"That means sooner or later, they'll not only be profitable, but tremendously so." Says who? Growth is great, but it doesn't necessarily mean that profits are

"That means sooner or later, they'll not only be profitable, but tremendously so." Says who? Growth is great, but it doesn't necessarily mean that profits are in the pipeline (e.g. Groupon). And on top of that, what exactly is it that Square does that it's going to be profitable on? Is it the Point of Sale devices? Is it their Square Readers? Is it their small-business loans? They're not a terribly focused company, and maybe that's a reflection of their CEO doing double-time (completely speculation on my part). Personally I see this as their last-ditch effort to grab some cash, to exit before the market gets worse. Their investors don't want to be left holding the bag when the IPO market gets cold, so it's better to cash out now while the name Square is worth something than to bet that they'll get bigger/better in the future.