Is Block, Inc. Stock Underperforming the S&P 500?

Oakland, California-based Block, Inc. (XYZ) builds ecosystems focused on commerce and financial products and services in the United States and internationally. The company has a market cap of $41.5 billion and operates through two segments: Square and Cash App, which offer managed payment services, software solutions, hardware products and other related services.

Companies with a market cap of $10 billion or more are typically referred to as “big-cap stocks.” XYZ fits right into that category, with its market cap exceeding this threshold, reflecting its substantial size and influence in the software infrastructure industry. 

Despite its strength, XYZ stock slipped 14.1% from its 52-week high of $82.50, reached on Aug. 8, 2025. The stock is up 8.7% over the past three months, underperforming the S&P 500 Index’s ($SPX) 10.4% rise during the same time frame.    

Moreover, XYZ has lagged behind the broader market over the longer term. The stock has grown 11% over the past 52 weeks, while SPX delivered 27% returns over the same time frame.      

XYZ has been trading above its 200-day moving average since April and also above its 50-day moving average since the end of March. 

On May 7, XYZ stock declined marginally following the release of its Q1 2026 earnings. The mobile payments services provider’s revenue for the quarter amounted to $6.1 billion and missed the Street’s forecasts. Moreover, its adjusted EPS for the period came in at $0.85, surpassing Wall Street estimates. The company expects full-year earnings to be $3.85 per share. 

When stacked against its peer, CoreWeave, Inc. (CRWV), XYZ has outperformed. Over the past year, CRWV stock has declined 33.8%.      

Wall Street is taking a highly optimistic stance on XYZ. Among the 40 analysts covering the stock, the overall consensus rating is a “Strong Buy.” Its mean price target of $88.37 suggests 24.7% rebound potential from current price levels.