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Both of these enemies will drop a variety of loot, including: bomb, Dwarf Scroll III, Dwarf Scroll IV, gold bar, mega bomb, solar essence, squid ink, or a diamond of prismatic shard (only if you’ve already reached the bottom of the mines, though).
While the dangerous Squid Kid is a bit difficult to beat, neither of these enemies are particularly difficult — and they can even offer some great rewards if you take the time to defeat them.
Source: https://www.distractify.com/p/where-to-find-squid-kid-stardew-valley
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