BLOCK INC (XYZ) Stock Fundamental Analysis
USA - NYSE:XYZ - US8522341036 - Common Stock
65.77 USD
-0.14 (-0.21%)
65.54 USD
-0.23 (-0.35%)
Overall XYZ gets a fundamental rating of 5 out of 10. We evaluated XYZ against 97 industry peers in the Financial Services industry. XYZ has only an average score on both its financial health and profitability. 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.
XYZ had a positive operating cash flow in the past year.
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
With an excellent Return On Assets value of 8.00%, XYZ belongs to the best of the industry, outperforming 84.54% of the companies in the same industry.
XYZ's Return On Equity of 13.93% is fine compared to the rest of the industry. XYZ outperforms 70.10% 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 70.10% 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
The Profit Margin of XYZ (13.08%) is comparable to the rest of the industry.
In the last couple of years the Profit Margin of XYZ has grown nicely.
With a Operating Margin value of 9.63%, XYZ is not doing good in the industry: 60.82% of the companies in the same industry are doing better.
XYZ's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 40.87%, XYZ is in line with its industry, outperforming 58.76% 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
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
Compared to 5 years ago, XYZ has more shares outstanding
Compared to 1 year ago, XYZ has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.75 indicates that XYZ is not a great score, but indicates only limited risk for bankruptcy at the moment.
XYZ has a better Altman-Z score (2.75) than 83.51% 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 has a Debt to FCF ratio of 4.25. This is in the better half of the industry: XYZ outperforms 71.13% 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.
With a decent Debt to Equity ratio value of 0.27, XYZ is doing good in the industry, outperforming 62.89% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 4.25 | ||
| Altman-Z | 2.75 |
ROIC/WACC0.78
WACC8.08%
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 77.32% 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.
XYZ has a Quick ratio of 2.17. This is in the better half of the industry: XYZ outperforms 78.35% of its industry peers.
| 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%.
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.
The Revenue has been growing by 38.62% on average over the past years. This is a very strong growth!
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.
The Revenue is expected to grow by 10.16% on average over the next years. This is quite good.
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.
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 27.07, XYZ can be considered very expensive at the moment.
65.98% of the companies in the same industry are cheaper than XYZ, based on the Price/Earnings ratio.
XYZ is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.34, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 17.72, which indicates a rather expensive current valuation of XYZ.
XYZ's Price/Forward Earnings ratio is in line with the industry average.
XYZ's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 34.43.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.07 | ||
| Fwd PE | 17.72 |
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 | 21.89 | ||
| EV/EBITDA | 14.5 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.81
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 |
65.77
-0.14 (-0.21%)
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-3.32%
Market Cap40.09B
Revenue(TTM)23.97B
Net Income(TTM)3.14B
Analysts77.14
Price Target90.22 (37.18%)
Short Float %3.9%
Short Ratio3.57
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)0.57%
PT rev (3m)17.55%
EPS NQ rev (1m)0.77%
EPS NQ rev (3m)-9.92%
EPS NY rev (1m)0.48%
EPS NY rev (3m)-3.55%
Revenue NQ rev (1m)0.27%
Revenue NQ rev (3m)-0.87%
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)-1.55%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.07 | ||
| Fwd PE | 17.72 | ||
| P/S | 1.67 | ||
| P/FCF | 21.89 | ||
| P/OCF | 20.33 | ||
| P/B | 1.78 | ||
| P/tB | 4.28 | ||
| EV/EBITDA | 14.5 |
EPS(TTM)2.43
EY3.69%
EPS(NY)3.71
Fwd EY5.64%
FCF(TTM)3
FCFY4.57%
OCF(TTM)3.24
OCFY4.92%
SpS39.33
BVpS36.92
TBVpS15.38
PEG (NY)N/A
PEG (5Y)0.81
Graham Number44.93
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 | 2.75 |
F-Score7
WACC8.08%
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.