Square (SQ) Lowered to “Neutral” at UBS Group

Square (NYSE:SQ) was downgraded by equities researchers at UBS Group from a “positive” rating to a “neutral” rating in a research report issued on Thursday, The Fly reports.

Other equities research analysts have also issued research reports about the company. Buckingham Research raised Square from a “neutral” rating to a “buy” rating and lifted their price objective for the stock from $65.00 to $85.00 in a report on Monday, August 6th. Credit Suisse Group raised Square from a “neutral” rating to an “outperform” rating and lifted their price objective for the stock from $44.00 to $81.00 in a report on Thursday, July 19th. Guggenheim lifted their price objective on Square from $75.00 to $100.00 and gave the stock a “buy” rating in a report on Wednesday, August 29th. Canaccord Genuity raised Square from a “hold” rating to a “buy” rating and lifted their price objective for the stock from $60.00 to $90.00 in a report on Friday, October 12th. Finally, SunTrust Banks lifted their price objective on Square to $74.00 and gave the stock a “buy” rating in a report on Wednesday, October 17th. They noted that the move was a valuation call. Three investment analysts have rated the stock with a sell rating, fourteen have given a hold rating, eighteen have assigned a buy rating and one has assigned a strong buy rating to the company’s stock. The stock presently has an average rating of “Hold” and an average target price of $78.59.

Shares of Square stock opened at $73.27 on Thursday. Square has a 1 year low of $34.14 and a 1 year high of $101.15. The firm has a market cap of $31.73 billion, a PE ratio of -732.70 and a beta of 4.30. The company has a quick ratio of 2.18, a current ratio of 2.18 and a debt-to-equity ratio of 0.99.

Square (NYSE:SQ) last announced its earnings results on Wednesday, November 7th. The technology company reported $0.13 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.11 by $0.02. Square had a negative return on equity of 3.18% and a negative net margin of 2.30%. The firm had revenue of $431.00 million during the quarter, compared to analyst estimates of $414.19 million. During the same period last year, the firm posted $0.07 EPS. The business’s revenue was up 67.7% compared to the same quarter last year. Equities analysts expect that Square will post -0.04 earnings per share for the current fiscal year.

In other news, CEO Jack Dorsey sold 103,035 shares of Square stock in a transaction dated Wednesday, October 31st. The stock was sold at an average price of $71.78, for a total transaction of $7,395,852.30. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director James Morgan Jr. Mckelvey sold 400,000 shares of Square stock in a transaction dated Wednesday, October 24th. The shares were sold at an average price of $72.32, for a total value of $28,928,000.00. Following the sale, the director now owns 472,275 shares of the company’s stock, valued at approximately $34,154,928. The disclosure for this sale can be found here. In the last 90 days, insiders sold 2,300,650 shares of company stock valued at $187,755,700. 27.99% of the stock is owned by corporate insiders.

Several institutional investors and hedge funds have recently modified their holdings of the company. Centaurus Financial Inc. bought a new stake in Square in the 2nd quarter worth approximately $100,000. Huntington National Bank lifted its position in 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 buying an additional 1,725 shares during the last quarter. Columbia Asset Management bought a new stake in Square in the 3rd quarter worth approximately $114,000. Girard Partners LTD. bought a new stake in Square in the 3rd quarter worth approximately $138,000. Finally, Rehmann Capital Advisory Group lifted its position in 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 buying an additional 2,008 shares during the last quarter. Hedge funds and other institutional investors own 51.25% of the company’s stock.

About Square

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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