Square stock was hit hard on Tuesday following a negative note from Raymond James analyst John Davis.
The note from Davis claims that Square (NYSE:SQ) isn’t going to be able to maintain the fast growth its has seen recently. This includes concerns about the company’s acquisition of Weebly and Zesty.
Another concern that the Raymond James analysts has about Square stock is the company’s ability to repeat success. He doesn’t think it will be able to launch another product anytime soon that will give it the same boost that its Instant Deposit one did.
All of this negativity is already bad enough for Square stock, but it gets worse. The note from Davis also includes a downgrade for the company’s stock. This has him dropping SQ stock from a rating of “Market Perform” to a new rating of “Underperform,” reports TheStreet.com.
To go along with that new rating for Square stock, there’s a change to the price target for it as well. This change drops the price target for SQ stock to $56. That represents a roughly 27% decline from the stock’s closing price of $76.21 on Monday.
All of this news from Raymond James analyst John Davis has been a real blow to Square stock today. The stock is currently down 9% as of Tuesday afternoon. However, SQ stock is still up 33% since the start of the year.
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As of this writing, William White did not hold a position in any of the aforementioned securities.
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