Block Inc. (ticker: XYZ) shares fell sharply, dropping more than 20% following the release of its first-quarter 2025 earnings report, which revealed a substantial earnings per share (EPS) miss and lowered full-year guidance. The company reported EPS of $0.56, significantly below the estimated $0.97, and revenue of $5.77 billion compared to the expected $6.19 billion. Key performance indicators showed mixed results: Cash App revenue declined 7% year-over-year while Square revenue increased 7%, with gross profits rising 10% and 9% respectively. Despite these gains, Cash App's user stagnation and monetization challenges weighed heavily on the outlook, prompting several analyst downgrades, including from Benchmark and Seaport Global Securities, with the latter labeling Block as "not an investable story" at present. JPMorgan lowered its price target from $90 to $60, citing a rare top-line miss and unexpected weakness at Cash App. The company also cut its full-year profit forecast to $9.96 billion from $10.22 billion. Block's stock has declined about 25% over the past five years. CEO Jack Dorsey is reportedly pursuing various strategies to reignite growth, including expanding field sales efforts and exploring bitcoin mining hardware. The market reaction reflects concerns over Block’s ability to convert Cash App users into more profitable banking customers amid broader challenges in the fintech sector.