BMO Capital downgraded Block (XYZ) to Market Perform from Outperform with a price target of $58, down from $80. The firm believes Block’s anticipated gross profit growth acceleration may still have risk and it worries that the recent slowdown at Cash App may be indicative of a lower baseline growth rate going forward, the analyst tells investors. The firm is now less confident in the medium-term growth potential for Cash App, adding that it had previously underestimated the lack of flexibility and conservatism built into Block’s 2025 guidance.
Meet Your ETF AI Analyst
- Discover how TipRanks' ETF AI Analyst can help you make smarter investment decisions
- Explore ETFs TipRanks' users love and see what insights the ETF AI Analyst reveals about the ones you follow.
Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
Read More on XYZ:
- Block sinks 20% to $46.80 after Q1 report, analyst downgrades
- Wells downgrades Block on ‘heavily back half weighted’ outlook
- Block downgraded to Equal Weight from Overweight at Wells Fargo
- Block price target lowered to $80 from $100 at Canaccord
- Block’s Strategic Resilience and Growth Potential Amidst Economic Challenges: A Buy Recommendation by Mayank Tandon