Block Shares Sink Most in Five Years on Reduced Profit Guidance

Shares of Block Inc. are on a downward spiral after the parent of the popular money-transfer app Cash App reported results that suggest weakness in the company’s efforts to convert millions of active users into full-fledged banking customers.

The stock sank as much as 24% on Friday, the most in more than five years, and traded at the lowest level since November 2023 after Block cut its full-year profit guidance as a result of a more challenging macro environment. The digital-payments company is also know for the Square seller systems ubiquitous across coffee shops and other small merchants.