2 Recently Launched Square Products Are Game-Changers

A customer uses a chip reader built into Square Register.

Square 's (NYSE: SQ) business continued its strong momentum in the second quarter, as the company reported yet another quarter of accelerating revenue growth and management increased its top-line outlook for the full year again.

Of course, investors have come to expect exceptional results from the financial technology company. Square stock's mind-boggling 180% rise over the last twelve months means the pressure is on for the company to keep delivering strong growth across its business, as it executes on the growth opportunities in front of it.

Fortunately, there's good reason to expect more strong growth from Square. And two of those reasons are evident from looking at the company's recently launched products: Square Register and Square for Restaurants.

Square Register is resonating with sellers

Announced late last year, Square's latest point-of-sale device -- Square Register -- is still new to the market. And investors are still learning how it is contributing to Square's business. While it's become increasingly clear the device is helping the company attract larger sellers, management provided some extra insight about the device during this earnings call.

Square CFO Sarah Friar said Register, which is the company's priciest POS device yet, is appealing to "sellers of all sizes" due to being a better experience overall for customers:

As Square's first POS device with two displays -- one for the customer and one for the seller -- it seems to demonstrate incremental demand for a device that gives customers a better experience.

Friar added that the device does generally attract larger sellers, with an average gross payment volume (GPV) of about $300,000 for sellers using Register.

Square for Restaurants is a winning product

Continuing its momentum in launching new products and services, Square launched an entirely new platform aimed at restaurants earlier this year. Aiming to streamline both front- and back-end operations, the product already looks like a major success.

Consider that an impressive 60% of new Square for Restaurants customers are self-onboarding, highlighting both the platform's user-friendly setup process and its ability to attract new customers without significant sales efforts.

Square CEO Jack Dorsey explained why this is noteworthy:

Another reason for investors to be bullish on Square's latest platform is that it's pulling in some impressive customers. The average restaurant seller on the new platform boasts GPV above $650,000, Dorsey said.

These are just two of Square's more recent product launches that look like big hits. But the company has launched a range of successful products since 2014, including Square Capital, a payroll service, Virtual Terminal, and the Cash App. With a track record like this, it's likely that Square has more promising new products and services on the horizon.

10 stocks we like better than Square

When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has quadrupled the market.*

David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now... and Square wasn't one of them! That's right -- they think these 10 stocks are even better buys.

Click here to learn about these picks!

*Stock Advisor returns as of August 6, 2018

Daniel Sparks owns shares of Square. The Motley Fool owns shares of and recommends Square. The Motley Fool has the following options: short September 2018 $80 calls on Square and long September 2018 $55 puts on Square. The Motley Fool has a disclosure policy .

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

More Related Articles

Sign up for Smart Investing to get the latest news, strategies and tips to help you invest smarter.