StoneCo (NASDAQ:STNE) Stock Rating Cut to Sell at Wall Street Zen

StoneCo (NASDAQ:STNE) was downgraded by Wall Street Zen from a “hold” rating to a “sell” rating in a report released on Saturday, Wall Street Zen reports.

Several other research analysts have also recently commented on STNE. Weiss Ratings cut shares of StoneCo from a “hold (c)” rating to a “hold (c-)” rating in a report on Tuesday, November 3rd. UBS Group downgraded shares of StoneCo from a “buy” rating to a “neutral” rating and decreased their target price for the company from $15.00 to $8.50 in a research report on Thursday, November 5th. Jefferies Financial Group began coverage on shares of StoneCo in a research note on Thursday, July 23rd. They issued a “hold” rating and a $12.60 price target on the stock. Finally, The Goldman Sachs Group cut their price target on shares of StoneCo from $11.00 to $9.50 and set a “neutral” rating on the stock in a research report on Friday, October 30th. Two investment analysts have rated the stock with a Buy rating and eight have given a Hold rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average price target of $12.30.

StoneCo Trading Up 2.6%

NASDAQ:STNE opened at $7.92 on Friday. StoneCo has a twelve month low of $7.06 and a twelve month high of $18.19. The company has a quick ratio of 1.26, a current ratio of 1.26 and a debt-to-equity ratio of 0.84. The business has a 50 day moving average price of $9.70 and a two-hundred day moving average price of $11.82. The company has a market cap of $1.97 billion, a P/E ratio of 3.26, a price-to-earnings-growth ratio of 0.21 and a beta of 1.76.

StoneCo (NASDAQ:STNE) last issued its quarterly earnings results on Thursday, November 12th. The company reported $0.45 earnings per share for the quarter, missing the consensus estimate of $0.48 by ($0.03). StoneCo had a return on equity of 22.43% and a net margin of 21.65%. The business had revenue of $126.71 million for the quarter, compared to the consensus estimate of $715.87 million. StoneCo has set its FY 2026 guidance at 2.101-2.218 EPS. As a group, analysts expect that StoneCo will post 2.21 EPS for the current fiscal year.

Insider Buying and Selling

In other StoneCo news, Director Silvio Morais sold 21,000 shares of the stock in a transaction on Wednesday, September 2nd. The shares were sold at an average price of $9.91, for a total value of $208,110.00. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. 11.25% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On StoneCo

A number of large investors have recently added to or reduced their stakes in the business. SBI Securities Co. Ltd. boosted its holdings in shares of StoneCo by 19.5% during the third quarter. SBI Securities Co. Ltd. now owns 6,109 shares of the company’s stock worth $57,000 after acquiring an additional 995 shares during the period. Versant Capital Management Inc increased its stake in shares of StoneCo by 54.4% during the second quarter. Versant Capital Management Inc now owns 3,032 shares of the company’s stock worth $33,000 after purchasing an additional 1,068 shares during the period. EverSource Wealth Advisors LLC increased its stake in shares of StoneCo by 77.4% during the first quarter. EverSource Wealth Advisors LLC now owns 2,705 shares of the company’s stock worth $38,000 after purchasing an additional 1,180 shares during the period. Handelsbanken Fonder AB boosted its stake in StoneCo by 3.4% in the 2nd quarter. Handelsbanken Fonder AB now owns 43,097 shares of the company’s stock valued at $467,000 after purchasing an additional 1,400 shares during the period. Finally, PNC Financial Services Group Inc. boosted its stake in StoneCo by 13.3% in the 1st quarter. PNC Financial Services Group Inc. now owns 12,640 shares of the company’s stock valued at $178,000 after purchasing an additional 1,483 shares during the period. Institutional investors own 73.19% of the company’s stock.

Top StoneCo Stories

Here are a few of the latest stories about STNE:

• Positive Sentiment: A Seeking Alpha commentary argues that a temporary interest-rate shock has created an “asymmetric entry point” in StoneCo, presenting a potentially attractive risk-reward opportunity for investors who believe the pressure will ease. StoneCo: Temporary Rate Shock Creates An Asymmetric Entry Point
• Neutral Sentiment: StoneCo filed unaudited interim financial statements for the quarter ended September 30. The filing makes the results available but, by itself, does not indicate a change in the business outlook. StoneCo Files September 30 Interim Financial Statements
• Negative Sentiment: Third-quarter EPS was reported at $0.45–$0.46, below analyst expectations of roughly $0.48–$0.49. The earnings shortfall could weigh on sentiment about near-term performance. StoneCo Ltd. Q3 Earnings Lag Estimates

StoneCo Company Profile

StoneCo Ltd. is a Brazilian financial technology company that provides payment processing and business management solutions, primarily to merchants in Brazil. Its services are designed to help businesses accept and manage payments across in-person and online channels. The company’s offerings include payment terminals, digital payment tools, financial services and software for managing business operations. Through brands such as Stone, Pagar.me and Linx, StoneCo serves businesses ranging from smaller merchants to larger retailers.