Yahoo Finance StoneCo Ltd. (STNE) Dips More Than Broader Market: What You Should Know
StoneCo Ltd. (STNE) ended the recent trading session at $15.57, demonstrating a -1.64% swing from the preceding day's closing price. The stock fell short of the S&P 500, which registered a loss of 0.46% for the day. At the same time, the Dow lost 0.98%, and the tech-heavy Nasdaq lost 0.64%.
Shares of the company witnessed a loss of 5.32% over the previous month, trailing the performance of the Computer and Technology sector with its loss of 5.01% and the S&P 500's loss of 3.04%.
Market participants will be closely following the financial results of StoneCo Ltd. in its upcoming release. The company plans to announce its earnings on May 13, 2024. The company is expected to report EPS of $0.28, up 100% from the prior-year quarter.
STNE's full-year Zacks Consensus Estimates are calling for earnings of $1.27 per share and revenue of $2.3 billion. These results would represent year-over-year changes of +30.93% and -4.75%, respectively.
It is also important to note the recent changes to analyst estimates for StoneCo Ltd. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical 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. The Zacks Consensus EPS estimate has moved 4.75% higher within the past month. Right now, StoneCo Ltd. possesses a Zacks Rank of #2 (Buy).
Looking at its valuation, StoneCo Ltd. is holding a Forward P/E ratio of 12.49. This expresses a discount compared to the average Forward P/E of 28.45 of its industry.
Also, we should mention that STNE has a PEG ratio of 0.58. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. STNE's industry had an average PEG ratio of 1.73 as of yesterday's close.
The Internet - Software industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 57, this industry ranks in the top 23% of all industries, numbering over 250.
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.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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StoneCo Ltd. (STNE) : Free Stock Analysis Report
