iStock.com/Ong-ad Nuseewor Square Stock Making a Strong Comeback
After a terrible fourth quarter, the U.S. stock market seems to have finally started to recover. One of the stocks that bounced back extremely quickly was Square Inc (NYSE:SQ).
Square is a mobile payments company headquartered in San Francisco, California. It was founded by Jack Dorsey and Jim McKelvey in 2009 and went public in November 2015. Notably, Dorsey is also the co-founder of Twitter Inc (NYSE:TWTR) and currently serves as the chief executive officer (CEO) of both Twitter and Square.
On Wednesday, January 9, Square stock surged 4.4%. Looking a bit further back, we see that SQ stock is up more than 17% year-to-date. Mind you, we only had six trading days so far this year, which makes SQ stock’s performance particularly impressive.
Why did the stock climb so fast?
Why Square Stock Was Soaring
Well, the most recent catalyst seems to be the introduction of a new feature that allows developers to use Square’s payment system within their mobile apps.
On January 9, the company launched the “Square In-App Payments Software Development Kit” (SDK). Thanks to this kit, developers and sellers can process payments with Square within their consumer-facing mobile apps.
The SDK is supposed to be very easy to use as the company said: “With just a few lines of code, developers can easily and professionally build a fully PCI compliant, secure, and elegant Square-powered payments flow in their Android or iOS apps.” (Source: “Square Launches Payments SDK, Enabling Developers to Process Payments With Square in Their Mobile Apps,” Square Inc, January 9, 2019.)
Investors liked the news as Square stock surged as much as 5.5% after the announcement before closing with a 4.4% gain for the day.
Another piece of major news for SQ stock recently