XP Inc. (NASDAQ:XP) Receives $23.00 Average Price Target from Brokerages

XP Inc. (NASDAQ:XP) has received a consensus recommendation of “Moderate Buy” from the six analysts that are currently covering the stock, MarketBeat.com reports. Two analysts have rated the stock with a hold rating and four have given a buy rating to the company. The average twelve-month price target among brokerages that have issued ratings on the stock in the last year is $23.00.

XP has been the subject of a number of research analyst reports. UBS Group decreased their price target on XP from $28.00 to $25.00 and set a “buy” rating for the company in a research note on Wednesday, June 3rd. Weiss Ratings raised shares of XP from a “hold (c-)” rating to a “hold (c)” rating in a research note on Wednesday, September 2nd. Finally, Itau BBA Securities raised shares of XP from a “market perform” rating to an “outperform” rating and set a $22.00 target price on the stock in a research report on Monday, August 31st.

XP Stock Performance

Shares of NASDAQ:XP opened at $19.86 on Friday. XP has a 52 week low of $14.80 and a 52 week high of $23.13. The stock has a market capitalization of $10.67 billion, a P/E ratio of 10.40, a PEG ratio of 0.54 and a beta of 1.08. The firm has a fifty day simple moving average of $17.21 and a two-hundred day simple moving average of $17.90. The company has a quick ratio of 4.80, a current ratio of 4.80 and a debt-to-equity ratio of 0.07.

XP (NASDAQ:XP) last announced its earnings results on Monday, August 17th. The company reported $0.53 earnings per share for the quarter, beating the consensus estimate of $0.50 by $0.03. XP had a net margin of 27.20% and a return on equity of 22.19%. The business had revenue of $943.55 million for the quarter, compared to the consensus estimate of $935.15 million. During the same quarter in the prior year, the firm posted $2.46 earnings per share. The business’s revenue for the quarter was up 8.3% on a year-over-year basis. On average, analysts expect that XP will post 2.07 earnings per share for the current fiscal year.

XP announced that its Board of Directors has authorized a share buyback plan on Tuesday, May 19th that permits the company to buyback $0.00 in shares. This buyback authorization permits the company to purchase shares of its stock through open market purchases. Shares buyback plans are often an indication that the company’s leadership believes its stock is undervalued.

Hedge Funds Weigh In On XP

Institutional investors have recently made changes to their positions in the company. EverSource Wealth Advisors LLC lifted its stake in XP by 65.4% in the second quarter. EverSource Wealth Advisors LLC now owns 1,634 shares of the company’s stock worth $33,000 after acquiring an additional 646 shares during the period. Caitong International Asset Management Co. Ltd increased its position in XP by 1,783.3% during the 3rd quarter. Caitong International Asset Management Co. Ltd now owns 2,825 shares of the company’s stock valued at $53,000 after purchasing an additional 2,675 shares during the period. Parallel Advisors LLC increased its position in XP by 117.3% during the 1st quarter. Parallel Advisors LLC now owns 3,288 shares of the company’s stock valued at $63,000 after purchasing an additional 1,775 shares during the period. Aster Capital Management DIFC Ltd bought a new stake in shares of XP in the 4th quarter valued at about $55,000. Finally, Vestcor Inc purchased a new stake in shares of XP in the 3rd quarter worth approximately $64,000. Hedge funds and other institutional investors own 59.15% of the company’s stock.

About XP

XP Inc (NASDAQ: XP) is a Brazilian financial services company that operates an investment platform serving individual investors, financial advisors, corporations and institutional clients. Through its platform and affiliated brands, the company provides access to a broad range of financial products and investment solutions.

Its services include brokerage and custody, investment advisory, portfolio management, banking and credit products, insurance, retirement solutions and financial education.