Analyst says ‘it doesn’t matter’ as Block reports a hit to BTC revenue in Q4

2023-2-24 02:13

Block reports a 7.0% decline in its fourth quarter bitcoin revenue. Baird analyst David Koning shares his outlook on the Block stock. Shares of the financial technology company are up 15% year-to-date.

Shares of Block Inc (NYSE: SQ) are trading up in extended hours even though the financial technology company reported a year-over-year decline in its bitcoin revenue.

Baird’s analyst reacts to its quarterly update

The San Francisco-based multinational noted a 7.0% hit to its bitcoin revenue in the recent quarter. Reacting to it on CNBC’s “Closing Bell: Overtime”, Baird’s senior analyst David Koning said:

Bitcoin mattered when Block was at $250 a share. At $70, it doesn’t matter. It’s 4.0% of gross profit. I haven’t even looked closely at it, that’s how much it matters.

BTC generated $35 million of gross profit for Block Inc in Q4 – a 25% year-on-year decline related to the slump in bitcoin price. As of December 31st, the company’s bitcoin holdings had a fair value of $133 million.

Koning is keeping bullish on Block stock

In its letter to shareholders, Block revealed a $9.0 million impairment charge related to its BTC investment in Q4 versus $2.0 million only in the prior quarter.

The stock is still trading up primarily because former Twitter CEO Jack Dorsey’s firm reported overall quarterly revenue that came in slightly above the consensus. Baird’s Koning added:

Cash App crushed it. They accelerated well above the Street. And January and February trends accelerating very nicely. Street’s modelling deceleration in Q1. So, the stock should be up nicely tomorrow.

His price target of $85 a share suggests about a 15% upside on where this stock closed the regular session today. For the full year, Block Inc is now calling for $1.30 billion of adjusted EBITDA. Its forecast for gross profit sits at 25% versus 22% in the recent quarter.

The post Analyst says ‘it doesn’t matter’ as Block reports a hit to BTC revenue in Q4 appeared first on CoinJournal.

Similar to Notcoin - Blum - Airdrops In 2024

origin »

Blocknet (BLOCK) íà Currencies.ru

$ 0.061991 (+1.38%)
Îáúåì 24H $0
Èçìåíåèÿ 24h: 2.15 %, 7d: 12.58 %
Cåãîäíÿ L: $0.061991 - H: $0.061991
Êàïèòàëèçàöèÿ $0 Rank 7385
Öåíà â ÷àñ íîâîñòè $ 0.9825 (-93.69%)

block reports revenue analyst shares stock outlook

block reports → Ðåçóëüòàòîâ: 126


Ôîòî:

Stablecoin Issuer Tether Has Recovered Over $87 Million in USDT Sent to Wrong Addresses

Since its launch, Tether, the company behind the top USD-pegged stablecoin USDT has helped recover more than $87 million sent to wrong addresses, The Block reports, January 22, 2022. Tether Has Recovered Over $87 Million in USDT Transferring cryptocurrencies from one wallet to another can be challenging, especially for the more novice traders and investorsRead More

2022-1-24 00:00


Ôîòî:

Bitcoin Briefly Touches $60,000 Thanks To Reports SEC Won’t Block BTC Futures ETF In The US

The crypto market lodestar has been smashing records since the beginning of this month. The Bitcoin rally gathered pace on Friday after reports emerged that the very first BTC exchange-traded fund (ETF) in the United States is likely to debut in the near future following expected approval by the Securities Exchange Commission (SEC). Bitcoin Futures […]

2021-10-15 15:47


Ôîòî:

Bitcoin Miners in Xinjiang’s Largest Tech Park Ordered to Shut Down

Bitcoin miners in Zhundong, Xinjiang, China, have been told to shut down their rigs, The Block, on June 9, reports. The Blow in Zhundong Officials in Zhundong, acting on orders from the Changji prefecture government in Xinjiang, were instructed to shut down Bitcoin and cryptocurrency mining operations in the Zhundong Economic Technological Development Park byRead More

2021-6-9 14:00


Block.One’s ‘Voice’ Social Network Has An Open Door Policy To Other Blockchains, Not Just EOS

During its June ICO, Block.one had indicated that its Facebook rivaling social network dubbed Voice, would be launched on the EOS network. However, plans seems to have changed as CoinDesk reports. Voice has been touted as a different form of social media network which will have in-built crypto and have the capacity to deal with […]

2020-1-18 01:24


Digital Currency Project Report by Thailand and Hong Kong Is Due to Release in Q1 2020

Digital currency has been a topic of interest since the industry began, but the concept of implementing national versions of these currencies is becoming more and more appealing. Hong Kong and Thailand have expressed interest in establishing their own digital currency as well, controlled by their central banks. According to reports from The Block, we […]

2019-11-8 02:24


New Blockchain Alliance By Chinese Authorities Aims to Improve Trade Finance

Blockchain technology is continually finding itself in different use cases, and the municipal Shanghai government is setting out to improve the use of this fintech for global trade. The collaboration is between the authorities and financial institutions, establishing an alliance that will improve the operations for trade finance. According to reports by The Block and […]

2019-11-8 00:36


Latest MyEtherWallet Chrome Extension Update Gives Full Control to Users, Maximizes Privacy

Open-source, client-side interface for generating Ethereum wallets among others, MyEtherWallet (MEW) has released a Google Chrome Extension on Wednesday, October 30, 2019 update reports The Block. As per the news outlet, the decision for such an update rests in enabling users to establish a burn address to promote better interaction with decentralized apps (DApps). Burn […]

2019-10-31 20:53


New York’s Financial Regulator Searches for Crypto and Blockchain Deputy Superintendent

The blockchain and cryptocurrency industry in New York is very strict, requiring businesses to secure a Bitlicense before they can even operate in the state. Now, with a “special” focus on blockchain and cryptocurrency, The Block reports that the New York State of Financial Services is looking for a deputy superintendent. Based on the job […]

2019-10-4 00:29


Coinbase’s Chief Legal Officer Clears The Air About The Company’s Crypto Ratings Council

Coinbase, a leading crypto-based company offering exchange and digital wallet services in the US has come out to answer concerns regarding its newly established Crypto Ratings Council. The company’s Chief Legal Officer, Brian Brook, responded to questions that the new service could be marred with conflicts of interest, The Block reports. In an interview with […]

2019-10-3 19:43


Ôîòî:

Lakeba Simplifies Property Ownership with Blockchain Technology 

Lakeba Group, a privately held international technology innovation group that focuses on solving problems with new technologies such as blockchain and artificial intelligence (AI), is orchestrating the sale of two apartments in Adelaide’s tallest residential building, Kodo, with distributed ledger technology (DLT) reports Micky on September 24, 2019.

2019-9-25 12:48


Ôîòî:

South Korean Blockchain Industry in Danger of Decline

The blockchain industry in South Korea is reportedly facing a difficult period reports local media platform The Block Post. While the struggles of cryptocurrency exchanges in the country isn’t exactly news, it appears that other crypto-businesses are also experiencing similar problems sparking fears of a slowdown in South Korea’s digital economy advancement.

2019-9-3 21:00


Facebook’s Libra Continues To Receive Worrisome Outlooks From Global Finance Regulators

Libra, the cryptocurrency project headed by Facebook and the Libra Association, is getting heat from several privacy and data protection regulators around the world. According to recent reports made by The Block Crypto, regulators from countries such as the United States, Canada, United Kingdom, Australia and the European Union are all concerned about Libra and […]

2019-8-7 22:35