Block price target raised to $106 from $99 at Mizuho

Mizuho analyst Dan Dolev raised the firm’s price target on Block to $106 from $99 and keeps a Buy rating on the shares. The “reinvigorated management focus” on the Cash App and Square ecosystems could potentially drive meaningful upside to the company’s 2024 guidance, the analyst tells investors in a research note. The firm says that while management guided to 15% gross profit growth, it sees potential for over 20%. Mizuho’s “blue-sky scenario” suggests Block’s profit growth could reach greater than 20% in 2024 versus the 15% guide and 16% consensus estimate. It believes moving up-market and building a next-generation social bank could drive a reacceleration in quarterly monthly active user growth.