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StoneCo Ltd. (STNE) Stock Moves -1.13%: What You Should Know

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The most recent trading session ended with StoneCo Ltd. (STNE - Free Report) standing at $11.82, reflecting a -1.13% shift from the previouse trading day's closing. The stock's performance was ahead of the S&P 500's daily loss of 2.24%. On the other hand, the Dow registered a loss of 1.73%, and the technology-centric Nasdaq decreased by 3.07%.

The the stock of company has risen by 21.32% in the past month, leading the Computer and Technology sector's loss of 6.31% and the S&P 500's loss of 4.17%.

The upcoming earnings release of StoneCo Ltd. will be of great interest to investors. The company's earnings report is expected on May 8, 2025. The company's earnings per share (EPS) are projected to be $0.29, reflecting no change from the same quarter last year. At the same time, our most recent consensus estimate is projecting a revenue of $572.46 million, reflecting an 8.13% fall from the equivalent quarter last year.

Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $1.26 per share and revenue of $2.56 billion. These totals would mark changes of -6.67% and +4.13%, respectively, from last year.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for StoneCo Ltd. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 9.54% higher. StoneCo Ltd. presently features a Zacks Rank of #1 (Strong Buy).

Investors should also note StoneCo Ltd.'s current valuation metrics, including its Forward P/E ratio of 9.46. This expresses a discount compared to the average Forward P/E of 24.5 of its industry.

We can also see that STNE currently has a PEG ratio of 0.36. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Internet - Software industry currently had an average PEG ratio of 1.89 as of yesterday's close.

The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 75, which puts it in the top 31% of all 250+ industries.

The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


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