StoneCo (NASDAQ:STNE) Reaches New 1-Year Low – What’s Next?

Shares of StoneCo Ltd. (NASDAQ:STNE) reached a new 52-week low on Monday. The company traded as low as $7.04 and last traded at $7.4590, with a volume of 4,427,751 shares traded. The stock had previously closed at $11.48.

Wall Street Analyst Weigh In

Several analysts have recently weighed in on the company. Weiss Ratings upgraded StoneCo from a “hold (c-)” rating to a “hold (c)” rating in a research report on Tuesday, October 20th. UBS Group reaffirmed a “buy” rating on shares of StoneCo in a research note on Thursday, October 15th. Jefferies Financial Group began coverage on shares of StoneCo in a report on Thursday, July 23rd. They set a “hold” rating and a $12.60 price objective for the company. Finally, Bank of America cut shares of StoneCo from a “buy” rating to a “neutral” rating and set a $13.00 price objective for the company. in a research report on Wednesday, July 15th. Four equities research analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus price target of $14.30.

StoneCo Stock Down 29.6%

The firm has a market capitalization of $2.01 billion, a PE ratio of 3.25, a PEG ratio of 0.32 and a beta of 1.68. The company has a fifty day simple moving average of $10.26 and a two-hundred day simple moving average of $11.02. The company has a debt-to-equity ratio of 0.84, a quick ratio of 1.26 and a current ratio of 1.26.

StoneCo (NASDAQ:STNE) last announced its quarterly earnings results on Thursday, August 13th. The company reported $0.47 EPS for the quarter, beating the consensus estimate of $0.46 by $0.01. The firm had revenue of $129.73 million for the quarter, compared to analyst estimates of $708.24 million. StoneCo had a return on equity of 22.19% and a net margin of 22.92%. Analysts forecast that StoneCo Ltd. will post 2.21 EPS for the current fiscal year.

Insider Transactions at StoneCo

In other StoneCo news, Director Silvio Morais sold 21,000 shares of the stock in a transaction dated Wednesday, September 2nd. The shares were sold at an average price of $9.91, for a total transaction of $208,110.00. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink.

Institutional Investors Weigh In On StoneCo

Large investors have recently modified their holdings of the business. SBI Securities Co. Ltd. boosted its stake in shares of StoneCo by 19.5% during the third quarter. SBI Securities Co. Ltd. now owns 6,109 shares of the company’s stock valued at $57,000 after purchasing an additional 995 shares in the last quarter. Robeco Institutional Asset Management B.V. raised its stake in StoneCo by 559.3% in the third quarter. Robeco Institutional Asset Management B.V. now owns 6,885,009 shares of the company’s stock worth $64,306,000 after buying an additional 5,840,741 shares in the last quarter. Kapitalo Investimentos Ltda purchased a new stake in StoneCo during the third quarter worth $4,296,000. GAMMA Investing LLC lifted its holdings in StoneCo by 63.1% during the third quarter. GAMMA Investing LLC now owns 6,339 shares of the company’s stock worth $59,000 after buying an additional 2,452 shares during the period. Finally, Andra AP fonden boosted its position in StoneCo by 159.5% during the 2nd quarter. Andra AP fonden now owns 1,593,600 shares of the company’s stock valued at $17,275,000 after acquiring an additional 979,400 shares in the last quarter. Institutional investors own 73.19% of the company’s stock.

StoneCo Company Profile

StoneCo Ltd. is a financial technology company that provides payment processing and business-management solutions primarily to small and medium-sized businesses in Brazil. Through its Stone brand, the company enables merchants to accept payments in physical stores and online, including card, digital-wallet and other electronic transactions.

Its products and services include point-of-sale terminals, payment gateways, transaction processing, digital banking and financial-account services, as well as working-capital and other credit solutions for eligible merchants.