Wells Fargo saw Block Inc (NYSE:SQ) as a unique disruptor within Fintech and looked to sustain share gains by its Square and Cash App businesses over the next two years.
Square appears particularly well-positioned to gain share as it continues moving upmarket and expanding internationally. Similarly, it saw Cash App's growth remains strong as it continues attracting highly engaged users to the platform.
Further, it also appreciated the ongoing "connecting" of Square and Cash App (along with Afterpay). It expects the dynamics would support Block's solid and above-peer revenue and gross profit growth rates, driving further appreciation in the shares and rated SQ Overweight.
