• In May 2026, Magnolia Soap & Bath Co. and The Hat each announced they had selected Block’s Square platform to power operations across more than 60 combined locations, spanning omni-channel retail and multi-location restaurant management.
• These wins highlight Square’s growing role as a unified commerce backbone for franchise and multi-location brands that need consistent data, inventory visibility, and customer experience across an expanding footprint.
• Now we’ll explore how Square’s role in standardizing Magnolia’s omni-channel infrastructure could influence Block’s existing investment narrative around scaling business tools.

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Block Investment Narrative Recap

To own Block, you need to believe its two-sided ecosystem of Cash App and Square can keep deepening engagement while improving profitability. The Magnolia Soap & Bath Co. and The Hat wins reinforce Square’s role in omni-channel and multi-location commerce, but do not materially change the most immediate catalyst, which is restoring earnings growth after recent net losses, or the key risk around dependence on Cash App growth and increasingly competitive payments and lending markets.

The Magnolia Soap & Bath Co. rollout is particularly relevant here because it showcases Square for Retail and Square for Franchises as a standardized backbone across 50 plus locations. That kind of multi-site deployment sits squarely within the existing catalyst around scaling Square’s business tools, and helps illustrate how Block is trying to support larger, more complex merchants even as it balances risks from competitive pressure and rising go-to-market costs.

Yet even as Square wins larger franchise brands, investors should be aware that rising credit and lending exposure could still...

Block's narrative projects $32.8 billion revenue and $2.4 billion earnings by 2028.

Uncover how Block's forecasts yield a $85.52 fair value, a 13% upside to its current price.

Exploring Other Perspectives

Some of the most optimistic analysts were already modeling revenue of about US$39,000,000,000 and earnings near US$4,700,000,000 by 2029, so if you lean bullish you might see Magnolia’s Square rollout as incremental support for that bolder AI enabled and omni channel growth story, while more cautious readers will want to compare these assumptions with the credit, competition, and product complexity risks that could pull the outcome in a very different direction.

Explore 8 other fair value estimates on Block - why the stock might be worth as much as 29% more than the current price!

Reach Your Own Conclusion

Don't just follow the ticker - dig into the data and build a conviction that's truly your own.

• A great starting point for your Block research is our analysis highlighting 2 key rewards and 1 important warning sign that could impact your investment decision.
• Our free Block research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Block's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.