We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
StoneCo Ltd. (STNE) Stock Sinks As Market Gains: Here's Why
Read MoreHide Full Article
StoneCo Ltd. (STNE - Free Report) closed the latest trading day at $13.41, indicating a -0.67% change from the previous session's end. The stock fell short of the S&P 500, which registered a gain of 0.08% for the day. Elsewhere, the Dow saw a downswing of 0.12%, while the tech-heavy Nasdaq appreciated by 0.07%.
Prior to today's trading, shares of the company had gained 12.59% over the past month. This has outpaced the Computer and Technology sector's loss of 4.62% and the S&P 500's loss of 0.21% in that time.
The investment community will be paying close attention to the earnings performance of StoneCo Ltd. in its upcoming release. The company is slated to reveal its earnings on August 14, 2024. The company's upcoming EPS is projected at $0.34, signifying a 78.95% increase compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $590.74 million, showing a 1.06% drop compared to the year-ago quarter.
For the full year, the Zacks Consensus Estimates are projecting earnings of $1.46 per share and revenue of $2.44 billion, which would represent changes of +50.52% and +0.77%, respectively, from the prior year.
Investors should also pay attention to any latest changes in analyst estimates for StoneCo Ltd. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 2.33% higher. StoneCo Ltd. is currently sporting a Zacks Rank of #2 (Buy).
Looking at its valuation, StoneCo Ltd. is holding a Forward P/E ratio of 9.23. This represents a discount compared to its industry's average Forward P/E of 31.36.
Also, we should mention that STNE has a PEG ratio of 0.35. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Internet - Software stocks are, on average, holding a PEG ratio of 1.8 based on yesterday's closing prices.
The Internet - Software industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 97, positioning it in the top 39% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
StoneCo Ltd. (STNE) Stock Sinks As Market Gains: Here's Why
StoneCo Ltd. (STNE - Free Report) closed the latest trading day at $13.41, indicating a -0.67% change from the previous session's end. The stock fell short of the S&P 500, which registered a gain of 0.08% for the day. Elsewhere, the Dow saw a downswing of 0.12%, while the tech-heavy Nasdaq appreciated by 0.07%.
Prior to today's trading, shares of the company had gained 12.59% over the past month. This has outpaced the Computer and Technology sector's loss of 4.62% and the S&P 500's loss of 0.21% in that time.
The investment community will be paying close attention to the earnings performance of StoneCo Ltd. in its upcoming release. The company is slated to reveal its earnings on August 14, 2024. The company's upcoming EPS is projected at $0.34, signifying a 78.95% increase compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $590.74 million, showing a 1.06% drop compared to the year-ago quarter.
For the full year, the Zacks Consensus Estimates are projecting earnings of $1.46 per share and revenue of $2.44 billion, which would represent changes of +50.52% and +0.77%, respectively, from the prior year.
Investors should also pay attention to any latest changes in analyst estimates for StoneCo Ltd. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 2.33% higher. StoneCo Ltd. is currently sporting a Zacks Rank of #2 (Buy).
Looking at its valuation, StoneCo Ltd. is holding a Forward P/E ratio of 9.23. This represents a discount compared to its industry's average Forward P/E of 31.36.
Also, we should mention that STNE has a PEG ratio of 0.35. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Internet - Software stocks are, on average, holding a PEG ratio of 1.8 based on yesterday's closing prices.
The Internet - Software industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 97, positioning it in the top 39% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.