Trading Strategies for Block (SQ) Stock Before And After Q4 Earnings
Portfolio Pulse from Melanie Schaffer
Block, Inc (NYSE:SQ) is experiencing a surge over 5% ahead of its Q4 earnings, following a Q3 earnings beat. Analysts predict Q4 EPS of 59 cents on $5.699 billion revenue. Wedbush upgraded Block's rating to Outperform with a price target of $90. For diversification, investors might consider AXS 2X Innovation ETF (NASDAQ:TARK) and AXS Short Innovation Daily ETF (NASDAQ:SARK), related to ARK Innovation ETF's performance, which includes Block. Technical analysis shows Block trading neutrally with potential for both bullish and bearish reactions post-earnings.
February 22, 2024 | 7:47 pm
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POSITIVE IMPACT
Block, Inc anticipates Q4 earnings with a recent surge over 5%. Analysts predict positive results, and Wedbush upgraded its rating to Outperform, raising the price target to $90.
The positive anticipation of Q4 earnings and the upgrade by Wedbush suggest a bullish short-term impact on SQ's stock price.
CONFIDENCE 80
IMPORTANCE 90
RELEVANCE 100
POSITIVE IMPACT
TARK, aiming to return 200% of ARKK's daily performance, offers diversification for investors bullish on Block, as ARKK holds a 6.02% weighting of Block.
Given TARK's direct relation to ARKK's performance and ARKK's significant holding in Block, positive Block earnings could indirectly benefit TARK.
CONFIDENCE 75
IMPORTANCE 60
RELEVANCE 70
NEGATIVE IMPACT
SARK, designed to inversely track ARKK's daily performance, offers an option for investors bearish on Block, considering ARKK's 6.02% Block weighting.
SARK's inverse relationship to ARKK's performance, combined with ARKK's stake in Block, means negative Block earnings could indirectly benefit SARK.
CONFIDENCE 75
IMPORTANCE 60
RELEVANCE 70