Square Stock Eyes Worst Day Since 2017

Square's Q3 revenue forecast fell short of expectations

Managing Editor
Aug 2, 2019 at 10:03 AM
facebook X logo linkedin


Usually when we check in with Square Inc (NYSE:SQ), it's because of some lofty bull note or bullish activity in its options pits. Today however, Square stock is down 13.7% to trade at $69.92, after the payment processor's quarterly report. While second-quarter earnings and revenue exceeded analyst expectations, Square's third-quarter profit forecast missed its targets thanks to heavy spending on its Cash App business.

Analysts have rushed to adjust their ratings on the stock. Evercore ISI downgraded SQ to "underperform" from "outperform" while trimming its price target to $64 from $101. On the other side of the coin, Suntrust Robinson and Cowen upped their price targets to $75 and $76, respectively.  

This is pacing to be Square stock's worst single-day session since November 2017. The drop has the shares breaching their 320-day moving average for the first time since early June. Yet despite today's pullback, the equity is still up 21% in 2019. 

The analyst sentiment remains pretty evenly skewed. There are 29 brokerages in coverage on Square, and 15 rate it a tepid "hold," while the other 14 rate it a "buy" or better. Then there's the consensus 12-month price target of $83.97, which was a 3.7% premium to last night's closing perch at $80.98.

 

Target Effortless Triple-Digit Gains Every Sunday Evening For Life!

This is your chance to triple your profit potential on Sunday evenings, without spending all your free time watching the market.

On Sundays, as a Weekend Plus subscriber, you’ll get up to 6 trades every Sunday, each targeting gains of 200% or more.

Start targeting gains like the ones our subscribers have seen recently, including:

213.3% GAIN on AutoNation calls
100.0% GAIN on Monster Beverage calls
100.4% GAIN on Walgreens Boots Alliance puts
100.4% GAIN on ON Semiconductor calls
257.7% GAIN on Dell calls

101.0% GAIN on Apollo Global Management calls
103.6% GAIN on JP Morgan  Chase calls
105.3% GAIN on DraftKings calls
101.3% GAIN on Airbnb calls
203.0% GAIN on Shopify calls
102.0% GAIN on Cboe Global Markets calls
100.9% GAIN on Boeing calls
102.1% GAIN on Microsoft puts
102.3% GAIN on First Solar calls
101.5% GAIN on PulteGroup calls
101.0% GAIN on Apple calls
209.4% GAIN on NXP Semiconductors calls
100.8% GAIN on Uber Technologies calls
100.4% GAIN on Academy Sports and Outdoors puts
102.2% GAIN on Trade Desk calls
100.8% GAIN on DoorDash calls
100.0% GAIN on Camping World Holdings puts
100.0% GAIN on Cboe Global Markets calls
100.2% GAIN on C3.ai calls
238.5% GAIN on Oracle calls

 
 
 


 
 

Rainmaker Ads CGI