Latest news with #Square
Yahoo
2 days ago
- Business
- Yahoo
Meet the Newest Growth Stock Joining the S&P 500. It's Up 73% Since the Start of May, but It's Not Too Late to Buy.
Key Points The S&P 500 is getting a shake-up with the addition of a new fintech stock. While the stock's growth has slowed considerably over the last few years, management plans to increase marketing to grow. The business should exhibit strong economies of scale, leading to high earnings growth over the long run. 10 stocks we like better than Block › While many think of the S&P 500 as an index of unchanging companies that have stood the test of time, the truth is the index is constantly in flux. The committee in charge of determining the 500 companies included in the index is constantly evaluating its members and ensuring they maintain a set of standards required for inclusion. If a company becomes unprofitable or declines in value too much, the committee will replace it with a more deserving company when it reconstitutes the index every quarter Another instance when the committee will add new stocks to the index is when one of the companies gets acquired, delisting their stock from the market. Such was the case earlier in July, which led to The Trade Desk's inclusion in the index. Just a week later, the committee added Block (NYSE: XYZ) to replace Hess following the latter's acquisition by Chevron. Despite a big jump in Block's stock price on the news, building on a considerable increase in its share price since the start of May, investors can still buy shares of the company at a fair price. Here's what you need to know. Refocusing on profitable growth After incredibly strong adoption for both of its financial products on the consumer and seller sides during the pandemic, Block has experienced a bit of a hangover. In fact, it's seen a marked deceleration in its gross profits (a more fitting metric than revenue for the business) over the last year. Its first-quarter gross profit growth came in at just 9% -- the fourth straight quarter of decelerating gross profits, down from 22% growth in the year-ago period. The challenge isn't isolated to Square (its seller service) or Cash App (its consumer service). Both have seen considerable slowdowns. Management has plans to turn things around in the second half of the year. It's rolling out Cash App Borrow nationwide, based on its acquisition of Afterpay. It expects to be able to increase loan limits and reduce defaults using its wealth of consumer data and machine learning algorithms. It's also planning to increase its marketing spend, focusing on niche customers like teens and their families. Meanwhile, it continues to roll out new features and products for Square to grow revenue and improve retention. Despite the slowdown in its top line, Block has managed to improve its profitability, boosting its earnings per share (EPS). Adjusted operating income grew 28% year over year in Q1 on the back of margin expansion. While the step-up in marketing for Cash App will weigh on its margins, it should help reaccelerate its top line. And that's still a big opportunity for Block. Management estimates the total addressable market for Square is $130 billion and $75 billion for Cash App. While it's focused on small segments of each market, it's still underpenetrated with just $9 billion of gross profit over the past year. While increased marketing spend will pressure profitability in the near term, the nature of Block's core businesses benefit from scale with minimal marginal operating costs. That should produce strong earnings growth over the long run. A fair price for a fintech leader With big opportunity ahead for the company, investors interested in fintech stocks should consider adding Block to their portfolio. As of this writing, the stock trades for just under 30 times forward adjusted earnings estimates. As the company reaccelerates its top-line growth to double digits over the next few quarters, it should put itself on a path to sustain that pace over the long run. As long as it maintains cost discipline, it should see strong margin expansion over time as it scales. That should lead to strong EPS growth, justifying the current price. On top of the fintech business, investors also get access to a Bitcoin business. The company generates a small amount of revenue from the spread on Bitcoin sales through Cash App. It also owns Bitkey, a self-custody Bitcoin wallet, and Proto, a suite of Bitcoin mining products and services. Management expects the latter to contribute to gross profit starting this year. Additionally, it holds Bitcoin on its balance sheet. While Bitcoin represents a tiny piece of Block's business today, it could provide strong upside if there's broader adoption of the cryptocurrency. In the meantime, the core fintech business looks poised to bounce back from its recent downturn. While the increase in stock price reflects growing investor confidence in the turnaround efforts, there's still time for investors to buy the stock at the current price. Should you invest $1,000 in Block right now? Before you buy stock in Block, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Block wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $636,628!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,063,471!* Now, it's worth noting Stock Advisor's total average return is 1,041% — a market-crushing outperformance compared to 183% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of July 28, 2025 Adam Levy has positions in Bitcoin. The Motley Fool has positions in and recommends Bitcoin, Block, Chevron, and The Trade Desk. The Motley Fool has a disclosure policy. Meet the Newest Growth Stock Joining the S&P 500. It's Up 73% Since the Start of May, but It's Not Too Late to Buy. was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
2 days ago
- Business
- Yahoo
Meet the Newest Growth Stock Joining the S&P 500. It's Up 73% Since the Start of May, but It's Not Too Late to Buy.
Key Points The S&P 500 is getting a shake-up with the addition of a new fintech stock. While the stock's growth has slowed considerably over the last few years, management plans to increase marketing to grow. The business should exhibit strong economies of scale, leading to high earnings growth over the long run. 10 stocks we like better than Block › While many think of the S&P 500 as an index of unchanging companies that have stood the test of time, the truth is the index is constantly in flux. The committee in charge of determining the 500 companies included in the index is constantly evaluating its members and ensuring they maintain a set of standards required for inclusion. If a company becomes unprofitable or declines in value too much, the committee will replace it with a more deserving company when it reconstitutes the index every quarter Another instance when the committee will add new stocks to the index is when one of the companies gets acquired, delisting their stock from the market. Such was the case earlier in July, which led to The Trade Desk's inclusion in the index. Just a week later, the committee added Block (NYSE: XYZ) to replace Hess following the latter's acquisition by Chevron. Despite a big jump in Block's stock price on the news, building on a considerable increase in its share price since the start of May, investors can still buy shares of the company at a fair price. Here's what you need to know. Refocusing on profitable growth After incredibly strong adoption for both of its financial products on the consumer and seller sides during the pandemic, Block has experienced a bit of a hangover. In fact, it's seen a marked deceleration in its gross profits (a more fitting metric than revenue for the business) over the last year. Its first-quarter gross profit growth came in at just 9% -- the fourth straight quarter of decelerating gross profits, down from 22% growth in the year-ago period. The challenge isn't isolated to Square (its seller service) or Cash App (its consumer service). Both have seen considerable slowdowns. Management has plans to turn things around in the second half of the year. It's rolling out Cash App Borrow nationwide, based on its acquisition of Afterpay. It expects to be able to increase loan limits and reduce defaults using its wealth of consumer data and machine learning algorithms. It's also planning to increase its marketing spend, focusing on niche customers like teens and their families. Meanwhile, it continues to roll out new features and products for Square to grow revenue and improve retention. Despite the slowdown in its top line, Block has managed to improve its profitability, boosting its earnings per share (EPS). Adjusted operating income grew 28% year over year in Q1 on the back of margin expansion. While the step-up in marketing for Cash App will weigh on its margins, it should help reaccelerate its top line. And that's still a big opportunity for Block. Management estimates the total addressable market for Square is $130 billion and $75 billion for Cash App. While it's focused on small segments of each market, it's still underpenetrated with just $9 billion of gross profit over the past year. While increased marketing spend will pressure profitability in the near term, the nature of Block's core businesses benefit from scale with minimal marginal operating costs. That should produce strong earnings growth over the long run. A fair price for a fintech leader With big opportunity ahead for the company, investors interested in fintech stocks should consider adding Block to their portfolio. As of this writing, the stock trades for just under 30 times forward adjusted earnings estimates. As the company reaccelerates its top-line growth to double digits over the next few quarters, it should put itself on a path to sustain that pace over the long run. As long as it maintains cost discipline, it should see strong margin expansion over time as it scales. That should lead to strong EPS growth, justifying the current price. On top of the fintech business, investors also get access to a Bitcoin business. The company generates a small amount of revenue from the spread on Bitcoin sales through Cash App. It also owns Bitkey, a self-custody Bitcoin wallet, and Proto, a suite of Bitcoin mining products and services. Management expects the latter to contribute to gross profit starting this year. Additionally, it holds Bitcoin on its balance sheet. While Bitcoin represents a tiny piece of Block's business today, it could provide strong upside if there's broader adoption of the cryptocurrency. In the meantime, the core fintech business looks poised to bounce back from its recent downturn. While the increase in stock price reflects growing investor confidence in the turnaround efforts, there's still time for investors to buy the stock at the current price. Should you invest $1,000 in Block right now? Before you buy stock in Block, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Block wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $636,628!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,063,471!* Now, it's worth noting Stock Advisor's total average return is 1,041% — a market-crushing outperformance compared to 183% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of July 28, 2025 Adam Levy has positions in Bitcoin. The Motley Fool has positions in and recommends Bitcoin, Block, Chevron, and The Trade Desk. The Motley Fool has a disclosure policy. Meet the Newest Growth Stock Joining the S&P 500. It's Up 73% Since the Start of May, but It's Not Too Late to Buy. was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
New York Post
3 days ago
- Business
- New York Post
The ‘trailer park spritz' dubbed drink of the summer — and experts call it a recession indicator
Cheers to cheap beers. Talk of the 'drink of the summer' has begun. This year, ome people might argue that it's the Hugo spritz, or perhaps the Paper Plane, which was crowned 2025's 'drink of the year.' Yet with the rising costs of inflation, and ensuing shrinking wallets, a lot of people are turning to the Spaghett — a Miller High Life with a splash of Aperol and a squeeze of lemon — as a more budget-friendly option for a refreshing hot weather bev, according to Business Insider. 3 The Spaghett used to be a drink that was only known to those who worked in bars and restaurants. Brent Hofacker – It goes by many names: the NASCAR Negroni, the hobo Negroni or the trailer park spritz. Essentially, it's an Aperol spritz sans the pricey prosecco. And what better to replace the bubbly than with the champagne of beers? Experts are saying that the rising popularity of the the Spaghett could be due to drinkers keeping an eye on their wallets. Considering a typical Aperol spritz could cost anywhere betwee $15 and $20 in NYC, the cheaper beer version is a big part of the appeal. It will save quite a few bucks to go for the knock-off, especially since the beer is cheap to begin with. Bar man Stuart Wellington, the owner of Hinterlands, Minnie's and Commonwealth in Brooklyn, told BI that Miller High Life is his 'recession beer.' 'I've definitely noticed within a certain portion of my, let's say, moderately employed regulars, they went from drinking draft beer to switching over to just drinking High Lifes,' he said. 3 Stuart Wellington, a Brooklyn bar owner, said that Miller High Life is his 'recession beer.' Refrina – And the thought of turning a beer into a Spaghett 'has a little bit of, 'Oh, we're going something fun today,'' Wellington added. Orders for Spaghetts in the first half of 2025 have increased by 65% from last year, according to data from payment platform Square, and since 2022, orders for Spagetts are up 1,000%. Square's data shows that the number of Spaghetts on bar receipts has risen over the past five years, and Google searches for the poor man's Aperol spritz have spiked this summer. Despite the Spaghett is finding a home on more bar menus as of late, they're also easy to DIY at home — just crack open a beer, pour a little out or drink a swig, then put in a half a shot of Aperol. Before people started spreading the word about the existence of the Spaghett, it was a kind of secret-menu drink for 'service industry nerds and other weirdos that are in the know,' Wellington said. 3 The Spaghett consists of a bottled beer, typically a Miller High Life, topped with a splash of Aperol. Birgit Reitz-Hofmann – There's also been a push from Miller High Life to make the drink more popular. In July, he company introduced the Spaghett-sicle, a push-up pop version of the drink with up to 5% ABV, as the 'the ultimate way to toast to summer.' The brand has seen the dive-bar drink gain 'steady momentum' over the past year, Jacquelyn Caldwell, an associate brand marketing manager for Miller High Life, told the outlet. 'It started as a bartender favorite in dive bars — mixed directly in the High Life bottle, no frills, just great flavor. From there, it evolved from an under-the-radar pick to a popular choice,' she said.
Business Insider
5 days ago
- Business
- Business Insider
The drink of the summer is a sign of a recession
Every year, it feels like there are multiple claimants to the title of "drink of the summer." For the fancy, maybe 2025 is the year of the Hugo spritz. But if your finances are a little more stretched, which a lot of people's are, you might be opting for this year's more economical option: the Spaghett. Also known as the NASCAR spritz, the hobo Negroni, or the trailer park spritz, the drink consists of a bottled beer — often a Miller High Life — topped up with a splash of Aperol and maybe some lemon juice (a lot of people don't bother with the last bit). It's a way to fancy up your drink without fancying up the price tag too much. And the Spaghett's popularity has been on the rise, as more drinkers feel increasing pressure on their wallets. Recession indicator? Maybe. Let's call it the recession Aperol spritz. Data from the payments platform Square shows that orders for Spaghetts in the first half of 2025 are up by 65% from last year, and since 2022, Spaghett orders are up by 1000%. The number of Spaghetts showing up on bar receipts has risen over the past five years, per Square's data. Google searches for Spaghetts have spiked this summer. Much of the interest is organic — Spaghetts are appearing more on menus, they're easy to make at home, and the word is spreading about their existence, both on social media and in real life. There's also been a corporate effort to make Spaghetts more of a thing. Miller High Life introduced the Spaghett-sicle in July, a push-pop version of the drink. Though, the $79 price tag for a six-pack is not as wallet-friendly as the regular version you'd find at a local dive or the one you could concoct in your kitchen. Given that an Aperol spritz could easily run you $15, the cost of the knock-off beer version is part of the draw. "Sparkling wine comes with that assumed price tag because it doesn't really matter what people are paying for it on the backend; they're still going to charge you a fair amount," says Tom Brander, the beverage director at Wilder, a restaurant in Philadelphia. "At a dive bar, you can just get a little bit of Aperol." The origin of the Spaghett can be traced back to Wet City Brewing in Baltimore in the mid-2010s, where a bartender created it as a sort of " bastardized Aperol spritz." Part of the Spaghett's allure has been that it's familiar to those who work in bars and restaurants. It's sort of a secret menu item. Stuart Wellington, the owner of Hinterlands, Minnie's, and Commonwealth in Brooklyn, jokes it's a drink for "service industry nerds and other weirdos that are in the know." It trickled out across the city, region, and eventually the country from there, getting a Bon Appétit writeup in 2019. "Nobody could have foreseen that this silly little one-off cocktail would be this big," says Alexander Rudy, a bartender in Austin who used to live in Baltimore. "It's kind of like an industry handshake." Jacquelyn Caldwell, an associate brand marketing manager for Miller High Life, says the brand has seen the Spaghett gain "steady momentum," especially over the past year. "It started as a bartender favorite in dive bars — mixed directly in the High Life bottle, no frills, just great flavor. From there, it evolved from an under-the-radar pick to a popular choice," she says. There are a lot of facets to the Spaghett's appeal. It's simple to make — you crack open a beer, maybe pour a little out or drink one swig, and then just toss in a half a shot of Aperol. The aperitif adds complexity to a drink without a lot of effort. While it's typically created with a High Life, you can attempt it with other beers, too. One bartender tells me Aperol in a hazy IPA is "fire." The people serving them up also appreciate the simplicity. "Pricier drinks take time to assemble, so the ability to churn out a round of drinks quickly, even if they are less expensive, is important when it is busy," says Frederic Yarm, a bartender and writer in Boston. In an era of more people watching their alcohol intake, the Spaghett has a relatively low ABV compared with a lot of other options. The drink is a sort of orangey-pink, it plays into the bottled cocktail trend, and it's just kind of fun to say the word "Spaghett." "With the popularity of the Aperol spritz, you can only have so many until you're ready to venture into the next thing," says Julianna McIntosh, the founder of Join Jules, a cocktail blog, and the author of the book "Pretty Simple Cocktails." It's a lot of guys who drink Spaghetts, but it appeals to women, too. "It's a way easier way for, I would say, to get the female demographic into beer," McIntosh says. Chances are, you're not going to find a Spaghett on the menu at a high-end cocktail bar or expensive restaurant. It's one you come across in dive bars and more middle-of-the-road establishments, if it's on the menu at all — a lot of the time, you just have to ask for it. When Mawuli Grant Agbefe, a substitute teacher and Spaghett fan in Chicago, first started ordering Spaghetts, he'd sometimes have to explain what it was to the bartender. But he's started to notice it pop up on menus over the past year or two. He likes the taste, and he thinks it's an especially good option when it's hot out. "Before I got into the Spaghett, I liked the Miller High Life plain, but after a bunch of High Life over the years, you kind of want to gussy it up sometimes," he says. Part of the charm of beer cocktails is making something not special a little special. The other part of the equation: the price. Trading down from an Aperol spritz to a Spaghett usually puts a few bills back in your pocket, while swapping a regular beer for a Spaghett isn't going to break the bank, especially if the regular beer is cheap to begin with. Wellington, the Brooklyn bar owner, calls Miller High Life his "recession beer." "I've definitely noticed within a certain portion of my, let's say, moderately employed regulars, they went from drinking draft beer to switching over to just drinking High Lifes," he says. His average weekly order of High Life has gone up "considerably" over the past five years. Wellington has a buddy who has a full Spaghett setup at home, complete with a premixed squeeze bottle of Aperol and lime juice. Though he felt like they really hit last summer, he still sees them around and orders them himself. The idea of turning a beer into a Spaghett "has a little bit of, 'Oh, we're going something fun today,'" he says. The Spaghett is also cheaper than the other bar insider's secret combo — a beer and a shot of Fernet. "As consumers are looking to pull back a bit on spending and shift to lower ABV beverages, we've seen a rise in the popularity of beer cocktails — across restaurants on Square, orders for Spaghetts and other beer and spirit mixes have been increasing over the past few years," says Ming-Tai Huh, the head of food and beverage at Square. After a bunch of High Life over the years, you kind of want to gussy it up sometimes. When I ask bartenders how much they charge people for the Spaghett, particularly if it's not on the menu, most of them laugh. One says they'll add a dollar or two onto the price of the beer they use as the base. Another says they may double the price of the already-inexpensive beer, or add the Aperol on as a shot. Others admit it's a bit of an it-depends situation — they might just let the splash of Aperol go and charge only the beer. When people are nervous about the economy, they start to look for ways to get more bang for their buck. They trade restaurant visits for meals at home. They switch international vacations for more local destinations. Alcohol can be a place where people do some amount of splurging — who among us has been at a bar and had a drink or two more than anticipated? But they also find ways to cut corners. They buy alcohol in smaller bottles, or they try to find options that still do the trick, inebriation-wise, without breaking the bank. I'm not really a beer gal, and until recently, I had not heard of the Spaghett. I did go try one at a local bar, and let's just say it's not for me. But it is for plenty of other people. When I mentioned it to a coworker, they sent me a picture of their pink-hued High Life from the Fourth of July weekend. At a work event, I brought Spaghetts up to a stranger in passing, and he raved about them — this summer, they're his main drink. And whatever your liquor proclivities, once you start to notice a beer cocktail in one place, you notice them everywhere — the Corona sunrise, the beermosa, the lagerita, the shandy. Beer companies are finding ways to zhuzh it up for price-conscious drinkers in other ways, too, and consumers are biting. Garage Beer, a Midwestern beer startup backed by the Kelce brothers, says its lime version is now outselling its regular light version. As much as Americans are becoming more conscious about their drinking habits, they're still drinking plenty. And in many cases, they're seeking cheaper ways to do it. After all, a lot of the reason Gen Z has been late to booze is that they can't afford it. After years of inflation, economic turmoil, and now, tariffs, consumers are strained. They're finding ways to stretch their buck, whether that's stocking up on frozen pizza or buying fewer snacks. When they do imbibe, many are looking for lower-cost options. The Spaghett is budget-friendly while still a little fun. And if it sounds a little gross, McIntosh says to give it a whirl anyway — you might be surprised. "Don't knock it till you try it," she says. "It's actually really, really fun."
Metro
7 days ago
- Entertainment
- Metro
EastEnders star Tamzin Outhwaite reveals her son, 17, is transgender
EastEnders star Tamzin Outhwaite has revealed that her eldest child is transgender. The Melanie Owen actress explained how Flo, now 17, revealed his identity when he was 'about 10 or 11' on the Parenting Hell Podcast. 'I've got two kids. I did have two daughters and now I have a son and a daughter,' she said. 'That's quite easy for me to say now, but it wasn't maybe six or seven years ago.' As she gushed about her children's successes, she was quick to point out that being transgender wasn't the most interesting thing about Flo. 'He's an incredibly funny intelligent boy, and I'm watching him grow into a wonderful human who's very talented. 'To see him thriving is just nothing but relief and joy for me really because there were some dark times.' As well as Flo, Tamzin has a 12-year-old daughter called Marnie, with both children having been fathered by actor Tom Ellis. Tom and Tamzin divorced in 2014. Soap fans will best know the actress for her role as Melanie Owen in BBC soap EastEnders. With thousands of members from all over the world, our vibrant LGBTQ+ WhatsApp channel is a hub for all the latest news and important issues that face the LGBTQ+ community. Simply click on this link, select 'Join Chat' and you're in! Don't forget to turn on notifications! The character first rocked up in the Square in 1998 and was involved in some huge storylines, including the dramatic scene that saw her ditch Ian Beale (Adam Woodyatt) on their wedding day. She later went on to be involved in a major love triangle with Walford bad boys Phil Mitchell (Steve McFadden) and Steve Owen, who she married and fathered a child with. More Trending After leaving the show in 2002, Mel returned in 2018. Her second stint came to a dramatic end after the death of son Hunter, who was shot after taking hostages in the Queen Vic. View More » In tragic scenes, Mel took her own life by walking out in front of a lorry in 2019. MORE: EastEnders star who played Michael Moon unrecognisable in new ITV drama MORE: EastEnders legend praises 'beautiful support' as she issues significant cancer update MORE: Hollyoaks re-casts star as character stages return after three years
