Block (SQ): Growth Potential is Squared Away

Block (SQ): Growth Potential is Squared Away

I am bullish on Block, Inc. (SQ) as it enjoys substantial competitive advantages and its price target implies strong total return potential, while Wall Street analysts are overwhelmingly bullish on it.

Block, Inc. – commonly referred to by its original name, “Square” - has grown into a fintech giant that provides an integrated ecosystem of commercial solutions, banking services, and business software. Originally a payment platform, Square was mostly aimed at the SME market and helping sellers run their business with a suite of ecommerce solutions. Today, Square enables entrepreneurs to effortlessly accept chip cards and NFC payments.

PayPal is Block's primary competition in the market. Square provides more robust business tools such as employee management for businesses, compared to PayPal, which is limited to payments only. Even after its corporate rebranding, Square, now named Block, continues to inspire investor confidence.