BLOCK INC (XYZ) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:XYZ - US8522341036 - Common Stock
64.75 USD
+1.14 (+1.79%)
64.6 USD
-0.15 (-0.23%)
Overall XYZ gets a fundamental rating of 5 out of 10. We evaluated XYZ against 97 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
In the past year XYZ was profitable.
XYZ had a positive operating cash flow in the past year.
Of the past 5 years XYZ 4 years were profitable.
XYZ had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
XYZ has a Return On Assets of 8.00%. This is amongst the best in the industry. XYZ outperforms 83.51% of its industry peers.
Looking at the Return On Equity, with a value of 13.93%, XYZ is in the better half of the industry, outperforming 72.16% of the companies in the same industry.
XYZ has a Return On Invested Capital of 6.27%. This is in the better half of the industry: XYZ outperforms 69.07% 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
Looking at the Profit Margin, with a value of 13.08%, XYZ is in line with its industry, outperforming 57.73% of the companies in the same industry.
XYZ's Profit Margin has improved in the last couple of years.
With a Operating Margin value of 9.63%, XYZ perfoms like the industry average, outperforming 40.21% of the companies in the same industry.
In the last couple of years the Operating Margin of XYZ has grown nicely.
Looking at the Gross Margin, with a value of 40.87%, XYZ is in line with its industry, outperforming 57.73% of the companies in the same industry.
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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so XYZ is destroying value.
XYZ has more shares outstanding than it did 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
An Altman-Z score of 2.69 indicates that XYZ is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.69, XYZ belongs to the top of the industry, outperforming 82.47% of the companies in the same industry.
The Debt to FCF ratio of XYZ is 4.25, which is a neutral value as it means it would take XYZ, 4.25 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 4.25, XYZ is in the better half of the industry, outperforming 65.98% of the companies in the same industry.
A Debt/Equity ratio of 0.27 indicates that XYZ is not too dependend on debt financing.
XYZ has a Debt to Equity ratio (0.27) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 4.25 | ||
| Altman-Z | 2.69 |
ROIC/WACC0.77
WACC8.12%
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 better Current ratio (2.18) than 77.32% of its industry peers.
XYZ has a Quick Ratio of 2.17. This indicates that XYZ is financially healthy and has no problem in meeting its short term obligations.
With a decent Quick ratio value of 2.17, XYZ is doing good in the industry, outperforming 78.35% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.18 | ||
| Quick Ratio | 2.17 |
3. Growth
3.1 Past
The earnings per share for XYZ have decreased strongly by -21.86% in the last year.
XYZ shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 33.32% yearly.
XYZ shows a small growth in Revenue. In the last year, the Revenue has grown by 0.47%.
XYZ shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 38.62% yearly.
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-27.03%
EPS Next 2Y0.72%
EPS Next 3Y9.71%
EPS Next 5Y14.3%
Revenue Next Year-0.11%
Revenue Next 2Y4.74%
Revenue Next 3Y6.8%
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
A Price/Earnings ratio of 26.65 indicates a quite expensive valuation of XYZ.
Compared to the rest of the industry, the Price/Earnings ratio of XYZ indicates a slightly more expensive valuation: XYZ is more expensive than 65.98% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.54, XYZ is valued at the same level.
Based on the Price/Forward Earnings ratio of 18.94, the valuation of XYZ can be described as rather expensive.
XYZ's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. XYZ is more expensive than 60.82% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.78. XYZ is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.65 | ||
| Fwd PE | 18.94 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of XYZ is on the same level as its industry peers.
XYZ's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.48 | ||
| EV/EBITDA | 13.93 |
4.3 Compensation for Growth
XYZ has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.8
EPS Next 2Y0.72%
EPS Next 3Y9.71%
5. Dividend
5.1 Amount
XYZ does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
64.75
+1.14 (+1.79%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners81.16%
Inst Owner ChangeN/A
Ins Owners1.07%
Ins Owner Change-3.25%
Market Cap39.35B
Revenue(TTM)23.97B
Net Income(TTM)3.14B
Analysts79.17
Price Target85.61 (32.22%)
Short Float %3.7%
Short Ratio2.74
Dividend
| Industry Rank | Sector 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)-5.12%
PT rev (3m)-1.38%
EPS NQ rev (1m)-6%
EPS NQ rev (3m)-8.97%
EPS NY rev (1m)-6.81%
EPS NY rev (3m)-7.46%
Revenue NQ rev (1m)-1.3%
Revenue NQ rev (3m)-2.58%
Revenue NY rev (1m)-1.44%
Revenue NY rev (3m)-1.15%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.65 | ||
| Fwd PE | 18.94 | ||
| P/S | 1.64 | ||
| P/FCF | 21.48 | ||
| P/OCF | 19.95 | ||
| P/B | 1.75 | ||
| P/tB | 4.2 | ||
| EV/EBITDA | 13.93 |
EPS(TTM)2.43
EY3.75%
EPS(NY)3.42
Fwd EY5.28%
FCF(TTM)3.01
FCFY4.66%
OCF(TTM)3.25
OCFY5.01%
SpS39.45
BVpS37.04
TBVpS15.43
PEG (NY)N/A
PEG (5Y)0.8
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 | 2.69 |
F-Score7
WACC8.12%
ROIC/WACC0.77
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-27.03%
EPS Next 2Y0.72%
EPS Next 3Y9.71%
EPS Next 5Y14.3%
Revenue 1Y (TTM)0.47%
Revenue growth 3Y10.95%
Revenue growth 5Y38.62%
Sales Q2Q%2.33%
Revenue Next Year-0.11%
Revenue Next 2Y4.74%
Revenue Next 3Y6.8%
Revenue Next 5Y10.16%
EBIT growth 1Y56.58%
EBIT growth 3Y58.92%
EBIT growth 5Y61.5%
EBIT Next Year182.52%
EBIT Next 3Y61.09%
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 6 / 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 -27.03% in the next year.