Block price target raised to $90 from $82 at Raymond James

Raymond James raised the firm’s price target on Block (XYZ) to $90 from $82 and keeps an Outperform rating on the shares. Block delivered strong Q1 results with an 18% adjusted operating profit beat and a 4% gross profit beat versus consensus, driven primarily by Cash App’s outperformance as gross profit rose 39% and meaningfully exceeded expectations, supported by rapid growth in Cash App Borrow, while Square saw solid GPV growth tempered by a hardware-related margin headwind, the analyst tells investors in a research note. Despite tougher 2H comparisons and expected moderation in Cash App growth, management raised full-year gross profit and operating income guidance beyond the Q1 upside, leaving an attractive risk-reward profile overall, the firm says.