Block price target raised by $8 at Deutsche Bank, here’s why

Deutsche Bank analyst Bryan Keane raised the firm’s price target on Block to $98 from $90 and keeps a Buy rating on the shares. Despite weak stock performance by payment peers, Block continues to “shine fundamentally with one of the few beat and raise stories in the sector,” the analyst tells investors in a research note. The firm sees slight Cash App upside being driven by the incremental penetration of financial services and the continued rollout of an integrated commerce platform. Meanwhile, Square should continue posting positive yields and the roll out of new go-to-market initiatives over the coming quarters, it adds. Deutsche Bank says Block is the “best house in a tough neighborhood.” It cites strong fundamentals for the target increase.