Is Block (SQ) Quietly Turning Into a Pure-Play Bitcoin Company Under Jack Dorsey’s Vision?

• In recent days, Block attracted renewed attention as multiple brokerage firms reiterated positive ratings while CEO Jack Dorsey publicly emphasized the company’s long-term Bitcoin-focused initiatives, including Cash App crypto trading, merchant acceptance, hardware wallets, and mining projects.
• Amid this, director Mary Meeker’s additional RSU grant and an executive share sale under a pre-set trading plan highlight ongoing equity-based alignment and routine insider activity rather than abrupt shifts in insider confidence.
• We’ll now examine how Jack Dorsey’s renewed emphasis on Bitcoin and crypto initiatives could reshape Block’s existing investment narrative.

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Block Investment Narrative Recap

To own Block today, you need to believe in its dual ecosystem of Cash App and Square merchants, with Bitcoin acting as an optional upside rather than the core engine. The latest analyst reiterations and Dorsey’s Bitcoin comments do not materially change near term drivers, where sustaining Cash App engagement and managing crypto related earnings volatility still look like the key catalyst and the biggest risk.

The most relevant recent development here is Jack Dorsey’s renewed focus on Bitcoin initiatives across Cash App, merchant tools, hardware and mining. This reinforces how closely Block’s narrative is tied to crypto related revenue, which can amplify both upside optionality and exposure to regulatory or adoption shocks that may affect transaction income and profitability.

Yet investors should also weigh how Block’s growing dependence on Bitcoin related activity could magnify regulatory and earnings risks that you really need to understand before...

Read the full narrative on Block (it's free!)

Block's narrative projects $32.8 billion revenue and $2.4 billion earnings by 2028. This requires 11.3% yearly revenue growth and a $0.6 billion earnings decrease from $3.0 billion today.

Uncover how Block's forecasts yield a $84.01 fair value, a 18% upside to its current price.

Exploring Other Perspectives

Fourteen members of the Simply Wall St Community currently value Block between US$68.93 and US$103, highlighting a wide spread of expectations. As you compare those views, keep in mind that Block’s increasing exposure to Bitcoin related revenue could heighten regulatory and earnings uncertainty that may influence how the business performs over time.

Explore 14 other fair value estimates on Block - why the stock might be worth as much as 44% more than the current price!

Build Your Own Block Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Block research is our analysis highlighting 3 key rewards and 1 important warning sign that could impact your investment decision.
• Our free Block research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Block's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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