With a $16.0 billion market value, Square Inc (NYSE:SQ) ranks in the top 10% of its industry group, Information Technology Services, and in the top quarter of its sector group, Technology Services, in market value. From the viewpoint of investment attractiveness, the stock's current Portfolio Grader score places it 8 among the 115 companies in this industry group, positioning it among the leaders; in the top decile of the sector with a ranking of 26 among the 327 companies in the sector, and number 238 in the nearly 5,000 company Portfolio Grader universe.
Portfolio Grader currently ranks SQ as a Strong Buy. The methodology for fundamental and quantitative metrics used in this stock evaluation tool developed by Louis Navellier, researches and ranks approximately 5,000 stocks each week. This represents no change from the previous week and is the same ranking SQ has had from Portfolio Grader for 7 months.
The Technology Services sector is ranked number 2 among the 20 sectors in the Portfolio Grader universe putting it in the top quartile of all the GICS sectors. The Information Technology Services industry group is ranked 22 among the 129 industry groups within the GICS sectors, placing it above-average in terms of the Navellier scoring system.
Square has received above-average scores in 3 of the 8 fundamental areas analyzed by Portfolio Grader in the ranking of company stocks.
SQ's operational scores provide mixed results with a ranking for sales growth that is well above the industry average but rankings for operating margin and earnings growth are below average. Scores for visibility of earnings are mixed, with a ranking for earnings revisions and earnings surprises that are discernibly better than average, while the score for earnings momentum is worse than average. SQ's metrics for cash flow and return on equity are worse than its industry group average. Square's fundamental scores give SQ a place in the top half of the industry group.
Portfolio Grader uses the Navellier Proprietary Quantitative Score to gauge SQ's shares from the aspect of risk/reward. This unique scoring methodology balances the relative value of the company's shares based on the current price of the shares relative to its peers, the market and risk associated with its industry and sector groups. Using this risk/reward calculation, SQ currently scores well above-average in its industry group compared to its peers.
Louis Navellier's proprietary Portfolio Grader stock ranking system assesses roughly 5,000 companies every week based on a number of fundamental and quantitative measures. Stocks are given a letter grade based on their results, with A being 'strong buy' and F being 'strong sell'. Explore the tool here.
Commentary provided by UpTick Data Technologies.