BLOCK INC (SQ3.DE) Stock Fundamental Analysis

FRA:SQ3 • US8522341036

41.69 EUR
-3.9 (-8.55%)
Last: Feb 12, 2026, 07:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership
Fundamental Rating

5

Taking everything into account, SQ3 scores 5 out of 10 in our fundamental rating. SQ3 was compared to 59 industry peers in the Financial Services industry. SQ3 has an average financial health and profitability rating. SQ3 is not valued too expensively and it also shows a decent growth rate.


Dividend Valuation Growth Profitability Health

6

1. Profitability

1.1 Basic Checks

  • In the past year SQ3 was profitable.
  • In the past year SQ3 had a positive cash flow from operations.
  • SQ3 had positive earnings in 4 of the past 5 years.
  • Each year in the past 5 years SQ3 had a positive operating cash flow.
SQ3.DE Yearly Net Income VS EBIT VS OCF VS FCFSQ3.DE Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 1B 2B

1.2 Ratios

  • The Return On Assets of SQ3 (8.00%) is better than 91.53% of its industry peers.
  • Looking at the Return On Equity, with a value of 13.93%, SQ3 is in the better half of the industry, outperforming 69.49% of the companies in the same industry.
  • Looking at the Return On Invested Capital, with a value of 5.59%, SQ3 is in the better half of the industry, outperforming 69.49% of the companies in the same industry.
Industry RankSector Rank
ROA 8%
ROE 13.93%
ROIC 5.59%
ROA(3y)2.06%
ROA(5y)1.89%
ROE(3y)3.51%
ROE(5y)4.71%
ROIC(3y)N/A
ROIC(5y)N/A
SQ3.DE Yearly ROA, ROE, ROICSQ3.DE Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 10 -10 20 -20

1.3 Margins

  • Looking at the Profit Margin, with a value of 13.08%, SQ3 is in line with its industry, outperforming 52.54% of the companies in the same industry.
  • In the last couple of years the Profit Margin of SQ3 has grown nicely.
  • SQ3 has a Operating Margin (9.62%) which is comparable to the rest of the industry.
  • In the last couple of years the Operating Margin of SQ3 has grown nicely.
  • With a Gross Margin value of 40.87%, SQ3 perfoms like the industry average, outperforming 44.07% of the companies in the same industry.
  • In the last couple of years the Gross Margin of SQ3 has declined.
Industry RankSector Rank
OM 9.62%
PM (TTM) 13.08%
GM 40.87%
OM growth 3Y43.23%
OM growth 5Y16.51%
PM growth 3Y133.66%
PM growth 5Y8.56%
GM growth 3Y13.77%
GM growth 5Y-1.67%
SQ3.DE Yearly Profit, Operating, Gross MarginsSQ3.DE Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 10 -10 20 30 40

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ROAROEROICOperating and Profit MarginShow most profitable peers

6

2. Health

2.1 Basic Checks

  • SQ3 has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
  • SQ3 has more shares outstanding than it did 1 year ago.
  • SQ3 has more shares outstanding than it did 5 years ago.
  • Compared to 1 year ago, SQ3 has a worse debt to assets ratio.
SQ3.DE Yearly Shares OutstandingSQ3.DE Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M
SQ3.DE Yearly Total Debt VS Total AssetsSQ3.DE Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 10B 20B 30B

2.2 Solvency

  • An Altman-Z score of 2.38 indicates that SQ3 is not a great score, but indicates only limited risk for bankruptcy at the moment.
  • SQ3 has a Altman-Z score of 2.38. This is in the better half of the industry: SQ3 outperforms 69.49% of its industry peers.
  • The Debt to FCF ratio of SQ3 is 4.25, which is a neutral value as it means it would take SQ3, 4.25 years of fcf income to pay off all of its debts.
  • SQ3's Debt to FCF ratio of 4.25 is fine compared to the rest of the industry. SQ3 outperforms 69.49% of its industry peers.
  • SQ3 has a Debt/Equity ratio of 0.27. This is a healthy value indicating a solid balance between debt and equity.
  • With a decent Debt to Equity ratio value of 0.27, SQ3 is doing good in the industry, outperforming 67.80% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.27
Debt/FCF 4.25
Altman-Z 2.38
ROIC/WACC0.68
WACC8.17%
SQ3.DE Yearly LT Debt VS Equity VS FCFSQ3.DE Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5B 10B 15B 20B

2.3 Liquidity

  • SQ3 has a Current Ratio of 2.18. This indicates that SQ3 is financially healthy and has no problem in meeting its short term obligations.
  • SQ3 has a Current ratio of 2.18. This is in the better half of the industry: SQ3 outperforms 72.88% of its industry peers.
  • SQ3 has a Quick Ratio of 2.17. This indicates that SQ3 is financially healthy and has no problem in meeting its short term obligations.
  • Looking at the Quick ratio, with a value of 2.17, SQ3 is in the better half of the industry, outperforming 74.58% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 2.18
Quick Ratio 2.17
SQ3.DE Yearly Current Assets VS Current LiabilitesSQ3.DE Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 5B 10B 15B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

6

3. Growth

3.1 Past

  • SQ3 shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -21.86%.
  • The Earnings Per Share has been growing by 33.32% on average over the past years. This is a very strong growth
  • The Revenue has been growing slightly by 0.47% in the past year.
  • Measured over the past years, SQ3 shows a very strong growth in Revenue. The Revenue has been growing by 38.62% on average per year.
EPS 1Y (TTM)-21.86%
EPS 3Y25.38%
EPS 5Y33.32%
EPS Q2Q%-38.64%
Revenue 1Y (TTM)0.47%
Revenue growth 3Y10.95%
Revenue growth 5Y38.62%
Sales Q2Q%2.33%

3.2 Future

  • The Earnings Per Share is expected to grow by 14.30% on average over the next years. This is quite good.
  • SQ3 is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 10.16% yearly.
EPS Next Y-27.57%
EPS Next 2Y0.4%
EPS Next 3Y9.78%
EPS Next 5Y14.3%
Revenue Next Year-0.27%
Revenue Next 2Y4.83%
Revenue Next 3Y6.84%
Revenue Next 5Y10.16%

3.3 Evolution

  • The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
  • Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
SQ3.DE Yearly Revenue VS EstimatesSQ3.DE Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 10B 20B 30B 40B 50B
SQ3.DE Yearly EPS VS EstimatesSQ3.DE Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 0 5 10

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Find the best growth stocksShow best growing peers

4

4. Valuation

4.1 Price/Earnings Ratio

  • SQ3 is valuated rather expensively with a Price/Earnings ratio of 20.34.
  • SQ3's Price/Earnings is on the same level as the industry average.
  • The average S&P500 Price/Earnings ratio is at 27.67. SQ3 is valued slightly cheaper when compared to this.
  • With a Price/Forward Earnings ratio of 14.57, SQ3 is valued correctly.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of SQ3 is on the same level as its industry peers.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 27.69, SQ3 is valued a bit cheaper.
Industry RankSector Rank
PE 20.34
Fwd PE 14.57
SQ3.DE Price Earnings VS Forward Price EarningsSQ3.DE Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • 61.02% of the companies in the same industry are more expensive than SQ3, based on the Enterprise Value to EBITDA ratio.
  • The rest of the industry has a similar Price/Free Cash Flow ratio as SQ3.
Industry RankSector Rank
P/FCF 16.42
EV/EBITDA 10.73
SQ3.DE Per share dataSQ3.DE EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30

4.3 Compensation for Growth

  • SQ3 has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.61
EPS Next 2Y0.4%
EPS Next 3Y9.78%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. Dividend

5.1 Amount

  • SQ3 does not give a dividend.
Industry RankSector Rank
Dividend Yield 0%

More info and screens

Find the best dividend stocksShow peers with best dividend

BLOCK INC

FRA:SQ3 (2/12/2026, 7:00:00 PM)

41.69

-3.9 (-8.55%)

Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)11-06
Earnings (Next)02-26
Inst Owners81.09%
Inst Owner ChangeN/A
Ins Owners1.07%
Ins Owner ChangeN/A
Market Cap25.33B
Revenue(TTM)23.97B
Net Income(TTM)3.14B
Analysts79.17
Price Target72.56 (74.05%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-15.41%
Min EPS beat(2)-19.86%
Max EPS beat(2)-10.95%
EPS beat(4)0
Avg EPS beat(4)-21.66%
Min EPS beat(4)-36.25%
Max EPS beat(4)-10.95%
EPS beat(8)2
Avg EPS beat(8)-10.55%
EPS beat(12)5
Avg EPS beat(12)-5.99%
EPS beat(16)8
Avg EPS beat(16)1.09%
Revenue beat(2)0
Avg Revenue beat(2)-4.55%
Min Revenue beat(2)-5%
Max Revenue beat(2)-4.09%
Revenue beat(4)0
Avg Revenue beat(4)-5.5%
Min Revenue beat(4)-7.83%
Max Revenue beat(4)-4.09%
Revenue beat(8)2
Avg Revenue beat(8)-3.56%
Revenue beat(12)5
Avg Revenue beat(12)-0.95%
Revenue beat(16)7
Avg Revenue beat(16)-1.07%
PT rev (1m)-0.22%
PT rev (3m)-6.38%
EPS NQ rev (1m)-0.8%
EPS NQ rev (3m)-8.58%
EPS NY rev (1m)-0.17%
EPS NY rev (3m)-7.5%
Revenue NQ rev (1m)-0.66%
Revenue NQ rev (3m)-2.01%
Revenue NY rev (1m)-0.19%
Revenue NY rev (3m)-1.6%
Valuation
Industry RankSector Rank
PE 20.34
Fwd PE 14.57
P/S 1.25
P/FCF 16.42
P/OCF 15.25
P/B 1.34
P/tB 3.21
EV/EBITDA 10.73
EPS(TTM)2.05
EY4.92%
EPS(NY)2.86
Fwd EY6.86%
FCF(TTM)2.54
FCFY6.09%
OCF(TTM)2.73
OCFY6.56%
SpS33.23
BVpS31.19
TBVpS12.99
PEG (NY)N/A
PEG (5Y)0.61
Graham Number37.93
Profitability
Industry RankSector Rank
ROA 8%
ROE 13.93%
ROCE 7.93%
ROIC 5.59%
ROICexc 8%
ROICexgc 22.69%
OM 9.62%
PM (TTM) 13.08%
GM 40.87%
FCFM 7.64%
ROA(3y)2.06%
ROA(5y)1.89%
ROE(3y)3.51%
ROE(5y)4.71%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y19.01%
ROICexgc growth 5Y9.35%
ROICexc growth 3Y-9.27%
ROICexc growth 5Y-6.03%
OM growth 3Y43.23%
OM growth 5Y16.51%
PM growth 3Y133.66%
PM growth 5Y8.56%
GM growth 3Y13.77%
GM growth 5Y-1.67%
F-Score7
Asset Turnover0.61
Health
Industry RankSector Rank
Debt/Equity 0.27
Debt/FCF 4.25
Debt/EBITDA 2.27
Cap/Depr 38.96%
Cap/Sales 0.59%
Interest Coverage 9.59
Cash Conversion 73.93%
Profit Quality 58.41%
Current Ratio 2.18
Quick Ratio 2.17
Altman-Z 2.38
F-Score7
WACC8.17%
ROIC/WACC0.68
Cap/Depr(3y)42.7%
Cap/Depr(5y)103.65%
Cap/Sales(3y)0.77%
Cap/Sales(5y)1.1%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-21.86%
EPS 3Y25.38%
EPS 5Y33.32%
EPS Q2Q%-38.64%
EPS Next Y-27.57%
EPS Next 2Y0.4%
EPS Next 3Y9.78%
EPS Next 5Y14.3%
Revenue 1Y (TTM)0.47%
Revenue growth 3Y10.95%
Revenue growth 5Y38.62%
Sales Q2Q%2.33%
Revenue Next Year-0.27%
Revenue Next 2Y4.83%
Revenue Next 3Y6.84%
Revenue Next 5Y10.16%
EBIT growth 1Y56.5%
EBIT growth 3Y58.92%
EBIT growth 5Y61.5%
EBIT Next Year182.19%
EBIT Next 3Y61.16%
EBIT Next 5Y22.69%
FCF growth 1Y130.22%
FCF growth 3Y41.91%
FCF growth 5Y30.96%
OCF growth 1Y108.93%
OCF growth 3Y26.28%
OCF growth 5Y29.67%

BLOCK INC / SQ3.DE FAQ

What is the ChartMill fundamental rating of BLOCK INC (SQ3.DE) stock?

ChartMill assigns a fundamental rating of 5 / 10 to SQ3.DE.


What is the valuation status of BLOCK INC (SQ3.DE) stock?

ChartMill assigns a valuation rating of 3 / 10 to BLOCK INC (SQ3.DE). This can be considered as Overvalued.


What is the profitability of SQ3 stock?

BLOCK INC (SQ3.DE) has a profitability rating of 6 / 10.


What is the valuation of BLOCK INC based on its PE and PB ratios?

The Price/Earnings (PE) ratio for BLOCK INC (SQ3.DE) is 20.34 and the Price/Book (PB) ratio is 1.34.


What is the financial health of BLOCK INC (SQ3.DE) stock?

The financial health rating of BLOCK INC (SQ3.DE) is 6 / 10.