Using the PEG framework with analyst consensus forward EPS growth of 25.0%, Block, Inc. has a fair value of $139.38 based on NTM EPS (FY2026) of $5.58. The current PEG ratio is 0.18.
PEG < 1 = bargain, 1–1.5 = fair, > 2 = expensive.
Growth above 25% is capped — hypergrowth may not be sustainable long-term.
| EPS Growth RateForward | 81.6% |
| Adjusted Growth (clamped 8–25%)Clamped | 25.0% |
| Fair P/E | 25.0x |
| NTM EPS (FY2026) | $5.58 |
| Fair Value | $139.38 |
| Period | EPS Est. | Growth | Analysts |
|---|---|---|---|
| FY2025 (actual) | $2.10 | — | — |
| FY2026E | $5.58 | +165.5% | 30 |
| FY2027E | $6.93 | +24.3% | 5 |
2Y Forward EPS CAGR: 81.6%
| Year | Net Income | EPS | YoY |
|---|---|---|---|
| FY2021 | $166.3M | $0.33 | — |
| FY2022 | $-540.7M | $-0.93 | -381.8% |
The PEG Fair Value uses the Price/Earnings-to-Growth framework. A stock is fairly valued when its P/E ratio equals its earnings growth rate (PEG = 1.0). This model adds dividend yield to the growth rate per the original PEGY formula.
Growth rate priority: analyst consensus forward EPS CAGR (when ≥ 3 analysts cover the stock), falling back to historical EPS CAGR. Using EPS rather than net income avoids distortion from share buybacks. The growth rate is clamped between 8% and 25% — below 8% would undervalue stable earners, while above 25% would overvalue unsustainable spikes.
| FY2023 | $9.8M | $0.02 | — |
| FY2024 | $2.9B | $4.55 | +28516.4% |
| FY2025 | $-1.4M | $2.10 | -53.8% |
4Y Historical EPS CAGR: 58.8%