Block Inc (ASX: XYZ) shares opened 2% higher on Friday to $115.06, after already jumping 4.5% higher on Thursday. That's lifting the gain over the past 12 months to around 17%. Despite that solid run, the Afterpay owner still looks like a very interesting proposition for growth-focused investors.
Block offers exposure to some of fintech's most attractive growth themes, including payments, lending, financial services, point-of-sale software, and buy now, pay later. Its Cash App, Square and Afterpay businesses give it multiple avenues to capture that growth.
Investors may also have another reason for optimism: analysts believe Block shares are far from done.
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Block has multiple growth engines
Block has one of the most attractive long-term growth runways in the ASX tech sector. The company owns Square, Cash App, Afterpay, and other payment and financial technology businesses, giving it exposure to merchants, consumers, payments, lending, point-of-sale tools, buy now, pay later, and broader financial services.
Two powerful ecosystems sit at the centre of the strategy of Block shares. Cash App serves consumers, while Square provides payments, software, and financial services to businesses. Afterpay adds another connection between shoppers and merchants.
Cash App's opportunity extends well beyond peer-to-peer payments. The app is increasingly becoming a financial hub where customers can receive wages, use a debit card, save, borrow, invest, and pay for purchases.
That gives Block several ways to deepen relationships with existing users. Someone who starts by sending money to a friend could eventually use Cash App as their primary financial account.
Is Block's strategy starting to pay off?
The strategy appears to be gaining momentum. Cash App gross profit rose 38% year on year in the first quarter of FY26, while consumer lending origination volume jumped 82%.
Square provides another substantial growth engine. Its combination of payments, point-of-sale hardware, banking tools, and industry-specific software allows sellers to manage more of their operations through a single platform.
International expansion could provide another leg of growth for Block shares. Square's international gross payment volume rose 35% year on year in the latest quarter, yet international volumes remain materially smaller than those in the US, representing approximately 22% of total Square GPV.
AI could add another growth catalyst
Block is also investing in practical artificial intelligence.
Moneybot is now live across Cash App, while Managerbot is being scaled across Square sellers. The tools are designed to help customers and merchants take action rather than simply receive information.
If AI helps sellers identify problems, improve workflows, or understand patterns, Square could become even more valuable. Similarly, AI-powered financial guidance could encourage deeper Cash App engagement.
Analysts see major upside
Analysts remain broadly optimistic about Block shares, with several brokers maintaining buy ratings based on the company's long-term growth potential and prospects for a rebound as economic conditions stabilise.
The average 12-month price target stands at $172.33, implying approximately 50% upside from the current share price.
The most bullish forecasts reach as high as $256, suggesting potential returns of approximately 123%.
For investors seeking exposure to a diversified fintech business, Block's combination of Cash App, Square, Afterpay, and AI initiatives could make the shares one of the more interesting long-term growth opportunities in the ASX technology sector.
