Block, Inc. (NYSE:XYZ) shares are up during Friday’s premarket session as the company expands its partner ecosystem, enhancing its offerings for sellers.
On Thursday, Block announced a significant expansion of its partner ecosystem, which now includes nearly 1,000 industry-leading partners such as Amazon.com, Inc. (NASDAQ:AMZN), Intuit Inc.’s (NASDAQ:INTU) Intuit QuickBooks, and Uber Technologies, Inc.’s (NYSE:UBER) Uber Eats.
This initiative aims to empower sellers by providing them with integrated tools and insights, allowing them to manage their operations more efficiently and engage with customers effectively.
As part of this initiative, Block is enabling sellers to accept payments seamlessly across various platforms, further solidifying its position in the market.
The broader market experienced gains on the previous trading day, with the Technology sector rising 0.56%. Block’s upward movement aligns with the overall sector strength, indicating that the stock is moving in tandem with broader market trends.
Technical Analysis
The stock is currently trading 8.3% below its 20-day simple moving average (SMA) and 20.4% below its 100-day SMA, indicating that it is struggling to maintain upward momentum. Over the past 12 months, shares have decreased by 36.31%, and they are currently positioned closer to their 52-week lows than highs.
The RSI is at 38.24, which is considered neutral territory, suggesting that the stock is neither overbought nor oversold at this time. Meanwhile, the MACD shows a value of -3.5196, below its signal line at -3.1165, indicating bearish pressure on the stock.
The combination of neutral RSI and bearish MACD suggests mixed momentum.
- Key Resistance: $58.50
- Key Support: $46.50
Sector Performance
Block is currently underperforming its sector, which is ranked 1 out of 11 sectors. The Technology sector’s recent performance has been mixed, with a 30-day decline of 2.50% and a slight gain of 0.25% over the past 90 days, indicating some volatility in the sector.
Despite the sector’s overall strength, Block’s performance today reflects a lag, suggesting that company-specific factors may be influencing its stock price. Traders should keep an eye on how the stock reacts to broader sector trends in the coming days.
Block’s recent initiatives to expand its partner ecosystem are crucial as they enhance its competitive edge in the payment services market. This expansion allows Block to better serve its customers and adapt to the evolving needs of businesses in a digital-first world.
Earnings & Analyst Outlook
The countdown is on: Block is set to report earnings on February 26, 2026.
- EPS Estimate: 49 cents (Down from 71 cents)
- Revenue Estimate: $6.32 billion (Up from $6.03 billion)
- Valuation: P/E of 10.6x (Indicates value opportunity)
Analyst Consensus & Recent Actions: The stock carries a Buy Rating with an average price target of $83.50. Recent analyst moves include:
- Cantor Fitzgerald: Overweight (Lowers Target to $70.00) (Feb. 17)
- Macquarie: Neutral (Lowers Target to $65.00) (Feb. 11)
- Citigroup: Buy (Lowers Target to $85.00) (Feb. 5)
Benzinga Edge Rankings
Below is the Benzinga Edge scorecard for Block, highlighting its strengths and weaknesses compared to the broader market:
- Value Rank: 82.68 — Indicates strong value relative to peers.
- Growth Rank: 89.04 — Reflects solid growth potential.
- Quality Rank: 19.01 — Suggests some concerns regarding quality metrics.
- Momentum Rank: 6.84 — Indicates weak momentum compared to the market.
The Verdict: Block’s Benzinga Edge signal reveals a mixed outlook. While the strong Value and Growth scores suggest potential, the weak Quality and Momentum rankings indicate caution for investors.
XYZ Price Action: Block shares were up 0.34% at $53.07 during premarket trading on Friday, according to Benzinga Pro data.
Photo: Piotr Swat via Shutterstock
