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Square price target raised 21% at Deutsche Bank; analyst cites Cash and international opportunities

Deutsche Bank analyst Bryan Keane raised his price target on Square Inc. SQ, -6.33% shares to $57 from $47 on Friday, citing management's plans to invest for enlargement on each the patron and merchant facets of the trade. On the patron aspect, Keane thinks that Square is doing a just right activity of monetizing its peer-to-peer Square Cash app, producing income from more than a third of transactions. He sees Square having success in layering on "value-added solutions" just like the Square Cash debit card and the power for instant deposits. "Payroll payouts directly from the seller to an employee through Square Cash is another possible roll-out (potentially displacing check-based payouts)," Keane wrote. His contemporary conversations with management additionally left him upbeat about Square's efforts to expand the world over. Square shares are down 5% in Friday buying and selling after the inventory used to be downgraded at Craig Hallum Capital Group, and they are on tempo for their worst share decline since February. Shares are up 217% during the last 12 months, compared with a 13% gain for the S&P 500 SPX, -2.10%