Block, Inc. (XYZ) Stock Analysis — Fair Value, Risk & Moat Rating
NYQ · Technology · Software - Infrastructure
Is Block, Inc. a safe investment right now?
Block, Inc.'s Altman Z-Score of 2.9 places it in the gray zone. Our fair value estimate is $79.11 (Watch Zone). Moat rating: 2.9/5 stars.
Could Block, Inc. go bankrupt? Altman Z-Score analysis
Z-Score of 2.9 places the company in the gray zone (1.8-3.0), warranting closer scrutiny.
- Below 1.8 — Distress Zone (high bankruptcy risk)
- 1.8 to 3.0 — Gray Zone (elevated uncertainty)
- Above 3.0 — Safe Zone (financially healthy)
What drives XYZ's Z-Score?
| Component | Formula | Value | Weight | Contribution |
|---|---|---|---|---|
| A · Working Capital / Total Assets | WC / TA | 0.3154 | 1.2 | 0.38 |
| B · Retained Earnings / Total Assets | RE / TA | 0.0929 | 1.4 | 0.13 |
| C · EBIT / Total Assets | EBIT / TA | 0.077 | 3.3 | 0.25 |
| D · Market Cap / Total Liabilities | MCap / TL | 2.5349 | 0.6 | 1.52 |
| E · Revenue / Total Assets | Rev / TA | 0.6117 | 1.0 | 0.61 |
How has XYZ's financial health changed over time?
| Year | Z-Score | Zone |
|---|---|---|
| 2022 | 2.68 | Gray |
| 2023 | 2.85 | Gray |
| 2024 | 2.97 | Gray |
| 2025 | 2.9 | Gray |
Source: Calculated from XYZ's latest 10-K filing on SEC EDGAR.
What is Block, Inc. actually worth?
How we calculated this
| Input | Value | Source |
|---|---|---|
| Predicted EPS (α) | $2.70 | Proprietary blend of reported actuals + analyst consensus, weighted by α |
| Last Year EPS | $2.10 | Annual report (SEC EDGAR) |
| Analyst Consensus EPS (This Year) | $3.61 | 39 analysts consensus |
| Trailing P/E | 34.5x | Current market pricing |
| Fair P/E (β discount) | 29.3x | Trailing PE adjusted by value discount factor β, hard-capped |
| Earnings Trend (γ) | Accelerating | Directional signal: predicted vs trailing EPS |
Wall Street Reference: Analyst consensus target price is $85.90 (39 analysts). This is shown for reference only and is not used in our valuation model.
Source: Earnings data from SEC EDGAR filings. Market data via Yahoo Finance.
Does Block, Inc. have a durable competitive advantage?
Moat rating: 2.9/5.
What makes up XYZ's moat score?
ROIC Stability
ROIC variability over the past decade. Score: 2/5.
Gross Margin Trend
Gross margin trajectory over the past decade. Score: 4/5.
Switching Costs
Estimated customer lock-in based on margin level. Score: 3/5.
How stable is XYZ's return on invested capital?
| Year | ROIC | Trend |
|---|---|---|
| 2022 | -0.1% | — |
| 2023 | 1.6% | Rising |
| 2024 | 5.8% | Rising |
| 2025 | 9.9% | Rising |
Source: ROIC calculated from SEC EDGAR filings.
Is Block, Inc.'s dividend safe?
Block, Inc.'s key financial metrics
| Metric | Latest | 1Y Ago | 3Y Ago | Trend |
|---|---|---|---|---|
| Revenue | $24.2B | $24.1B | $17.5B | Rising |
| Net Income | $1.3B | $2.9B | −$0.5B | Rising |
| Free Cash Flow | $2.4B | $1.6B | $0.0B | Rising |
| Gross Margin | 42.8% | 36.9% | 34.2% | Rising |
Recent events that affect our XYZ analysis
XYZ earnings report scheduled
Upcoming report. Consensus EPS estimate: $0.68. Revenue estimate: $6.10B. Our current Fair Value: $79.11 — a significant beat or miss could shift this estimate.
XYZ analyst consensus: 82% bullish (36 of 44 analysts)
8 Strong Buy, 28 Buy, 7 Hold, 0 Sell, 1 Strong Sell. Consensus target: $85.90 (18.5% upside). Compare with our independent Fair Value: $79.11.
XYZ beat EPS estimates by 0.1%
Reported EPS: $0.65 vs estimate $0.65. Earnings strength supports our Fair Value of $79.11 (9.1% above current price).
XYZ filed annual report (10-K)
Annual filing with full-year financials. Our Altman Z-Score, Moat, and Fair Value models are derived from this data. View on SEC EDGAR →
XYZ filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
XYZ filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
XYZ filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
XYZ filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
XYZ missed EPS estimates by 18.1%
Reported EPS: $0.54 vs estimate $0.66. Our Fair Value of $79.11 may face downward pressure if the trend continues.
XYZ filed quarterly report (10-Q)
Quarterly update with interim financials. May signal changes to earnings trajectory and balance sheet health. View on SEC EDGAR →
XYZ filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
XYZ filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
XYZ filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
XYZ missed EPS estimates by 5.9%
Reported EPS: $0.62 vs estimate $0.66. Our Fair Value of $79.11 may face downward pressure if the trend continues.
XYZ filed quarterly report (10-Q)
Quarterly update with interim financials. May signal changes to earnings trajectory and balance sheet health. View on SEC EDGAR →
XYZ filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
XYZ filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
XYZ missed EPS estimates by 38.9%
Reported EPS: $0.56 vs estimate $0.92. Our Fair Value of $79.11 may face downward pressure if the trend continues.
XYZ filed quarterly report (10-Q)
Quarterly update with interim financials. May signal changes to earnings trajectory and balance sheet health. View on SEC EDGAR →
XYZ filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
XYZ filed annual report (10-K)
Annual filing with full-year financials. Our Altman Z-Score, Moat, and Fair Value models are derived from this data. View on SEC EDGAR →
XYZ missed EPS estimates by 18.8%
Reported EPS: $0.71 vs estimate $0.87. Our Fair Value of $79.11 may face downward pressure if the trend continues.
XYZ filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
XYZ filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
Common questions about Block, Inc.
What is Block, Inc. stock price today?
Block, Inc. (XYZ) stock price is $72.50 as of the latest market close, traded on the NYSE exchange.
What does Block, Inc. do?
Block, Inc., together with its subsidiaries, builds ecosystems focused on commerce and financial products and services in the United States and internationally. It operates through two segments: Square and Cash App. The Square segment offers managed payment services; software solutions; hardware products, such as registers, terminals, stands, and readers for contactless and chips; banking services consisting of lending, instant transfer, and checking and savings accounts; and full-service setup and support services.
What is Block, Inc. market cap?
Block, Inc. has a market capitalization of $44.06B, classifying it as a large-cap stock in the Technology sector.
What sector and industry is XYZ in?
Block, Inc. operates in the Technology sector, specifically within the Software - Infrastructure industry. It trades on the NYSE under the ticker symbol XYZ.
Is XYZ stock overvalued or undervalued?
Based on our valuation model, Block, Inc. trades 8.4% below our fair value estimate — potentially undervalued.
- FairValueLabs Fair Value: $79.11
- Current Price: $72.50
- Valuation Zone: Watch Zone
What is XYZ stock forecast and analyst target price?
Based on 39 Wall Street analysts, the consensus price target for Block, Inc. is $85.90, implying upside of 18.5% from the current price.
- Analyst High Target: $119.16
- Analyst Low Target: $51.00
Note: Analyst targets are shown for reference and are not used in our valuation model.
Is Block, Inc. revenue and earnings growing?
Here are the analyst consensus growth estimates for Block, Inc.:
- Revenue growth (current year est.): 9.3%
- EPS growth (current year est.): 52.4%
- Revenue growth (next year est.): 11.1%
- EPS growth (next year est.): 31.8%
What are Block, Inc.'s key financial metrics?
| Metric | Latest | Trend |
|---|---|---|
| Revenue | $24.2B | Rising |
| Net Income | $1.3B | Rising |
| Free Cash Flow | $2.4B | Rising |
| Gross Margin | 42.8% | Rising |
What is XYZ's P/E ratio?
The price-to-earnings ratio measures how much investors pay per dollar of earnings:
- Trailing P/E (last 12 months): 34.5x
- Forward P/E (next 12 months est.): 15.2x
- FairValueLabs Fair P/E: 29.3x
How volatile is XYZ stock?
Block, Inc. has a beta of 2.61, meaning it is significantly more volatile than the broader market. A beta above 1.0 indicates higher price swings relative to the S&P 500, while below 1.0 suggests more stability.
How much cash and debt does Block, Inc. have?
Block, Inc.'s balance sheet shows:
- Total Cash: $7.19B
- Total Debt: $8.97B
- Net Cash Position: $-1.77B
A positive net cash position means the company holds more cash than debt, reducing financial risk.
What is Block, Inc.'s free cash flow?
Block, Inc. generated $-1.03B in trailing twelve-month free cash flow (from $2.58B in operating cash flow). Free cash flow represents the cash available for dividends, buybacks, and debt reduction after all capital expenditures.
Does Block, Inc. pay a dividend?
Block, Inc. does not currently pay a regular dividend to shareholders. The company may be reinvesting all profits back into growth, or it may have suspended its dividend.
Is Block, Inc. at risk of going bankrupt?
Block, Inc.'s Altman Z-Score is 2.90, placing it in the gray zone (1.8–3.0) — some financial uncertainty. The Z-Score uses five balance sheet ratios to predict bankruptcy probability within two years.
Does Block, Inc. have a durable competitive advantage?
Block, Inc. scores 2.9/5 stars (Narrow moat · eroding) in our moat analysis:
- ROIC Stability: 2/5
- Gross Margin Trend: 4/5
- Switching Costs: 3/5
A score above 3.5 suggests meaningful pricing power and a defensible market position.
What is XYZ's return on equity (ROE)?
Block, Inc.'s return on equity is 6.0%. ROE measures how efficiently a company generates profits from shareholder equity. An ROE above 15% is generally considered strong, while below 10% may signal inefficiency.
How do I buy XYZ stock?
XYZ shares can be purchased through any brokerage account that provides access to the NYSE. Common steps:
- Open an account with a broker (e.g., Fidelity, Schwab, Interactive Brokers)
- Search for ticker symbol XYZ
- Place a market or limit order for your desired number of shares
This is not investment advice. Always do your own research before buying any stock.
Is XYZ a value stock or speculative?
FairValueLabs classifies Block, Inc. as Value Investment. It exhibits consistent profitability, reasonable valuation, and financial stability — characteristics of a traditional value investment.
What is XYZ's earnings per share (EPS)?
Earnings per share measures the company's profit allocated to each outstanding share:
- Trailing EPS (last 12 months): $2.10
- Forward EPS (next 12 months est.): $4.78
- Analyst consensus EPS (this year): $3.61
- Analyst consensus EPS (next year): $4.76
Other Technology companies analyzed by FairValueLabs
FairValueLabs Disclaimer
All valuations, scores, ratings, and classifications on this page are produced by the FairValueLabs internal valuation system. They do not represent actual market value, guaranteed outcomes, or professional investment advice. These are analytical estimates for educational and research purposes only.
This is not financial advice. All data is sourced from SEC EDGAR public filings. Always consult a qualified financial advisor before making investment decisions.
Last updated: Apr 22, 2026. Data sources: SEC EDGAR (financial statements), Yahoo Finance (market data, analyst consensus). Data may not reflect the most recent quarter.
XYZ analysis methodology: How we calculate fair value, Z-Scores, and moat ratings