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XYZ · Analysis updated Nov 4, 2026, 4:12 PM ET
Why is Block, Inc. (XYZ) stock moving?
Block runs Square and Cash App. Third-quarter gross profit (sales minus the direct cost of providing them) rose 22% to $3.24 billion and adjusted operating income nearly doubled (+92%) to $923 million. Adjusted earnings of $1.13 a share beat the roughly $1.03 expected. Block raised its 2026 outlook to $12.63 billion of gross profit and $4.15 of adjusted earnings per share, and gave an unusually early 2027 outlook: gross profit growth of at least 15% and adjusted operating income up about 30% to about $4.58 billion. It also disclosed a preliminary settlement with the Department of Justice with an estimated net payment of $764 million. The stock closed up about 15% at $87.60, a new 52-week high, and held almost all of its gain into the close: it was near $88 in the early afternoon.
News behind the analysis
- Block Shares Jump More Than 6% as Cash App Growth Drives Q3 Earnings Beat and Higher 2026 GuidanceAdjusted EPS $1.13 versus $1.03 expected; revenue $6.72B; 2026 adjusted EPS outlook $4.15; preliminary 2027 outlook of at least 15% gross profit growth and about $4.58B adjusted operating income.
- Block earnings lift outlook, shares as Cash App and Square drive growthGross profit $3.24B (+22%); Cash App gross profit +27%; adjusted operating income +92% to $923M; GAAP operating income +5%.
- RBC Capital raises Block stock price target on product innovationRBC raised its target to $103 from $95; TD Cowen to $109; Square payment volume +14%, fastest since early 2023.
- Susquehanna forecasts strong price appreciation for BlockSusquehanna raised its target to $110 from $100 after the report.
In the Daily Standout
- November 4, 2026: the Daily Standout +15.26%