Square shares jump after Bank of America upgrade

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Source: Square

Underperformance in 2019 and conservative 2020 guidance sets Square up for a rally in the new year, according to Bank of America.

The firm upgraded shares of the payments company to buy from neutral, sending the stock up 3.2% to $64.57 per share on Tuesday. Bank of America also hiked its 12-month price target to $75 from $70, near 20% upside to Monday's closing price of $62.57 per share.

"Following significant underperformance in 2019, we see an attractive entry point in SQ," said Bank of America research analyst Jason Kupferberg in a note to clients Tuesday.

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