Zacks: Analysts Expect Square, Inc. (NYSE:SQ) to Announce $0.11 Earnings Per Share

Wall Street brokerages predict that Square, Inc. (NYSE:SQ) will post earnings per share (EPS) of $0.11 for the current fiscal quarter, Zacks reports. Nine analysts have provided estimates for Square’s earnings, with estimates ranging from ($0.12) to $0.25. Square reported earnings of $0.25 per share in the same quarter last year, which suggests a negative year-over-year growth rate of 56%. The firm is scheduled to announce its next earnings report on Wednesday, November 4th.

On average, analysts expect that Square will report full year earnings of $0.46 per share for the current year, with EPS estimates ranging from $0.08 to $0.85. For the next financial year, analysts forecast that the company will report earnings of $1.10 per share, with EPS estimates ranging from $0.45 to $1.76. Zacks Investment Research’s EPS calculations are an average based on a survey of sell-side research analysts that that provide coverage for Square.

Square (NYSE:SQ) last announced its earnings results on Tuesday, August 4th. The technology company reported $0.18 earnings per share for the quarter, beating the consensus estimate of ($0.23) by $0.41. The firm had revenue of $1.92 billion during the quarter, compared to the consensus estimate of $1.13 billion. Square had a net margin of 5.15% and a negative return on equity of 1.20%. The firm’s revenue for the quarter was up 63.8% on a year-over-year basis. During the same quarter in the previous year, the company posted $0.21 EPS.

A number of equities analysts have issued reports on SQ shares. BTIG Research reaffirmed a “hold” rating on shares of Square in a research report on Wednesday, August 5th. Citigroup upped their price objective on Square from $66.00 to $95.00 and gave the stock a “neutral” rating in a research note on Tuesday, June 16th. Goldman Sachs Group assumed coverage on Square in a research note on Tuesday, July 14th. They set a “neutral” rating and a $133.00 price objective for the company. Rosenblatt Securities upped their price objective on Square from $136.00 to $181.00 and gave the stock a “buy” rating in a research note on Thursday, August 6th. Finally, Cowen downgraded Square from an “outperform” rating to a “market perform” rating and upped their price objective for the stock from $79.00 to $119.00 in a research note on Thursday, July 9th. Five research analysts have rated the stock with a sell rating, twenty-one have assigned a hold rating and seventeen have issued a buy rating to the company’s stock. Square presently has an average rating of “Hold” and an average target price of $107.35.

NYSE SQ traded down $3.45 on Wednesday, reaching $151.05. The company had a trading volume of 10,200,553 shares, compared to its average volume of 13,300,250. The firm has a market capitalization of $67.00 billion, a PE ratio of 243.63 and a beta of 2.72. Square has a 1 year low of $32.33 and a 1 year high of $170.61. The firm has a 50-day moving average of $145.19 and a 200-day moving average of $96.80. The company has a debt-to-equity ratio of 1.12, a current ratio of 1.70 and a quick ratio of 1.70.

In related news, CAO Ajmere Dale sold 2,000 shares of the firm’s stock in a transaction that occurred on Friday, June 19th. The stock was sold at an average price of $100.00, for a total transaction of $200,000.00. Following the completion of the transaction, the chief accounting officer now owns 49,315 shares in the company, valued at approximately $4,931,500. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, insider Alyssa Henry sold 10,000 shares of the firm’s stock in a transaction that occurred on Tuesday, September 8th. The stock was sold at an average price of $141.32, for a total value of $1,413,200.00. Following the transaction, the insider now owns 433,930 shares of the company’s stock, valued at approximately $61,322,987.60. The disclosure for this sale can be found here. Insiders sold a total of 244,583 shares of company stock valued at $36,198,971 in the last quarter. Corporate insiders own 19.90% of the company’s stock.

A number of institutional investors and hedge funds have recently modified their holdings of SQ. Fir Tree Capital Management LP bought a new position in Square in the 2nd quarter valued at $9,078,000. Sands Capital Management LLC acquired a new stake in shares of Square in the 1st quarter valued at $298,358,000. Massachusetts Financial Services Co. MA increased its stake in shares of Square by 44.4% in the 1st quarter. Massachusetts Financial Services Co. MA now owns 4,942,296 shares of the technology company’s stock valued at $258,877,000 after buying an additional 1,520,028 shares during the period. Softbank Group Corp acquired a new stake in shares of Square in the 2nd quarter valued at $108,668,000. Finally, Coatue Management LLC increased its stake in shares of Square by 31.0% in the 2nd quarter. Coatue Management LLC now owns 4,326,261 shares of the technology company’s stock valued at $453,998,000 after buying an additional 1,022,563 shares during the period. Hedge funds and other institutional investors own 66.29% of the company’s stock.

About Square

Square, Inc provides payment and point-of-sale solutions in the United States and internationally. The company's commerce ecosystem includes point-of-sale software and hardware that enables sellers to turn mobile and computing devices into payment and point-of-sale solutions. It offers hardware products, including Magstripe reader, which enables swiped transactions of magnetic stripe cards; Contactless and chip reader that accepts EMV® chip cards and Near Field Communication payments; Chip card reader, which accepts EMV® chip cards and enables swiped transactions of magnetic stripe cards; Square Stand, which enables an iPad to be used as a payment terminal or full point of sale solution; and Square Register that combines its hardware, point-of-sale software, and payments technology, as well as managed payments solutions.

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