BLOCK INC (XYZ) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:XYZ - US8522341036 - Common Stock
60.11 USD
-4.24 (-6.59%)
60.65 USD
+0.54 (+0.9%)
Overall XYZ gets a fundamental rating of 5 out of 10. We evaluated XYZ against 98 industry peers in the Financial Services industry. Both the profitability and the financial health of XYZ get a neutral evaluation. Nothing too spectacular is happening here. While showing a medium growth rate, XYZ is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
XYZ had positive earnings in the past year.
In the past year XYZ had a positive cash flow from operations.
XYZ had positive earnings in 4 of the past 5 years.
Each year in the past 5 years XYZ had a positive operating cash flow.
1.2 Ratios
The Return On Assets of XYZ (8.00%) is better than 84.69% of its industry peers.
XYZ has a Return On Equity of 13.93%. This is in the better half of the industry: XYZ outperforms 73.47% of its industry peers.
The Return On Invested Capital of XYZ (6.27%) is better than 70.41% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8% | ||
| ROE | 13.93% | ||
| ROIC | 6.27% |
ROA(3y)2.06%
ROA(5y)1.89%
ROE(3y)3.51%
ROE(5y)4.71%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
XYZ's Profit Margin of 13.08% is in line compared to the rest of the industry. XYZ outperforms 58.16% of its industry peers.
In the last couple of years the Profit Margin of XYZ has grown nicely.
XYZ's Operating Margin of 9.63% is on the low side compared to the rest of the industry. XYZ is outperformed by 61.22% of its industry peers.
XYZ's Operating Margin has improved in the last couple of years.
XYZ has a Gross Margin of 40.87%. This is comparable to the rest of the industry: XYZ outperforms 58.16% of its industry peers.
In the last couple of years the Gross Margin of XYZ has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.63% | ||
| 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%
2. Health
2.1 Basic Checks
XYZ has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for XYZ has been increased compared to 1 year ago.
Compared to 5 years ago, XYZ has more shares outstanding
XYZ has a worse debt/assets ratio than last year.
2.2 Solvency
XYZ has an Altman-Z score of 2.61. This is not the best score and indicates that XYZ is in the grey zone with still only limited risk for bankruptcy at the moment.
XYZ has a Altman-Z score of 2.61. This is amongst the best in the industry. XYZ outperforms 82.65% of its industry peers.
XYZ has a debt to FCF ratio of 4.25. This is a neutral value as XYZ would need 4.25 years to pay back of all of its debts.
XYZ's Debt to FCF ratio of 4.25 is fine compared to the rest of the industry. XYZ outperforms 68.37% of its industry peers.
XYZ has a Debt/Equity ratio of 0.27. This is a healthy value indicating a solid balance between debt and equity.
XYZ has a Debt to Equity ratio of 0.27. This is in the better half of the industry: XYZ outperforms 60.20% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 4.25 | ||
| Altman-Z | 2.61 |
ROIC/WACC0.78
WACC7.99%
2.3 Liquidity
XYZ has a Current Ratio of 2.18. This indicates that XYZ is financially healthy and has no problem in meeting its short term obligations.
XYZ has a Current ratio of 2.18. This is in the better half of the industry: XYZ outperforms 77.55% of its industry peers.
A Quick Ratio of 2.17 indicates that XYZ has no problem at all paying its short term obligations.
With a decent Quick ratio value of 2.17, XYZ is doing good in the industry, outperforming 78.57% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.18 | ||
| Quick Ratio | 2.17 |
3. Growth
3.1 Past
XYZ shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -21.86%.
XYZ shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 33.32% yearly.
The Revenue has been growing slightly by 0.47% in the past year.
Measured over the past years, XYZ 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
Based on estimates for the next years, XYZ will show a quite strong growth in Earnings Per Share. The EPS will grow by 14.30% on average per year.
Based on estimates for the next years, XYZ will show a quite strong growth in Revenue. The Revenue will grow by 10.16% on average per year.
EPS Next Y-21.7%
EPS Next 2Y4.94%
EPS Next 3Y11.79%
EPS Next 5Y14.3%
Revenue Next Year1.35%
Revenue Next 2Y5.55%
Revenue Next 3Y6.48%
Revenue Next 5Y10.16%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of 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.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 24.74, XYZ is valued on the expensive side.
Based on the Price/Earnings ratio, XYZ is valued a bit more expensive than 64.29% of the companies in the same industry.
XYZ's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.15.
XYZ is valuated correctly with a Price/Forward Earnings ratio of 16.20.
XYZ's Price/Forward Earnings ratio is in line with the industry average.
The average S&P500 Price/Forward Earnings ratio is at 36.22. XYZ is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.74 | ||
| Fwd PE | 16.2 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as XYZ.
XYZ's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.94 | ||
| EV/EBITDA | 13.14 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.74
EPS Next 2Y4.94%
EPS Next 3Y11.79%
5. Dividend
5.1 Amount
No dividends for XYZ!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
60.11
-4.24 (-6.59%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners75.03%
Inst Owner ChangeN/A
Ins Owners1.03%
Ins Owner Change-3.36%
Market Cap36.53B
Revenue(TTM)23.97B
Net Income(TTM)3.14B
Analysts77.14
Price Target85.74 (42.64%)
Short Float %3.7%
Short Ratio2.74
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)-4.43%
PT rev (3m)-0.55%
EPS NQ rev (1m)-8.36%
EPS NQ rev (3m)-8.45%
EPS NY rev (1m)1.19%
EPS NY rev (3m)-0.7%
Revenue NQ rev (1m)-3.21%
Revenue NQ rev (3m)-3.03%
Revenue NY rev (1m)-0.06%
Revenue NY rev (3m)0.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.74 | ||
| Fwd PE | 16.2 | ||
| P/S | 1.52 | ||
| P/FCF | 19.94 | ||
| P/OCF | 18.52 | ||
| P/B | 1.62 | ||
| P/tB | 3.9 | ||
| EV/EBITDA | 13.14 |
EPS(TTM)2.43
EY4.04%
EPS(NY)3.71
Fwd EY6.17%
FCF(TTM)3.01
FCFY5.01%
OCF(TTM)3.25
OCFY5.4%
SpS39.45
BVpS37.04
TBVpS15.43
PEG (NY)N/A
PEG (5Y)0.74
Graham Number45
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8% | ||
| ROE | 13.93% | ||
| ROCE | 7.94% | ||
| ROIC | 6.27% | ||
| ROICexc | 8.99% | ||
| ROICexgc | 25.48% | ||
| OM | 9.63% | ||
| 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 Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 4.25 | ||
| Debt/EBITDA | 2.27 | ||
| Cap/Depr | 38.87% | ||
| Cap/Sales | 0.59% | ||
| Interest Coverage | 9.59 | ||
| Cash Conversion | 73.87% | ||
| Profit Quality | 58.41% | ||
| Current Ratio | 2.18 | ||
| Quick Ratio | 2.17 | ||
| Altman-Z | 2.61 |
F-Score7
WACC7.99%
ROIC/WACC0.78
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-21.7%
EPS Next 2Y4.94%
EPS Next 3Y11.79%
EPS Next 5Y14.3%
Revenue 1Y (TTM)0.47%
Revenue growth 3Y10.95%
Revenue growth 5Y38.62%
Sales Q2Q%2.33%
Revenue Next Year1.35%
Revenue Next 2Y5.55%
Revenue Next 3Y6.48%
Revenue Next 5Y10.16%
EBIT growth 1Y56.58%
EBIT growth 3Y58.92%
EBIT growth 5Y61.5%
EBIT Next Year187.09%
EBIT Next 3Y61.68%
EBIT Next 5Y22.69%
FCF growth 1Y130.2%
FCF growth 3Y41.91%
FCF growth 5Y30.96%
OCF growth 1Y108.9%
OCF growth 3Y26.28%
OCF growth 5Y29.67%
BLOCK INC / XYZ FAQ
Can you provide the ChartMill fundamental rating for BLOCK INC?
ChartMill assigns a fundamental rating of 5 / 10 to XYZ.
What is the valuation status for XYZ stock?
ChartMill assigns a valuation rating of 2 / 10 to BLOCK INC (XYZ). This can be considered as Overvalued.
How profitable is BLOCK INC (XYZ) stock?
BLOCK INC (XYZ) has a profitability rating of 5 / 10.
Can you provide the financial health for XYZ stock?
The financial health rating of BLOCK INC (XYZ) is 6 / 10.
What is the earnings growth outlook for BLOCK INC?
The Earnings per Share (EPS) of BLOCK INC (XYZ) is expected to decline by -21.7% in the next year.