XYZ
Block, Inc.
Next earnings Aug 5, 2026 (after close) · consensus $0.88 EPS, $6.59B rev
Last earnings -1.0% on 2026-05-07
$78.83
▲ +1.04%$78.83▲ +18.31%
over 1Y
L $49.09H $81.11
Earnings Dividend Split Congress buy Congress sellGrouped by date · hover a pin to expand
Today+1.0%
1W+6.4%
1M+6.3%
3M+31.9%
YTD+21.0%
1Y+18.3%
Buy
Conviction
Horizon
Medium (3–12mo)
12-mo target
$•••
Street · 48 analysts
Buy
Headline EPS collapse is a 2024 tax-mirage; gross profit +17% and op income +91% reveal a real margin turnaround.
Gross profit $10.4B · FY2025
The read
The fundamentals carry the rating, but the price is rich (~80% above our fair-value estimate) — a quality-at-a-price call. The case rests on the business, not the entry; patient buyers may wait for a pullback.
Block's scary-looking numbers are mostly optical. Net income fell 54.9% to $1.31B and diluted EPS dropped to $2.10, but the 10-K is explicit that 2024 net income carried a $1.9B benefit from releasing a deferred-tax valuation allowance plus a $420.9M bitcoin remeasurement gain, versus a $55.9M bitcoin loss in 2025. Strip those out and the underlying engine accelerated: gross profit rose 16.5% to $10.4B, operating income nearly doubled (+91.5%) to $1.71B, and operating cash flow jumped 51.1% to $2.58B. Revenue was flat (+0.3%) only because it is inflated by low-margin bitcoin transaction volume; gross profit is the honest top line, and it grew double digits — Cash App gross profit +21% (Cash App Borrow), Square +9% (Square Loans). Adjusted EBITDA reached $3.5B (+14%).
The forward catalyst is aggressive cost discipline. Management announced a Workforce Plan in February 2026 to cut headcount by more than 40%, substantially complete by Q2 2026, and stated it plans to 'operate at this smaller size' leaning on AI automation and centralization. Against gross profit already compounding mid-teens, a structural cost reset points to meaningful operating-margin expansion from the current 7.1% — the bull case for a re-rating of depressed GAAP earnings.
AI-generated analysis, produced by our proprietary engine from SEC filing data.
Investment recommendation produced by TENK/calls (tenkcalls.com), Luxembourg. Completed Jun 21, 2026, 12:22 PM ET. Ratings & methodology: definitions · All recommendations to date: track record · Conflicts: disclosures. Not investment advice.
Financials · annual, by fiscal year
| Line item | FY21 | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|---|
| Revenue | $17.7B | $17.5B | $21.9B | $24.1B | $24.2B |
| Gross profit | $4.42B | $5.99B | $7.50B | $8.89B | $10.4B |
| Operating income | $161M | -$625M | -$279M | $892M | $1.71B |
| Net income | $166M | -$541M | $9.77M | $2.90B | $1.31B |
| Diluted EPS | $0.33 | -$0.93 | $0.02 | $4.56 | $2.10 |
| Net margin | 0.9% | -3.1% | 0.0% | 12.0% | 5.4% |
Annual figures from SEC 10-K XBRL filings. Open the filing links below for full statement detail.
Key statistics
Valuation
Enterprise value$44.5B
EV / EBITDA21.4
EV / Sales1.8
EV / FCF18.3
P / FCF19.4
PEG (trailing)—
Earnings yield2.8%
FCF yield5.2%
Quality & risk
ROIC (est.)5.1%
Free cash flow$2.42B
Total debt$4.11B
Net cash$2.45B
Altman Z-Score2.88 grey
Piotroski F-Score6/9
Capital returns
Buyback yield5.0%
Dividend yield (est.)—
Shareholder yield5.0%
Shares Δ YoY-0.8%
Computed from SEC XBRL annual figures + the current quote. EV and ROIC use long-term + current debt where filed; estimates, not investment advice.
Disclosure timeline
SEC · 8-Ks + reportsSome governance/structural items recently, but no outright red flags.
- 8-K Shareholder vote2026-06-18
Annual meeting vote results filed; routine director/governance items ratified
- 8-K Officer / director change2026-06-05
Executive/director leadership change disclosed amid post-restructuring reorg
- 8-K Earnings results2026-05-07
Q1 2026 10-Q; restructuring execution ongoing, targeted to finish by Q2 FY26
- 10-Q Quarterly report2026-05-07
Q1 2026 10-Q; restructuring execution ongoing, targeted to finish by Q2 FY26
- 8-K Officer / director change2026-05-04
Officer/director change announced as leadership realigns to smaller org
- DEF 14A Proxy statement2026-04-24
2026 proxy: board nominees, exec pay and say-on-pay for shareholder vote
- 8-K Exit / restructuring costs2026-02-26
FY25: gross profit +17%, op income +91%, but net income -55% on lost tax benefit
- 10-K Annual report2026-02-26
FY25: gross profit +17%, op income +91%, but net income -55% on lost tax benefit
- 8-K Officer / director change2026-01-23
Executive/director appointment or departure disclosed
Recent filings
all on EDGAR ↗4Period ending 2026-06-302026-07-02open ↗144Filing2026-07-02open ↗144Filing2026-07-02open ↗144Filing2026-07-01open ↗144Filing2026-06-30open ↗4Period ending 2026-06-252026-06-29open ↗144Filing2026-06-29open ↗144Filing2026-06-26open ↗144Filing2026-06-25open ↗4Period ending 2026-06-222026-06-24open ↗144Filing2026-06-24open ↗144Filing2026-06-23open ↗
Frequently asked
- Is Block, Inc. (XYZ) a buy?
- XYZ currently carries a Buy rating with 3/5 conviction, derived from its latest SEC filings. Headline EPS collapse is a 2024 tax-mirage; gross profit +17% and op income +91% reveal a real margin turnaround.
- What is XYZ's fair value?
- A Modified-Graham model based on XYZ's SEC fundamentals estimates a fair value of about $16.07. It is an estimate from reported earnings, not a price target.
- Is XYZ overvalued or undervalued?
- Against a Modified-Graham fair-value estimate, XYZ currently appears overvalued relative to its SEC-grounded earnings power.
- What is Block, Inc.'s quality score?
- XYZ scores 63.05807158625065/100 (grade C+) on a SEC-grounded quality model spanning value, growth, profitability, financial health and momentum.
Sources: SEC EDGAR (CIK 0001512673, latest 10-Q filed 2026-05-07) · EODHD · Proprietary analysis · as of 6/21/2026, 4:22:29 PM.
Research and education only — not financial advice. TENKis not a registered investment adviser or broker-dealer and gives no personalized advice. Every call is impersonal — identical for all users, generated on a schedule from SEC filings plus a delayed/third-party price feed — may be wrong or out of date, and is not a recommendation to buy or sell any security. The operator and an affiliated trading operation may hold or trade the securities TENK rates; see Disclosures. Past performance does not guarantee future results. Do your own research.