Recent comments in /f/wallstreetbets

psychoticdream t1_j9tmghf wrote

Reply to comment by DelahDollaBillz in Pimco-Owned Office Landlord Defaults on $1.7 Billion Mortgage by downboat

Right! But this push to protect the wealthy landlords and corporations is what caused a push to return to normal and do away with covid mitigations way before it should have been ok.

The end result is a lot of sick employees and mounting losses..

Whatever..... The likely winners out of all this will probably be insurance companies

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computerblue754 t1_j9tk4b1 wrote

Reply to $SQ (Block Inc) Revenue Growth -0.73%, Total Operating Expenses +55%, Stock-based Compensation +64%, Negative Adjusted OI Outlook 🤷‍♂️ by FI_investor

If you notice, bitcoin revenue and costs are almost 1:1, which means that that aspect of the business is largely a pass through for cash app customers. I put little value on that initiative. There is really good growth in the core transactions and services businesses. If you don’t believe me, look at how the legacy payment processors are getting crushed by square in the smb space. I would ignore bitcoin in any analysis of the company. Without it revenue was up 30% y/y, which is tough to come by in this economy for tech.

The increase in stock based comp is necessary to keep employees from leaving after last year’s massive decline.

Overall, the valuation is a little rich at 4x core transactions and services sales. But that’s always been the case for square.

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