StoneCo Ltd. (NASDAQ: STNE), a leading provider of financial technology and software solutions in Brazil, recently saw a reduction in its holdings by Allspring Global Investments Holdings LLC. According to the company’s latest disclosure with the Securities and Exchange Commission (SEC), Allspring Global Investments Holdings LLC trimmed its holdings in StoneCo by 11.9% during the second quarter of this fiscal year. The fund sold 315,456 shares, leaving it with a remaining 2,329,133 shares of StoneCo stock. This decrease in holdings represents approximately 0.75% ownership of StoneCo, valued at $29,673,000 by the end of the quarter.
StoneCo’s most recent earnings report showed promising results for investors. On August 16th, the company announced earnings per share (EPS) of $0.94 for the quarter, surpassing analysts’ consensus estimates of $0.86 by $0.08. The quarterly net margin was reported at 7.51%, with a return on equity of 6.66%. StoneCo also generated revenue of $2.95 billion in this period, exceeding analysts’ expectations of $2.90 billion.
Compared to the same quarter last year, StoneCo experienced a significant growth rate in quarterly revenue, which rose by 28.2%. This positive performance demonstrates the company’s ability to adapt and thrive in an ever-evolving market landscape.
StoneCo specializes in providing financial technology and software solutions to merchants and integrated partners across various channels like in-store, online, and mobile platforms. The company mainly distributes its solutions through proprietary Stone Hubs that offer localized sales and services tailored to specific markets or regions.
By leveraging its expert sales team and strategic partnerships with both brick-and-mortar retailers and digital merchants alike, StoneCo maintains a wide reach throughout Brazil’s e-commerce sector.
Looking ahead to the current fiscal year, equities analysts anticipate that StoneCo will report earnings per share of 0.76. This projection underscores the confidence in StoneCo’s future prospects within the Brazilian market and its ability to continue delivering strong financial performance.
In summary, despite Allspring Global Investments Holdings LLC reducing its holdings in StoneCo during the second quarter of this fiscal year, the company’s recent earnings report indicates solid growth and profitability. With a diverse range of financial technology and software solutions, StoneCo is well-positioned to navigate Brazil’s thriving e-commerce landscape and capitalize on future opportunities for success.
Disclaimer: The information provided in this article is based solely on public data released by StoneCo Ltd. and does not constitute investment advice. Potential investors should conduct their research or seek professional guidance before making any investment decisions based on this information.
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StoneCo Ltd. Gains Attention and Investment Interest from Hedge Funds and Institutional Investors
StoneCo Ltd., a financial technology company based in Brazil, has recently gained attention in the investment world. Hedge funds and institutional investors have been actively buying and selling shares of the company, indicating the potential they see in its future.
One prominent hedge fund, BlackRock Inc., has significantly boosted its holdings in StoneCo. During the third quarter of this year, BlackRock increased its ownership by 27.8%, acquiring an additional 4,666,575 shares. With this increase, BlackRock now owns a total of 21,451,911 shares valued at $204,437,000.
Another hedge fund, Point72 Asset Management L.P., also took notice of StoneCo’s potential and grew its position by 191.7% during the fourth quarter. Point72 now owns 12,021,200 shares valued at $113,480,000.
FMR LLC joined the trend as well and expanded its position in StoneCo by 20.7% during the first quarter. The firm now holds 11,703,891 shares valued at $111,655,000.
State Street Corp also acknowledged the value of investing in StoneCo and grew its position by 2.8% during the first quarter. The corporation currently owns 4,643,429 shares valued at $44,298,.
Additionally SPX Gestao de Recursos Ltda acquired a new stake in StoneCo during the first quarter worth approximately $41 million.
Overall it can be estimated that approximately 77.54% of the stock is currently owned by institutional investors and hedge funds.
On Monday October 2nd , STNE opened at $10.67 on NASDAQ . Over the past year there has been a fluctuation in stock prices for StoneCo Ltd.. The lowest price recorded was $8.09 while the highest reached $14.83.
The company’s recent average stock prices indicate a positive upward trend. The 50-day moving average stands at $12.36 with the two-hundred day moving average close behind at $12.11.
When evaluating the company’s financial health, we can consider its current and quick ratios. StoneCo boasts a current ratio of 1.27 and a quick ratio of 1.27, both solid indicators of its ability to meet short-term obligations.
StoneCo Ltd.’s market capitalization currently stands at $3.33 billion, with a price-to-earnings ratio of 21.78 suggesting an optimistic outlook on potential earnings. The PEG ratio, another indicator of growth potential, is recorded at 0.25 indicating that the company’s stock may be undervalued in relation to its projected future earnings growth rate.
The stock also has a beta value of 2.24, which shows higher volatility compared to the overall market.
Several equities research analysts have weighed in on StoneCo Ltd.’s prospects, offering different opinions on its investment potential. Goldman Sachs Group raised their price target on StoneCo from $12 to $13.70 and maintained a “neutral” rating for the company.
Evercore ISI issued an “outperform” rating and lifted their target price from $19 to $22, while Cantor Fitzgerald reissued an “overweight” rating with a target price of $18.
HSBC upgraded StoneCo from “hold” to “buy,” raising their target price from $11 to $15.Worth mentioning JPMorgan Chase & Co., issued a neutral rating for the stock and increased the target price from$12to$13on August 22nd.
Ultimately, six equities research analysts have assigned a hold rating and five have assigned it a buy rating with an average consensus target price standing at$16.25 according Bloomberg data.
In conclusion, StoneCo Ltd.’s recent activities in the investment market have caught the attention of many hedge funds and institutional investors. With an increasing number of shares being bought and sold, it indicates a promising future for the company. The stock prices have been experiencing fluctuation over the past year but show positive signs of growth. The opinions of various equities research analysts further highlight the potential success of StoneCo Ltd., with most offering a favorable outlook for its investment potential.
