Should Square’s Deeper Thrive Integration Reshape the Omnichannel Narrative for Block (XYZ) Investors?

• Earlier this month, Square announced it had expanded its partnership with Thrive, rolling out a deeper integration that lets retailers manage product catalogs and inventory in Square while automatically syncing updates to Shopify across several international markets.
• This tighter Square–Thrive link effectively turns Square into the central system of record for omnichannel sellers, aiming to cut manual work, prevent overselling, and support small retailers juggling both in‑store and online operations.
• Next, we’ll examine how Block’s expanded Thrive integration, which strengthens Square’s omnichannel offering, could influence the company’s broader investment narrative.

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Block Investment Narrative Recap

To own Block, you need to believe in its ability to grow both sides of its ecosystem: Square for merchants and Cash App for consumers, while managing rising competition and credit and crypto risks. The expanded Thrive integration fits neatly into Square’s push to be the operating system for omnichannel retailers, but it is unlikely to shift near term focus away from Cash App engagement and credit quality, which remain the key catalyst and risk right now.

Among recent developments, Block’s investor day stands out as most relevant here, with management highlighting 26 revenue streams each generating over US$100 million in gross profit. That diversification helps frame the Thrive news as part of a broader effort to deepen Square’s role with merchants, which may matter if competition and fee compression in core payments start to bite more than the market expects.

Yet even as Square strengthens its omnichannel tools, investors should be aware that rising customer acquisition and marketing costs could...

Read the full narrative on Block (it's free!)

Block’s narrative projects $32.8 billion revenue and $2.4 billion earnings by 2028.

Uncover how Block's forecasts yield a $84.01 fair value, a 29% upside to its current price.

Exploring Other Perspectives

Sixteen fair value estimates from the Simply Wall St Community span roughly US$56.93 to US$103, underlining how differently people see Block’s upside. Set against this, the key risk around rising customer acquisition and marketing costs could have real implications for how those long term expectations play out.

Explore 16 other fair value estimates on Block - why the stock might be worth as much as 58% more than the current price!

Build Your Own Block Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Block research is our analysis highlighting 3 key rewards and 1 important warning sign that could impact your investment decision.
• Our free Block research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Block's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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