BLOCK INC (SQ3.DE) Stock Fundamental Analysis

FRA:SQ3 • US8522341036

45.485 EUR
+2.04 (+4.7%)
Last: Feb 26, 2026, 07:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership
Fundamental Rating

5

SQ3 gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 56 industry peers in the Financial Services industry. SQ3 has an average financial health and profitability rating. SQ3 is valied quite expensively at the moment, while it does show a decent growth rate.


Dividend Valuation Growth Profitability Health

6

1. Profitability

1.1 Basic Checks

  • In the past year SQ3 was profitable.
  • In the past year SQ3 had a positive cash flow from operations.
  • Of the past 5 years SQ3 4 years were profitable.
  • SQ3 had a positive operating cash flow in each of the past 5 years.
SQ3.DE Yearly Net Income VS EBIT VS OCF VS FCFSQ3.DE Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 1B 2B

1.2 Ratios

  • SQ3 has a better Return On Assets (8.00%) than 94.64% of its industry peers.
  • SQ3 has a better Return On Equity (13.93%) than 75.00% of its industry peers.
  • SQ3's Return On Invested Capital of 5.59% is fine compared to the rest of the industry. SQ3 outperforms 71.43% of its industry peers.
Industry RankSector Rank
ROA 8%
ROE 13.93%
ROIC 5.59%
ROA(3y)2.06%
ROA(5y)1.89%
ROE(3y)3.51%
ROE(5y)4.71%
ROIC(3y)N/A
ROIC(5y)N/A
SQ3.DE Yearly ROA, ROE, ROICSQ3.DE Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 10 -10 20 -20

1.3 Margins

  • SQ3 has a Profit Margin of 13.08%. This is comparable to the rest of the industry: SQ3 outperforms 57.14% of its industry peers.
  • In the last couple of years the Profit Margin of SQ3 has grown nicely.
  • SQ3 has a Operating Margin (9.63%) which is in line with its industry peers.
  • In the last couple of years the Operating Margin of SQ3 has grown nicely.
  • SQ3's Gross Margin of 40.87% is in line compared to the rest of the industry. SQ3 outperforms 46.43% of its industry peers.
  • SQ3's Gross Margin has declined in the last couple of years.
Industry RankSector Rank
OM 9.63%
PM (TTM) 13.08%
GM 40.87%
OM growth 3Y43.23%
OM growth 5Y16.51%
PM growth 3Y133.66%
PM growth 5Y8.56%
GM growth 3Y13.77%
GM growth 5Y-1.67%
SQ3.DE Yearly Profit, Operating, Gross MarginsSQ3.DE Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 10 -10 20 30 40

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ROAROEROICOperating and Profit MarginShow most profitable peers

6

2. Health

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so SQ3 is destroying value.
  • Compared to 1 year ago, SQ3 has more shares outstanding
  • Compared to 5 years ago, SQ3 has more shares outstanding
  • The debt/assets ratio for SQ3 is higher compared to a year ago.
SQ3.DE Yearly Shares OutstandingSQ3.DE Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M
SQ3.DE Yearly Total Debt VS Total AssetsSQ3.DE Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 10B 20B 30B

2.2 Solvency

  • SQ3 has an Altman-Z score of 2.47. This is not the best score and indicates that SQ3 is in the grey zone with still only limited risk for bankruptcy at the moment.
  • SQ3's Altman-Z score of 2.47 is fine compared to the rest of the industry. SQ3 outperforms 73.21% of its industry peers.
  • SQ3 has a debt to FCF ratio of 4.25. This is a neutral value as SQ3 would need 4.25 years to pay back of all of its debts.
  • SQ3's Debt to FCF ratio of 4.25 is fine compared to the rest of the industry. SQ3 outperforms 73.21% of its industry peers.
  • SQ3 has a Debt/Equity ratio of 0.27. This is a healthy value indicating a solid balance between debt and equity.
  • SQ3's Debt to Equity ratio of 0.27 is fine compared to the rest of the industry. SQ3 outperforms 67.86% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.27
Debt/FCF 4.25
Altman-Z 2.47
ROIC/WACC0.72
WACC7.77%
SQ3.DE Yearly LT Debt VS Equity VS FCFSQ3.DE Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5B 10B 15B 20B

2.3 Liquidity

  • A Current Ratio of 2.18 indicates that SQ3 has no problem at all paying its short term obligations.
  • SQ3 has a Current ratio of 2.18. This is in the better half of the industry: SQ3 outperforms 75.00% of its industry peers.
  • A Quick Ratio of 2.17 indicates that SQ3 has no problem at all paying its short term obligations.
  • SQ3 has a Quick ratio of 2.17. This is in the better half of the industry: SQ3 outperforms 75.00% of its industry peers.
Industry RankSector Rank
Current Ratio 2.18
Quick Ratio 2.17
SQ3.DE Yearly Current Assets VS Current LiabilitesSQ3.DE Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 5B 10B 15B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

6

3. Growth

3.1 Past

  • The earnings per share for SQ3 have decreased strongly by -21.86% in the last year.
  • The Earnings Per Share has been growing by 33.32% on average over the past years. This is a very strong growth
  • Looking at the last year, SQ3 shows a small growth in Revenue. The Revenue has grown by 0.47% in the last year.
  • SQ3 shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 38.62% yearly.
EPS 1Y (TTM)-21.86%
EPS 3Y25.38%
EPS 5Y33.32%
EPS Q2Q%-38.64%
Revenue 1Y (TTM)0.47%
Revenue growth 3Y10.95%
Revenue growth 5Y38.62%
Sales Q2Q%2.33%

3.2 Future

  • SQ3 is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 15.64% yearly.
  • The Revenue is expected to grow by 8.47% on average over the next years. This is quite good.
EPS Next Y-27.57%
EPS Next 2Y0.4%
EPS Next 3Y9.78%
EPS Next 5Y15.64%
Revenue Next Year-0.41%
Revenue Next 2Y4.89%
Revenue Next 3Y6.83%
Revenue Next 5Y8.47%

3.3 Evolution

  • Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
SQ3.DE Yearly Revenue VS EstimatesSQ3.DE Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 10B 20B 30B 40B
SQ3.DE Yearly EPS VS EstimatesSQ3.DE Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 0 5 10

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Find the best growth stocksShow best growing peers

3

4. Valuation

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 22.08 indicates a rather expensive valuation of SQ3.
  • SQ3's Price/Earnings ratio is in line with the industry average.
  • Compared to an average S&P500 Price/Earnings ratio of 27.10, SQ3 is valued at the same level.
  • Based on the Price/Forward Earnings ratio of 15.82, the valuation of SQ3 can be described as correct.
  • The rest of the industry has a similar Price/Forward Earnings ratio as SQ3.
  • SQ3 is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 28.06, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 22.08
Fwd PE 15.82
SQ3.DE Price Earnings VS Forward Price EarningsSQ3.DE Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • SQ3's Enterprise Value to EBITDA ratio is in line with the industry average.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of SQ3 is on the same level as its industry peers.
Industry RankSector Rank
P/FCF 17.83
EV/EBITDA 11.69
SQ3.DE Per share dataSQ3.DE EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30

4.3 Compensation for Growth

  • The decent profitability rating of SQ3 may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.66
EPS Next 2Y0.4%
EPS Next 3Y9.78%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. Dividend

5.1 Amount

  • No dividends for SQ3!.
Industry RankSector Rank
Dividend Yield 0%

More info and screens

Find the best dividend stocksShow peers with best dividend

BLOCK INC

FRA:SQ3 (2/26/2026, 7:00:00 PM)

45.485

+2.04 (+4.7%)

Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)11-06
Earnings (Next)02-26
Inst Owners81.09%
Inst Owner ChangeN/A
Ins Owners1.07%
Ins Owner ChangeN/A
Market Cap27.64B
Revenue(TTM)23.97B
Net Income(TTM)3.14B
Analysts79.58
Price Target72.56 (59.53%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-15.41%
Min EPS beat(2)-19.86%
Max EPS beat(2)-10.95%
EPS beat(4)0
Avg EPS beat(4)-21.66%
Min EPS beat(4)-36.25%
Max EPS beat(4)-10.95%
EPS beat(8)2
Avg EPS beat(8)-10.55%
EPS beat(12)5
Avg EPS beat(12)-5.99%
EPS beat(16)8
Avg EPS beat(16)1.09%
Revenue beat(2)0
Avg Revenue beat(2)-4.55%
Min Revenue beat(2)-5%
Max Revenue beat(2)-4.09%
Revenue beat(4)0
Avg Revenue beat(4)-5.5%
Min Revenue beat(4)-7.83%
Max Revenue beat(4)-4.09%
Revenue beat(8)2
Avg Revenue beat(8)-3.56%
Revenue beat(12)5
Avg Revenue beat(12)-0.95%
Revenue beat(16)7
Avg Revenue beat(16)-1.07%
PT rev (1m)-1.99%
PT rev (3m)-3.81%
EPS NQ rev (1m)-4.98%
EPS NQ rev (3m)-9.23%
EPS NY rev (1m)0%
EPS NY rev (3m)-7.5%
Revenue NQ rev (1m)-0.46%
Revenue NQ rev (3m)-0.52%
Revenue NY rev (1m)-0.16%
Revenue NY rev (3m)-1.73%
Valuation
Industry RankSector Rank
PE 22.08
Fwd PE 15.82
P/S 1.36
P/FCF 17.83
P/OCF 16.55
P/B 1.45
P/tB 3.48
EV/EBITDA 11.69
EPS(TTM)2.06
EY4.53%
EPS(NY)2.88
Fwd EY6.32%
FCF(TTM)2.55
FCFY5.61%
OCF(TTM)2.75
OCFY6.04%
SpS33.39
BVpS31.35
TBVpS13.06
PEG (NY)N/A
PEG (5Y)0.66
Graham Number38.12
Profitability
Industry RankSector Rank
ROA 8%
ROE 13.93%
ROCE 7.94%
ROIC 5.59%
ROICexc 8.01%
ROICexgc 22.7%
OM 9.63%
PM (TTM) 13.08%
GM 40.87%
FCFM 7.64%
ROA(3y)2.06%
ROA(5y)1.89%
ROE(3y)3.51%
ROE(5y)4.71%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y19.01%
ROICexgc growth 5Y9.35%
ROICexc growth 3Y-9.27%
ROICexc growth 5Y-6.03%
OM growth 3Y43.23%
OM growth 5Y16.51%
PM growth 3Y133.66%
PM growth 5Y8.56%
GM growth 3Y13.77%
GM growth 5Y-1.67%
F-Score7
Asset Turnover0.61
Health
Industry RankSector Rank
Debt/Equity 0.27
Debt/FCF 4.25
Debt/EBITDA 2.27
Cap/Depr 38.87%
Cap/Sales 0.59%
Interest Coverage 9.59
Cash Conversion 73.87%
Profit Quality 58.41%
Current Ratio 2.18
Quick Ratio 2.17
Altman-Z 2.47
F-Score7
WACC7.77%
ROIC/WACC0.72
Cap/Depr(3y)42.7%
Cap/Depr(5y)103.65%
Cap/Sales(3y)0.77%
Cap/Sales(5y)1.1%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-21.86%
EPS 3Y25.38%
EPS 5Y33.32%
EPS Q2Q%-38.64%
EPS Next Y-27.57%
EPS Next 2Y0.4%
EPS Next 3Y9.78%
EPS Next 5Y15.64%
Revenue 1Y (TTM)0.47%
Revenue growth 3Y10.95%
Revenue growth 5Y38.62%
Sales Q2Q%2.33%
Revenue Next Year-0.41%
Revenue Next 2Y4.89%
Revenue Next 3Y6.83%
Revenue Next 5Y8.47%
EBIT growth 1Y56.58%
EBIT growth 3Y58.92%
EBIT growth 5Y61.5%
EBIT Next Year182.19%
EBIT Next 3Y61.16%
EBIT Next 5Y22.69%
FCF growth 1Y130.2%
FCF growth 3Y41.91%
FCF growth 5Y30.96%
OCF growth 1Y108.9%
OCF growth 3Y26.28%
OCF growth 5Y29.67%

BLOCK INC / SQ3.DE FAQ

What is the ChartMill fundamental rating of BLOCK INC (SQ3.DE) stock?

ChartMill assigns a fundamental rating of 5 / 10 to SQ3.DE.


What is the valuation status of BLOCK INC (SQ3.DE) stock?

ChartMill assigns a valuation rating of 3 / 10 to BLOCK INC (SQ3.DE). This can be considered as Overvalued.


What is the profitability of SQ3 stock?

BLOCK INC (SQ3.DE) has a profitability rating of 6 / 10.


What is the valuation of BLOCK INC based on its PE and PB ratios?

The Price/Earnings (PE) ratio for BLOCK INC (SQ3.DE) is 22.08 and the Price/Book (PB) ratio is 1.45.


What is the financial health of BLOCK INC (SQ3.DE) stock?

The financial health rating of BLOCK INC (SQ3.DE) is 6 / 10.