SEB Asset Management AB Acquires Shares of 112,009 XP Inc. $XP

Key Points

• SEB Asset Management AB opened a new position in XP Inc. during the first quarter, buying 112,009 shares valued at about $2.13 million.
• Institutional interest in XP remains strong, with hedge funds and other investors owning 59.15% of the company’s shares; several firms also added to or initiated stakes recently.
• XP’s stock fell 2.7% to $16.83, while analysts currently rate it a Moderate Buy with an average price target of $23.33.

SEB Asset Management AB acquired a new position in shares of XP Inc. (NASDAQ:XP - Free Report) during the first quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The fund acquired 112,009 shares of the company's stock, valued at approximately $2,133,000.

Other institutional investors and hedge funds also recently modified their holdings of the company. Assetmark Inc. acquired a new stake in shares of XP in the first quarter valued at about $6,234,000. Barings LLC acquired a new position in XP during the 1st quarter worth approximately $3,821,000. Aware Super Pty Ltd as trustee of Aware Super acquired a new position in XP during the 1st quarter worth approximately $15,184,000. Twin Capital Management Inc. acquired a new position in XP during the 1st quarter worth approximately $693,000. Finally, Triglav Investments D.O.O. boosted its holdings in XP by 30.4% in the 1st quarter. Triglav Investments D.O.O. now owns 60,033 shares of the company's stock worth $1,143,000 after acquiring an additional 14,000 shares during the period. Hedge funds and other institutional investors own 59.15% of the company's stock.

XP Trading Down 2.7%

NASDAQ:XP opened at $16.83 on Friday. The stock has a market cap of $9.04 billion, a price-to-earnings ratio of 9.30, a price-to-earnings-growth ratio of 0.61 and a beta of 1.10. XP Inc. has a one year low of $14.80 and a one year high of $23.13. The company has a debt-to-equity ratio of 0.02, a quick ratio of 6.66 and a current ratio of 6.66. The business's 50-day simple moving average is $16.32 and its 200 day simple moving average is $18.31.

XP Increases Dividend

The firm also recently announced an annual dividend, which was paid on Thursday, June 18th. Shareholders of record on Wednesday, June 10th were given a $0.20 dividend. This represents a dividend yield of 268.0%. The ex-dividend date of this dividend was Wednesday, June 10th. This is a positive change from XP's previous annual dividend of $0.18. XP's dividend payout ratio is currently 22.10%.

XP announced that its board has authorized a share repurchase program on Tuesday, May 19th that authorizes the company to buyback $0.00 in shares. This buyback authorization authorizes the company to buy shares of its stock through open market purchases. Shares buyback programs are usually a sign that the company's management believes its shares are undervalued.

Analysts Set New Price Targets

Several brokerages have issued reports on XP. Weiss Ratings raised shares of XP from a "hold (c)" rating to a "hold (c+)" rating in a research report on Tuesday, May 26th. UBS Group decreased their target price on shares of XP from $28.00 to $25.00 and set a "buy" rating for the company in a research note on Wednesday, June 3rd. Finally, Zacks Research lowered shares of XP from a "strong-buy" rating to a "hold" rating in a report on Friday, May 1st. Three analysts have rated the stock with a Buy rating and two have issued a Hold rating to the stock. According to data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average target price of $23.33.

XP Profile

XP Inc provides financial products and services in Brazil. It offers securities brokerage, private pension plans, commercial, and investment banking products, such as loan operations and transactions in the foreign exchange markets and deposits; product structuring and capital markets services for corporate clients and issuers of fixed income products; advisory services for mass-affluent and institutional clients; and wealth management services for high-net-worth customers and institutional clients.

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