Is Block, Inc. overvalued or undervalued?

As of 7 July 2025, the valuation grade for Block, Inc. has moved from fair to attractive, indicating a more favorable assessment of its market position. The company appears to be undervalued, supported by a P/E ratio of 12, a PEG ratio of 0.10, and an EV to EBITDA ratio of 15.84. In comparison, peers such as Cognizant Technology Solutions Corp. have a P/E of 13.98, while Broadridge Financial Solutions, Inc. shows a significantly higher P/E of 46.07, highlighting Block's relative attractiveness in the market.
Despite a challenging year-to-date return of -8.97% compared to the S&P 500's 12.22%, Block, Inc. has outperformed the index over the past year with a return of 15.93% against the S&P 500's 17.14%. This performance, combined with its attractive valuation ratios, suggests that Block, Inc. may present a compelling investment opportunity.