Block Stock Slumps Despite Earnings Rising by 65%

Block's stock fell 6% despite reporting a 65% year-over-year jump in adjusted earnings per share, as investors focused on weakening Cash App user growth (3% YoY). However, the company's AI-driven cost efficiencies from a 40% workforce reduction and expectations for 70% full-year earnings growth could present a buying opportunity at a forward P/E of 20.