BLOCK INC (XYZ) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:XYZ - US8522341036 - Common Stock
61.11 USD
-1.08 (-1.74%)
61.1096 USD
0 (0%)
Taking everything into account, XYZ scores 5 out of 10 in our fundamental rating. XYZ was compared to 98 industry peers in the Financial Services industry. XYZ has an average financial health and profitability rating. XYZ is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year XYZ was profitable.
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
XYZ's Return On Assets of 8.00% is amongst the best of the industry. XYZ outperforms 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.
Looking at the Return On Invested Capital, with a value of 6.27%, XYZ is in the better half of the industry, outperforming 70.41% of the companies in the same industry.
| 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
With a Profit Margin value of 13.08%, XYZ perfoms like the industry average, outperforming 58.16% of the companies in the same industry.
In the last couple of years the Profit Margin of XYZ has grown nicely.
XYZ has a worse Operating Margin (9.63%) than 61.22% of its industry peers.
In the last couple of years the Operating Margin of XYZ has grown nicely.
XYZ has a Gross Margin (40.87%) which is in line with its industry peers.
XYZ's Gross Margin has declined in the last couple of years.
| 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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), XYZ is destroying value.
Compared to 1 year ago, XYZ has more shares outstanding
The number of shares outstanding for XYZ has been increased compared to 5 years ago.
The debt/assets ratio for XYZ is higher compared to a year ago.
2.2 Solvency
XYZ has an Altman-Z score of 2.64. 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.
Looking at the Altman-Z score, with a value of 2.64, XYZ belongs to the top of the industry, outperforming 82.65% of the companies in the same industry.
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.
Looking at the Debt to FCF ratio, with a value of 4.25, XYZ is in the better half of the industry, outperforming 68.37% of the companies in the same industry.
XYZ has a Debt/Equity ratio of 0.27. This is a healthy value indicating a solid balance between debt and equity.
XYZ's Debt to Equity ratio of 0.27 is fine compared to the rest 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 | 2.64 |
ROIC/WACC0.78
WACC8.05%
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's Current ratio of 2.18 is fine compared to the rest 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.
XYZ's Quick ratio of 2.17 is fine compared to the rest of the industry. XYZ outperforms 78.57% of its industry peers.
| 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.
The Earnings Per Share has been growing by 33.32% on average over the past years. This is a very strong growth
Looking at the last year, XYZ shows a small growth in Revenue. The Revenue has grown by 0.47% in the last 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
XYZ is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 14.30% yearly.
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
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 25.15, XYZ can be considered very expensive at the moment.
Based on the Price/Earnings ratio, XYZ is valued a bit more expensive than the industry average as 66.33% of the companies are valued more cheaply.
XYZ is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.46, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 17.87 indicates a rather expensive valuation of XYZ.
The rest of the industry has a similar Price/Forward Earnings ratio as XYZ.
When comparing the Price/Forward Earnings ratio of XYZ to the average of the S&P500 Index (36.10), we can say XYZ is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.15 | ||
| Fwd PE | 17.87 |
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.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of XYZ is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.27 | ||
| EV/EBITDA | 13.36 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.75
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 | N/A |
61.11
-1.08 (-1.74%)
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-3.36%
Market Cap37.13B
Revenue(TTM)23.97B
Net Income(TTM)3.14B
Analysts79.17
Price Target85.61 (40.09%)
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)-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 | 25.15 | ||
| Fwd PE | 17.87 | ||
| P/S | 1.55 | ||
| P/FCF | 20.27 | ||
| P/OCF | 18.83 | ||
| P/B | 1.65 | ||
| P/tB | 3.96 | ||
| EV/EBITDA | 13.36 |
EPS(TTM)2.43
EY3.98%
EPS(NY)3.42
Fwd EY5.59%
FCF(TTM)3.01
FCFY4.93%
OCF(TTM)3.25
OCFY5.31%
SpS39.45
BVpS37.04
TBVpS15.43
PEG (NY)N/A
PEG (5Y)0.75
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 | 2.64 |
F-Score7
WACC8.05%
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-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 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 -27.03% in the next year.