10 Best Bitcoin and Blockchain Stocks To Buy Right Now

1. Block, Inc. (NYSE:SQ)

Number of Hedge Fund Holders: 64

Block, Inc. (NYSE:SQ) is a technology company focusing on financial services. Block comprises Square, Cash App, Spiral, TIDAL, and TBD. Square offers an integrated ecosystem of commerce solutions, business software, and banking services for sellers to grow their business while Cash App allows sending, spending, or investing money in stocks or bitcoin. Spiral advances the use of Bitcoin by building and funding free, open-source projects while TIDAL is a platform for musicians and their fans. TBD eases access to Bitcoin and other blockchain technologies.

The core businesses of Block, Inc. (NYSE:SQ) remain robust with strong gross profit growth for both Square and Cash App. The firm has also expanded its addressable market over time. With Square representing an approximately $130 billion gross profit opportunity and Cash App representing a nearly $75 billion gross profit opportunity in the US, the market potential is solid. The strong profitable growth across Block depicts that its ecosystems are efficiently delivering differentiated value to its customers.

In the third quarter, Block’s gross profit rose 19% year-over-year to $2.25 billion. Square generated a gross profit of $932 million, up 16% year-over-year, due to strength in its software and integrated payments and banking products. Cash App generated a gross profit of $1.31 billion, up 21% year-over-year, driven by strong performance across Cash App Card, Cash App Borrow, and BNPL platform. Overall, the firm delivered year-over-year improvement across all profitability measures.

While we acknowledge the potential of SQ as an investment, our conviction lies in the belief that some deeply undervalued AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for a deeply undervalued AI stock that is more promising than SQ but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock.

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