Benchmark Downgrades Block; Analyst Forecast Indicates Significant Upside

Fintel reports that on May 2, 2025, Benchmark downgraded its outlook for Block (XTRA:SQ3) from Buy to Hold.

Analyst Price Forecast Indicates 47.16% Upside Potential

As of April 24, 2025, the average one-year price target for Block is €75.73 per share. Projections range from a low of €45.17 to a high of €112.88. This average price target suggests an increase of 47.16% from its most recent closing price of €51.46 per share.

Projected Revenue and Earnings

The expected annual revenue for Block is €27.352 billion, indicating a 14.27% increase year-over-year. Additionally, the projected annual non-GAAP earnings per share (EPS) is €3.27.

Fund Sentiment Analysis

Currently, there are 1,813 funds or institutions reporting positions in Block. This reflects an increase of 126 owners, or 7.47%, in the last quarter. The average portfolio weight dedicated to SQ3 stands at 0.34%, up by 105.68%. Institutional ownership grew by 4.68% in the last three months, totaling 458.094 million shares.

Recent Activity of Major Shareholders

Vanguard Total Stock Market Index Fund (VTSMX) holds 17.548 million shares, representing 3.14% ownership, down from 17.637 million shares—an adjustment of 0.51%. However, they increased their allocation in SQ3 by 24.14% over the last quarter.

JPMorgan Chase owns 17.237 million shares, equating to 3.08% ownership, having increased from 15.888 million shares—a rise of 7.82%. Their portfolio allocation in SQ3 saw an increase of 34.59% this past quarter.

Meanwhile, Vanguard Mid-Cap Index Fund (VIMSX) has 12.028 million shares, indicating a 2.15% ownership, up from the previous 11.757 million shares—an increase of 2.25%. The firm raised its allocation in SQ3 by 28.54% in the last quarter.

Baillie Gifford holds 11.168 million shares, representing 2.00% ownership, increasing from 10.233 million shares, which is an uptick of 8.37%. Their portfolio allocation in SQ3 has grown by 41.87% this quarter.

Sands Capital Management owns 10.340 million shares, constituting 1.85% ownership; however, this reflects a decrease from their previous holding of 11.228 million shares, down 8.59%. Despite this, they increased their SQ3 allocation by 13.67% last quarter.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.