PagSeguro Digital Ltd. (PAGS) - What Are Investment Firms Thinking About This Stock?

Key Points

• Analyst sentiment is neutral: PagSeguro Digital has an average “Hold” rating from eight analysts, with a $10.73 average 12-month price target. Ratings include five holds, two buys, and one sell.
• The company exceeded quarterly EPS expectations, reporting $0.41 versus the $0.39 consensus estimate, although revenue of $942.97 million fell short of the $1 billion forecast.
• PagSeguro increased its quarterly dividend to $0.28, representing a 10.1% annualized yield, while insiders recently sold shares and institutional investors own 45.88% of the stock.

PagSeguro Digital Ltd. (NYSE:PAGS - Get Free Report) has earned an average rating of "Hold" from the eight analysts that are covering the firm, Marketbeat.com reports. One equities research analyst has rated the stock with a sell rating, five have issued a hold rating and two have assigned a buy rating to the company. The average 12 month price target among brokerages that have issued a report on the stock in the last year is $10.73.

PAGS has been the topic of a number of analyst reports. UBS Group dropped their price target on PagSeguro Digital from $12.50 to $11.00 and set a "buy" rating on the stock in a research report on Tuesday, September 29th. Bank of America lowered PagSeguro Digital from a "buy" rating to a "neutral" rating and set a $10.00 price objective for the company. in a research report on Wednesday, July 15th. Weiss Ratings reiterated a "hold (c)" rating on shares of PagSeguro Digital in a research note on Friday, September 18th. Finally, Jefferies Financial Group started coverage on PagSeguro Digital in a report on Thursday, July 23rd. They issued a "hold" rating and a $10.40 target price on the stock.

Insider Transactions at PagSeguro Digital

In related news, Director Alexandre Mr Magnani sold 100,000 shares of the company's stock in a transaction dated Wednesday, October 7th. The shares were sold at an average price of $10.60, for a total value of $1,060,000.00. Following the transaction, the director owned 507,390 shares in the company, valued at $5,378,334. The trade was a 16.46% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, insider Silva Dutra sold 25,000 shares of the stock in a transaction dated Monday, July 20th. The shares were sold at an average price of $9.24, for a total transaction of $231,000.00. Following the sale, the insider directly owned 25,000 shares in the company, valued at $231,000. This trade represents a 50.00% decrease in their ownership of the stock. The SEC filing for this sale provides additional information.

Institutional Investors Weigh In On PagSeguro Digital

A number of institutional investors have recently made changes to their positions in PAGS. WINTON GROUP Ltd bought a new position in PagSeguro Digital in the 2nd quarter valued at approximately $172,000. Squarepoint Ops LLC increased its holdings in shares of PagSeguro Digital by 108.7% in the 2nd quarter. Squarepoint Ops LLC now owns 362,352 shares of the company's stock worth $3,279,000 after purchasing an additional 188,748 shares in the last quarter. Allianz Asset Management GmbH purchased a new position in shares of PagSeguro Digital in the second quarter worth $181,000. Corient Private Wealth LP purchased a new position in shares of PagSeguro Digital in the second quarter worth $278,000. Finally, VIRGINIA RETIREMENT SYSTEMS ET Al bought a new position in shares of PagSeguro Digital during the second quarter valued at $156,000. Hedge funds and other institutional investors own 45.88% of the company's stock.

PagSeguro Digital Price Performance

Shares of PagSeguro Digital stock opened at $11.13 on Friday. PagSeguro Digital has a 1 year low of $8.42 and a 1 year high of $12.32. The firm has a market cap of $3.11 billion, a price-to-earnings ratio of 7.79, a PEG ratio of 0.45 and a beta of 1.27. The company has a 50-day moving average of $9.36 and a 200 day moving average of $9.50.

PagSeguro Digital (NYSE:PAGS - Get Free Report) last posted its quarterly earnings data on Tuesday, August 11th. The company reported $0.41 EPS for the quarter, topping the consensus estimate of $0.39 by $0.02. PagSeguro Digital had a net margin of 10.46% and a return on equity of 16.36%. The business had revenue of $942.97 million for the quarter, compared to analyst estimates of $1 billion. On average, equities analysts anticipate that PagSeguro Digital will post 1.65 EPS for the current year.

PagSeguro Digital Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Wednesday, September 30th. Stockholders of record on Wednesday, September 16th were given a $0.28 dividend. The ex-dividend date of this dividend was Wednesday, September 16th. This represents a $1.12 annualized dividend and a dividend yield of 10.1%. This is a boost from PagSeguro Digital's previous quarterly dividend of $0.26. PagSeguro Digital's payout ratio is presently 78.32%.

PagSeguro Digital Company Profile

PagSeguro Digital Ltd. is a Brazilian financial technology company that operates the PagBank ecosystem. The company provides payment acceptance and digital banking services primarily to micro, small and medium-sized businesses, self-employed professionals and individual consumers in Brazil.

Its products and services include point-of-sale payment terminals, online payment processing, digital accounts, payment cards, money transfers, bill payment and other financial services. PagSeguro also offers tools designed to help merchants manage transactions and business finances through digital platforms and mobile applications.

PagSeguro was developed as part of Brazil's UOL group and became a publicly traded company on the New York Stock Exchange in 2018.

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