Deutsche Bank AG Cuts Stock Holdings in StoneCo Ltd. $STNE

Key Points

• Deutsche Bank AG reduced its stake in StoneCo Ltd. by 19%, selling 283,250 shares and holding approximately 1.2 million shares worth $12.6 million as of the latest SEC filing.
• Wall Street analysts generally view StoneCo positively, with several upgrades and an overall average rating of "Moderate Buy" and a target price of $15.07.
• StoneCo's recent earnings report showed an EPS of $0.39, exceeding analysts' estimates, and the company anticipates an EPS of 1.16 for the current fiscal year.

Deutsche Bank AG decreased its position in shares of StoneCo Ltd. (NASDAQ:STNE - Free Report) by 19.0% in the 1st quarter, according to the company in its most recent 13F filing with the SEC. The fund owned 1,204,433 shares of the company's stock after selling 283,250 shares during the quarter. Deutsche Bank AG owned about 0.42% of StoneCo worth $12,622,000 as of its most recent SEC filing.

Other hedge funds have also recently added to or reduced their stakes in the company. Harbor Capital Advisors Inc. raised its holdings in StoneCo by 143.0% during the 1st quarter. Harbor Capital Advisors Inc. now owns 4,614 shares of the company's stock worth $48,000 after purchasing an additional 2,715 shares during the last quarter. SG Americas Securities LLC bought a new position in StoneCo during the 1st quarter worth approximately $597,000. GAMMA Investing LLC raised its holdings in StoneCo by 1,486.3% during the 1st quarter. GAMMA Investing LLC now owns 2,903 shares of the company's stock worth $30,000 after purchasing an additional 2,720 shares during the last quarter. Raymond James Financial Inc. bought a new position in StoneCo during the 4th quarter worth approximately $132,000. Finally, Fourth Sail Capital LP bought a new position in StoneCo during the 1st quarter worth approximately $13,640,000. Institutional investors own 73.19% of the company's stock.

StoneCo Stock Down 2.2%

NASDAQ STNE traded down $0.3350 during mid-day trading on Tuesday, hitting $15.1050. The company's stock had a trading volume of 1,213,820 shares, compared to its average volume of 6,037,234. The company's 50 day simple moving average is $14.65 and its 200 day simple moving average is $12.61. StoneCo Ltd. has a twelve month low of $7.72 and a twelve month high of $16.68. The company has a current ratio of 1.48, a quick ratio of 1.48 and a debt-to-equity ratio of 0.76. The firm has a market capitalization of $4.32 billion, a price-to-earnings ratio of -21.59, a PEG ratio of 0.41 and a beta of 1.88.

StoneCo (NASDAQ:STNE - Get Free Report) last posted its quarterly earnings results on Thursday, August 7th. The company reported $0.39 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.36 by $0.03. StoneCo had a negative net margin of 8.37% and a positive return on equity of 18.71%. The business had revenue of $643.82 million during the quarter, compared to the consensus estimate of $3.78 billion. Analysts anticipate that StoneCo Ltd. will post 1.16 earnings per share for the current year.

Analyst Upgrades and Downgrades

Several analysts have recently commented on STNE shares. Citigroup raised shares of StoneCo from a "neutral" rating to a "buy" rating and raised their price objective for the stock from $9.00 to $15.00 in a research report on Tuesday, April 22nd. Wall Street Zen downgraded shares of StoneCo from a "buy" rating to a "hold" rating in a research report on Friday, June 6th. JPMorgan Chase & Co. raised their price objective on shares of StoneCo from $15.50 to $18.50 and gave the stock an "overweight" rating in a research report on Wednesday, July 16th. Santander raised shares of StoneCo from a "neutral" rating to an "outperform" rating in a research report on Wednesday, May 21st. Finally, Zacks Research raised shares of StoneCo to a "strong-buy" rating in a research report on Tuesday, August 12th. Two investment analysts have rated the stock with a Strong Buy rating, seven have assigned a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and an average price target of $15.07.

StoneCo Company Profile

StoneCo Ltd. provides financial technology and software solutions to merchants and integrated partners to conduct electronic commerce across in-store, online, and mobile channels in Brazil. It distributes its solutions, principally through proprietary Stone Hubs, which offer hyper-local sales and services; and sells solutions to brick-and-mortar and digital merchants through sales team.