Block Inc To Hit ‘Rule Of 40’ By 2026 Despite $70 Million Party, Says JPMorgan

Block Inc.‘s (NYSE:XYZ) third quarter may not have been as clean as investors hoped, but JPMorgan analyst Tien-tsin Huang isn’t losing faith. The analyst called the third quarter results “not as straightforward as hoped, but still solid overall,” and reaffirmed his Overweight rating on the stock with a $100 price target, arguing that “the right energy and pieces are in place” for Block to achieve the coveted Rule of 40 by 2026.

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The company’s quarter was a mix of momentum and margin noise — and yes, a $70 million company event that weighed on profitability. But Huang said the focus should be on improving trends in both Cash App and Square, which together …

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