Block’s Q3 2025 earnings jumped 64% year over year as the company shifted from losses two years ago to consistent quarterly profits.
The stock trades at 13x trailing earnings versus the S&P 500’s 21x multiple despite delivering 64% earnings growth.
Wall Street’s $84 consensus target implies 30% upside with 94% of analysts rating the stock Buy or Strong Buy.
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Block (NYSE: XYZ) has delivered strong momentum in 2025, with shares climbing steadily as the company demonstrates improving profitability and operational leverage. The fintech platform operator behind Square and Cash App has transformed from losses just two years ago to consistent quarterly profits, with Q3 2025 earnings surging 64% year over year. With Wall Street’s consensus target at $84, investors are asking whether Block can push to $100 in 2026.
Analysts are optimistic about Block’s trajectory. The consensus 12-month price target of $84 implies 30% upside from current levels around $64, with 31 of 33 analysts rating the stock a Buy or Strong Buy. That’s a 94% positive rating.
The bullish view stems from Block’s accelerating profitability. The company’s trailing P/E ratio of just 13 looks attractive for a fintech platform growing earnings at this pace. The S&P 500 trades at roughly 21x forward earnings, meaning Block trades at a significant discount despite delivering 64% earnings growth in Q3.
Yet, it is worth noting that much of Block’s profitability comes from income tax gains rather than operating income. Still, the company’s operating income was negative in 2023 and has steadily rebounded to where it’s reached nearly $1.4 billion in the past 12 months.
Gross profit grew 18% last quarter, driven by Cash App’s 24% expansion and Square’s 9% increase. Both support the thesis that Block is capturing market share in both consumer and merchant payments. Management raised full-year guidance to $10.24B in gross profit.
Reaching $100 would require Block to gain 55% from current levels. At today’s price, Block trades at 13x trailing earnings. If shares hit $100, they would trade at roughly 20x trailing earnings based on current profitability. That’s still below the S&P 500’s average multiple and reasonable for a company demonstrating this growth rate.
(However, as we noted earlier, much of this profit comes from income tax benefits, which helps explain why Block is trading for such a relatively ‘cheap’ P/E ratio.)
This infographic details the bullish case for XYZ stock, projecting a potential price of $100 by 2026, supported by strong growth, profitability, and key catalysts.
What could push Block to $100? Several catalysts stand out. First, the company’s PEG ratio of 1.27 suggests the stock isn’t overvalued relative to growth. Second, Block has a history of dramatically exceeding estimates when execution clicks. In Q2 2021, the company delivered a 113% earnings surprise. In Q1 2021, it beat by 156%. Recent quarters have seen misses, creating lowered expectations heading into 2026 and setting up potential for positive surprises.
Third, retail investor enthusiasm is building. A $1 million bet on Block garnered 338 upvotes and 232 comments on r/wallstreetbets in early December, with sentiment scores reaching 90 (Very Bullish). Peak activity of 69 upvotes per hour demonstrates significant retail interest.
Fourth, Block’s AI tools for sellers and expanding bitcoin payment capabilities through Square position the company to capture emerging trends. CEO Jack Dorsey’s bullish commentary about “delivering for customers” reinforces management confidence.
A 55% gain sounds ambitious, but Block has a track record of explosive returns. The stock’s beta of 2.66 indicates high volatility. The company’s transformation from a $541M loss in 2022 to $2.9B in net income in 2024 demonstrates operational leverage that could drive multiple expansion.
In 2017, shares gained 154%
In 2018, they followed up on that performance with 62% gains
In 2020, shares hit 248% returns
While recent years have been hard on Block investors (shares are down more than 20% in 2025 after falling 61% in 2022 and 26% in 2021), the company’s shares could boom if digital assets like bitcoin have a strong year or if sentiment in the digital wallet space improves.
Hitting $100 would require Block to gain 55% in 2026. Wall Street is already forecasting 30% upside, and the stock trades at just 13x earnings despite 64% earnings growth. If Block continues expanding margins, beats lowered expectations, and benefits from a favorable market environment for growth stocks, $100 is achievable. For a company with Block’s profitability trajectory and retail enthusiasm, we’ve outlined the blueprint for how it could happen.
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