BMO Capital analyst James Fotheringham lowered the firm’s price target on Block to $101 from $108 but keeps an Outperform rating on the shares. The analyst notes that in spite of the company’s "encouraging" FY23 margin outlook, the firm is cutting its out-year revenue guidance as Block shifts its strategic focus from revenue growth to operating efficiency. The firm now projects FY23 EPS of $1.75, down from 2.02 prior forecast, even though it believes that the company’s strong segment growth and improving margins should still inspire "healthy earnings growth" in 2023 and beyond.
Published first on TheFly
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