#7 - Square, Inc. (NYSE:SQ)
Square, Inc. (NYSE: SQ) - Like many stocks on this list, Square faces a question of valuation. Square allows consumers to accept credit card transactions from their smartphones. This has been a game-changing application for many small businesses that were being left behind in a society that is becoming increasingly dominated by electronic transactions rather than cash. In that sense, plus with its ability to fight off other competitors and expand its product line to fit the needs of slightly larger businesses, Square is to this decade what PayPal and Intuit have been to previous decades. But does that justify a valuation of 142 times earnings after a decline in stock price of nearly 35% since September? The holiday season should be kind to Square as more transactions create more opportunities for their products to be showcased. However, even assuming an aggressive growth rate of over 50% over the next five years, it will be hard for Square to convince investors it is a good value. Square is a good stock, it will just seem better when it comes back to earth a little bit
About Block
Square, Inc provides payment and point-of-sale solutions in the United States and internationally. The company's commerce ecosystem includes point-of-sale software and hardware that enables sellers to turn mobile and computing devices into payment and point-of-sale solutions. It offers hardware products, including Magstripe reader, which enables swiped transactions of magnetic stripe cards; Contactless and chip reader that accepts EMV® chip cards and Near Field Communication payments; Chip card reader, which accepts EMV® chip cards and enables swiped transactions of magnetic stripe cards; Square Stand, which enables an iPad to be used as a payment terminal or full point of sale solution; and Square Register that combines its hardware, point-of-sale software, and payments technology, as well as managed payments solutions.
Read More - Current Price
- $89.65
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 26 Buy Ratings, 5 Hold Ratings, 1 Sell Ratings.
- Consensus Price Target
- $96.33 (7.5% Upside)
