commerce platform for online stores and retail point-of-sale systems. Shopify offers online retailers a suite of services “including payments, marketing, shipping and customer engagement tools to simplify the process of running an online store for small merchants.
Summary
BLOCK provides an excellent investment opportunity as evidenced by Square and Afterpay’s record Black Friday and Cyber Monday sales. This increased demand for their products has been reflected in the stock price, which has increased significantly in recent days. This trend is likely to continue, given the increasing popularity of e-commerce and payment solutions. Investors should research the company further to make informed decisions and capitalize on the potential of this profitable growth stock.
