XP (NASDAQ:XP) Stock Price Up 4.2% – Here’s What Happened

Shares of XP Inc. (NASDAQ:XP) traded up 4.2% during mid-day trading on Monday . The company traded as high as $18.58 and last traded at $18.41. 1,886,332 shares were traded during trading, a decline of 68% from the average daily volume of 5,847,335 shares. The stock had previously closed at $17.66.

Analyst Upgrades and Downgrades

Several equities research analysts have issued reports on the company. Weiss Ratings downgraded XP from a “hold (c)” rating to a “hold (c-)” rating in a research report on Tuesday, August 18th. Itau BBA Securities upgraded XP from a “market perform” rating to an “outperform” rating and set a $22.00 price target for the company in a research report on Monday. Finally, UBS Group decreased their price objective on XP from $28.00 to $25.00 and set a “buy” rating on the stock in a research note on Wednesday, June 3rd. Four analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company. According to data from MarketBeat.com, XP has an average rating of “Moderate Buy” and an average target price of $23.00.

XP Stock Performance

The business’s fifty day moving average price is $16.50 and its 200-day moving average price is $17.94. The company has a debt-to-equity ratio of 0.07, a current ratio of 4.80 and a quick ratio of 4.80. The stock has a market capitalization of $9.85 billion, a PE ratio of 9.60, a P/E/G ratio of 0.51 and a beta of 1.10.

XP (NASDAQ:XP) last issued its quarterly earnings data on Monday, August 17th. The company reported $0.53 EPS for the quarter, beating the consensus estimate of $0.50 by $0.03. The company had revenue of $943.55 million during the quarter, compared to analysts’ expectations of $935.15 million. XP had a net margin of 27.20% and a return on equity of 22.19%. XP’s revenue for the quarter was up 8.3% on a year-over-year basis. During the same quarter in the previous year, the company earned $2.46 earnings per share. As a group, equities research analysts expect that XP Inc. will post 2.11 EPS for the current year.

XP announced that its board has initiated a stock buyback program on Tuesday, May 19th that permits the company to repurchase $0.00 in outstanding shares. This repurchase authorization permits the company to repurchase shares of its stock through open market purchases. Stock repurchase programs are generally a sign that the company’s board of directors believes its stock is undervalued.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the company. Corient Private Wealth LP bought a new position in shares of XP in the second quarter worth $402,000. California State Teachers Retirement System boosted its stake in XP by 1,232.5% during the second quarter. California State Teachers Retirement System now owns 1,108,363 shares of the company’s stock valued at $18,022,000 after buying an additional 1,025,185 shares during the period. AXQ Capital LP boosted its stake in XP by 59.0% during the second quarter. AXQ Capital LP now owns 60,929 shares of the company’s stock valued at $991,000 after buying an additional 22,600 shares during the period. Public Employees Retirement System of Ohio purchased a new position in XP during the second quarter worth about $12,377,000. Finally, Parallel Advisors LLC grew its position in XP by 117.3% during the first quarter. Parallel Advisors LLC now owns 3,288 shares of the company’s stock worth $63,000 after buying an additional 1,775 shares in the last quarter. 59.15% of the stock is currently owned by hedge funds and other institutional investors.

XP Company Profile

XP Inc provides financial products and services in Brazil. It offers securities brokerage, private pension plans, commercial, and investment banking products, such as loan operations and transactions in the foreign exchange markets and deposits; product structuring and capital markets services for corporate clients and issuers of fixed income products; advisory services for mass-affluent and institutional clients; and wealth management services for high-net-worth customers and institutional clients.