Investors Buy Square (SQ) on Weakness

Investors purchased shares of Square, Inc. (NYSE:SQ) on weakness during trading on Wednesday. $385.61 million flowed into the stock on the tick-up and $358.48 million flowed out of the stock on the tick-down, for a money net flow of $27.13 million into the stock. Of all stocks tracked, Square had the 33rd highest net in-flow for the day. Square traded down ($0.67) for the day and closed at $78.05

Several equities research analysts have weighed in on SQ shares. KeyCorp reissued an “overweight” rating and set a $70.00 price target (up previously from $55.00) on shares of Square in a research report on Tuesday, June 19th. Nomura increased their price target on shares of Square from $65.00 to $82.00 and gave the company a “buy” rating in a research report on Thursday, June 21st. Stephens cut shares of Square from an “overweight” rating to an “equal weight” rating in a research report on Tuesday, June 26th. Citigroup increased their price target on shares of Square from $47.00 to $67.00 and gave the company a “neutral” rating in a research report on Thursday, June 28th. Finally, SunTrust Banks increased their price target on shares of Square from $45.00 to $66.00 and gave the company a “hold” rating in a research report on Friday, June 29th. Four investment analysts have rated the stock with a sell rating, eleven have given a hold rating, nineteen have issued a buy rating and one has issued a strong buy rating to the stock. Square presently has an average rating of “Hold” and an average target price of $72.64.

The company has a debt-to-equity ratio of 0.99, a quick ratio of 2.18 and a current ratio of 2.18. The firm has a market capitalization of $40.64 billion, a P/E ratio of -781.60 and a beta of 4.33.

Square (NYSE:SQ) last issued its quarterly earnings data on Wednesday, August 1st. The technology company reported $0.13 EPS for the quarter, topping the Thomson Reuters’ consensus estimate of ($0.01) by $0.14. Square had a negative net margin of 2.30% and a negative return on equity of 3.18%. The business had revenue of $385.00 million during the quarter, compared to analyst estimates of $367.99 million. During the same period in the prior year, the business earned $0.07 EPS. The company’s revenue for the quarter was up 60.4% on a year-over-year basis. Equities analysts forecast that Square, Inc. will post -0.04 EPS for the current year.

In related news, insider Sivan Whiteley sold 1,875 shares of the stock in a transaction dated Thursday, August 2nd. The shares were sold at an average price of $69.84, for a total value of $130,950.00. Following the completion of the transaction, the insider now directly owns 526,299 shares in the company, valued at approximately $36,756,722.16. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CEO Jack Dorsey sold 103,035 shares of the stock in a transaction dated Wednesday, August 15th. The stock was sold at an average price of $73.93, for a total transaction of $7,617,377.55. The disclosure for this sale can be found here. Insiders sold a total of 1,888,510 shares of company stock valued at $156,182,876 over the last 90 days. Company insiders own 27.99% of the company’s stock.

Institutional investors have recently modified their holdings of the stock. Centaurus Financial Inc. bought a new position in shares of Square in the 2nd quarter worth about $100,000. Huntington National Bank increased its stake in shares of Square by 1,725.0% in the 2nd quarter. Huntington National Bank now owns 1,825 shares of the technology company’s stock worth $112,000 after acquiring an additional 1,725 shares in the last quarter. Raymond James Trust N.A. bought a new position in shares of Square in the 3rd quarter worth about $225,000. Envestnet Asset Management Inc. increased its stake in shares of Square by 1,476.2% in the 1st quarter. Envestnet Asset Management Inc. now owns 2,317 shares of the technology company’s stock worth $114,000 after acquiring an additional 2,170 shares in the last quarter. Finally, Rehmann Capital Advisory Group increased its stake in shares of Square by 649.8% in the 2nd quarter. Rehmann Capital Advisory Group now owns 2,317 shares of the technology company’s stock worth $143,000 after acquiring an additional 2,008 shares in the last quarter. Institutional investors own 51.86% of the company’s stock.

Square Company Profile (NYSE:SQ)

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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