Block (XYZ) Stock Price Target Raised in Earnings Preview

Block stock (NYSE: XYZ) is on the radar this morning, as Jefferies raised its price target ahead of the company’s Q3 earnings release. The revised target, climbing to $95 from $90, reflects optimism surrounding Square's performance in the U.S. market.

Jefferies’ rationale for the price target increase centers on anticipated gains in Square's U.S. market share. The firm believes that Square will demonstrate accelerated growth in gross payment volume (GPV), surpassing overall market trends.

This expectation is a key driver behind the bullish outlook, as Square's performance is considered a critical factor for Block's overall financial health. Jefferies also anticipates favorable messaging from Block's management regarding Square's future growth prospects, supported by the expansion of field sales and strategic distribution partnerships.

This adjustment comes after a series of revisions to Block’s price target by Jefferies and other analysts. In August 2025, Jefferies lowered its price target from $95 to $90, citing concerns about Cash App's increasing reliance on lending activities and debates surrounding the structural gross profit growth within Square.

Despite these concerns, the firm maintained a “Buy” rating, signaling continued confidence in Block’s long-term potential. Similarly, Bank of America increased its price target for Block to $94, also maintaining a “Buy” rating, reflecting a broader sentiment of confidence in the company's financial health and growth prospects.

Earlier in June 2025, Jefferies had raised Block's price target from $70 to $75, citing strategic hiring and an expansion of direct sales roles aimed at increasing market reach. These moves indicated a positive outlook on Block's growth strategy and market positioning at the time.

The series of analyst revisions underscores the dynamic evaluation of Block's financial performance and strategic direction. While recent adjustments reflect confidence in the company's growth potential, particularly in Square's market share expansion and Cash App's user engagement, concerns over reliance on lending activities and structural profit growth persist.

The upcoming Q3 earnings release will be crucial in confirming or dispelling these expectations, potentially driving further adjustments in analyst ratings and price targets. The markets will be closely watching for evidence of continued momentum in Square's GPV and insights into the profitability of Cash App's various initiatives.