Block (XYZ) Competitors

Shopify (NYSE:SHOP) and Block (NYSE:XYZ) are both large-cap computer and technology companies, but which is the better investment? We will contrast the two businesses based on the strength of their institutional ownership, community ranking, profitability, earnings, valuation, risk, media sentiment, dividends and analyst recommendations.

Does the MarketBeat Community favor SHOP or XYZ?

Block received 46 more outperform votes than Shopify when rated by MarketBeat users. Likewise, 69.60% of users gave Block an outperform vote while only 66.37% of users gave Shopify an outperform vote.

Company	Underperform	Outperform
Shopify	Outperform Votes 1415 66.37%	Underperform Votes 717 33.63%
Block	Outperform Votes 1461 69.60%	Underperform Votes 638 30.40%

Does the media favor SHOP or XYZ?

In the previous week, Shopify had 26 more articles in the media than Block. MarketBeat recorded 35 mentions for Shopify and 9 mentions for Block. Shopify's average media sentiment score of 1.22 beat Block's score of 0.30 indicating that Shopify is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Shopify	30 Very Positive mention(s)	1 Positive mention(s)	4 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Block	2 Very Positive mention(s)	0 Positive mention(s)	4 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Neutral

Do analysts rate SHOP or XYZ?

Shopify currently has a consensus price target of $126.31, suggesting a potential upside of 53.50%. Block has a consensus price target of $94.46, suggesting a potential upside of 74.97%. Given Block's stronger consensus rating and higher possible upside, analysts clearly believe Block is more favorable than Shopify.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Shopify	1 Sell rating(s)	14 Hold rating(s)	24 Buy rating(s)	1 Strong Buy rating(s)	2.63
Block	0 Sell rating(s)	2 Hold rating(s)	27 Buy rating(s)	0 Strong Buy rating(s)	2.93

Is SHOP or XYZ more profitable?

Shopify has a net margin of 22.74% compared to Block's net margin of 11.92%. Shopify's return on equity of 12.00% beat Block's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Shopify	22.74%	12.00%	9.79%
Block	11.92%	5.80%	3.08%

Which has stronger valuation & earnings, SHOP or XYZ?

Shopify has higher earnings, but lower revenue than Block. Block is trading at a lower price-to-earnings ratio than Shopify, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Shopify	$8.88B	12.00	$2.02B	$1.55	53.09
Block	$24.12B	1.39	$9.77M	$4.55	11.87

Do insiders and institutionals believe in SHOP or XYZ?

69.3% of Shopify shares are held by institutional investors. Comparatively, 70.4% of Block shares are held by institutional investors. 10.5% of Block shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Which has more risk & volatility, SHOP or XYZ?

Shopify has a beta of 2.81, indicating that its stock price is 181% more volatile than the S&P 500. Comparatively, Block has a beta of 2.77, indicating that its stock price is 177% more volatile than the S&P 500.

Summary

Shopify beats Block on 10 of the 19 factors compared between the two stocks.