Why is the Block share price sliding today?

The BNPL ASX share appears to be following in the footsteps of its US counterpart.

| More on:
A young man sits on the floor with his back against a sofa hunched over his phone in one hand and his other hand on top of his head as though he is seeing bad news as his face looks sad and anguished.

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Key points

  • Block on the ASX is sliding by more than 3% today 
  • The company's NYSE listing also descended more than 5% today 
  • A broker downgrade on the US listing may have impacted the Block share price 

The Block Inc (ASX: SQ2) share price is in the red today. Block shares are currently swapping hands at $115.12, a 3.45% fall.

For perspective, the S&P/ASX 200 Index (ASX: XJO) is 0.36% in the green at the time of writing.

Let's take a look at what could be impacting the Block share price today.

US listing slides

Block shares may be down, but it is not the only buy now, pay later (BNPL) ASX share to slide today. The Openpay Group Ltd (ASX: OPY) share price is down 6.35%, Sezzle Inc (ASX: SZL) shares have dropped 2.17%, and the Zip Co Ltd (ASX: ZIP) share price is descending 0.53%. Meanwhile, Beforepay Group Ltd (ASX: B4P) shares are climbing 1.27%. The S&P/ASX All Technology Index (ASX: XTX) is falling 1.2% today.

Block's ASX share price appears to be following in the footsteps of the company's US listing. Block Inc (NYSE: SQ) fell 5.29% on the New York Stock Exchange on Monday.

Daiwa Securities cut the price target on Block's US listing to $100 from $170. This is still 25% more than the current share price of $79.70. Further, Daiwa relegated the share from a "strong buy" to "buy".

Block recently reported a 22% fall in revenue to US$3.96 billion. However, gross profit jumped 34% year on year to US$1.29 billion. The company also reported a positive start to the second quarter of this year.

Block listed on the ASX for the first time in February after acquiring Afterpay.

Block share price snapshot

The Block share price has descended 35% on the ASX since it listed, while it is down 32% in the past month alone. In the last week, Block shares have slumped by 14%.

For perspective, the benchmark ASX 200 index has dropped nearly 5% in the year to date.

Block has a market capitalisation of about $5 billion based on the current share price.

Should you invest $1,000 in Microsoft right now?

Before you buy Microsoft shares, consider this:

Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now... and Microsoft wasn't one of them.

The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

And right now, Scott thinks there are 5 stocks that may be better buys...

See The 5 Stocks *Returns as of 30 April 2025

The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Block, Inc. The Motley Fool Australia has positions in and has recommended Block, Inc. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on BNPL shares

A young woman smiles as she rides a zip line high above the trees.
BNPL shares

How Zip shares rebounded 45% from their 7 April lows to beat the ASX 200

Did you catch what happened with Zip shares in April?

Read more »

A young woman in a shop hands her credit card to the cashier.
BNPL shares

Up 41% in 3 weeks, should I buy Zip shares today?

Zip shares have been on a tear in April. Now what?

Read more »

A young woman smiles as she rides a zip line high above the trees.
BNPL shares

Zip share price rockets 15% on record cash earnings!

It’s a great day to own Zip shares today. Here’s why.

Read more »

A young woman in a shop hands her credit card to the cashier.
Share Gainers

Zip share price rockets 20% on $50 million buyback news

Zip shares are surging ahead of the company’s planned $50 million buyback.

Read more »

BNPL written on a smartphone.
BNPL shares

Down almost 40% this year, can Zip shares turn around?

Is it time to buy now or wait until later?

Read more »

A man looking at his laptop and thinking.
BNPL shares

Buy, hold, or sell: What's the verdict on Zip shares?

Time to buy the dip on Zip, or time to close the case for good?

Read more »

Overjoyed man celebrating success with yes gesture after getting some good news on mobile.
Earnings Results

Zip share price jumps 11% on record half year result

This buy now pay later provider has delivered another impressive result.

Read more »

A young woman in a shop hands her credit card to the cashier.
BNPL shares

Own Zip shares? Here's what to watch when the company reports next week

After big returns in 2024, here’s what to expect from the buy now, pay later company in next week’s report. 

Read more »