Square Inc. (SQ) is an online payments and financial services company. It develops hardware and software to aid businesses operations, including point-of-sale hardware, payments processing and analytics software, a business debit card called Square Card, and a peer-to-peer payment service called Cash App. The company generates revenue through two reported segments: Cash App and Seller, the latter of which includes a variety of managed payment services, software, hardware, and other financial services.
The top shareholders of Square are Alyssa Henry, Mary G. Meeker, Amrita Ahuja, Jack Dorsey, Morgan Stanley, and Vanguard Group Inc.
Square has trailing-12-month (TTM) net income of $310.1 million and revenue of $7.7 billion as of January 5, 2021. At that time, the company had a market capitalization of $104.5 billion.
Below, we look in more detail at Square's top 6 shareholders.
"Insider" refers to people in senior management positions and members of the board of directors, as well as people or entities that own more than 10% of the company's stock. In this context, it has nothing to do with insider trading.
Top 3 Individual Insider Shareholders
Alyssa Henry owns 401,399 shares of Square, representing 0.09% of all outstanding shares. Henry has been Seller Lead at Square since 2014. In this position, she oversees product management, global engineering, design, sales, marketing, partnerships, and a variety of other services for the company. Prior to Square, Henry from 2006 to 2014 was in leadership positions at Amazon.com Inc. (AMZN), including as vice president of Amazon Web Services Storage Services, and at Microsoft Corp. (MSFT). She has served on the boards of companies including Intel Corp. (INTC) and Unity Technologies.
Mary G. Meeker
Mary G. Meeker owns 400,112 shares of Square, representing 0.09% of all outstanding shares. Meeker is an independent director of Square, a role she has held since 2011. Meeker is a prominent technology analyst and venture capitalist who was a partner at VC company Kleiner Perkins from 2010 through 2018. She is a founder of the $1.25-billion growth fund, Bond Capital. She has also worked at Morgan Stanley (MS). She has held board seats at a variety of tech companies, including Plaid, LegalZoom, Soundcloud, and DocuSign.
Amrita Ahuja owns 157,388 shares of Square, representing 0.03% of all outstanding shares. Ahuja has been chief financial officer of Square since 2019, having previously served in executive leadership roles at video game company Activision Blizzard Inc. (ATVI) and at Blizzard Entertainment Inc. She has also held various leadership positions at Fox Networks Group, Walt Disney Co., and Morgan Stanley.
Top 3 Institutional Shareholders
Institutional investors hold the majority of Square shares at about 66.3% of total shares outstanding. A special note that "institutional" doesn't necessarily mean a financial institution. The term refers to the type of U.S. Securities and Exchange Commission (SEC) filings used to track major investments. 13F forms are used for large money managers that hold more than $100 million in assets, while 13D or 13G forms are used for people or institutions which own more than 5% of a company's stock. Each of these forms provides a way for investors to track significant positions made by major investors.
Jack Dorsey owns 59.3 million shares of Square, representing 13.1% of total shares outstanding, according to a 13G filing for the period ending December 31, 2019. Dorsey, whose net worth as of January 7, 2021 is approximately $12.3 billion, co-founded social networking company Twitter Inc. (TWTR) in 2006. He serving as CEO until 2008 and returned as CEO in 2015. He co-founded Square in 2009 and also serves as CEO. In April 2020, Dorsey pledged to donate $1 billion toward COVID-19 relief efforts and related causes, primarily through the sale of Square stock.
Morgan Stanley owns 35.1 million shares of Square, representing 7.8% of total shares outstanding, according to the company's 13F filing for the period ending September 30, 2020. The company is a multinational financial services and investment firm whose offerings include mutual funds and related products. The firm has capital markets, sales and trading, research, and investment banking branches, and its investment management businesses has AUM of roughly $715 billion. Morgan Stanley's Advantage Portfolio (MPAIX) holds Square, which is the largest holding in the portfolio, representing about 7.7% of assets.
Vanguard Group Inc.
Vanguard Group owns 23.2 million shares of Square representing 5.1% of total shares outstanding, according to the company's 13F filing for the period ending September 30, 2020. The company is primarily a mutual fund and ETF management company with about $6.2 trillion in global AUM. The Vanguard Total Stock Market ETF (VTI) holds Square, which comprises approximately 0.2% of the fund's portfolio.