PagSeguro Digital Ltd. (NYSE:PAGS) Receives Consensus Rating of "Hold" from Analysts

Key Points

• Analysts currently rate PagSeguro Digital as a “Hold.” Among eight analysts, one rates it a sell, four a hold, and three a buy, with an average 12-month price target of $12.00.
• Recent earnings came in below expectations. The company reported $0.39 EPS versus the $0.40 consensus, and revenue of $642.01 million missed estimates by a wide margin.
• The stock also offers a high dividend yield, with a quarterly payout of $0.26 per share, equal to an annualized yield of 12.2%.

PagSeguro Digital Ltd. (NYSE:PAGS - Get Free Report) has been assigned an average rating of "Hold" from the eight analysts that are covering the company, Marketbeat reports. One equities research analyst has rated the stock with a sell rating, four have issued a hold rating and three have given a buy rating to the company. The average twelve-month price objective among analysts that have issued ratings on the stock in the last year is $12.00.

PAGS has been the topic of several research analyst reports. Weiss Ratings reissued a "hold (c+)" rating on shares of PagSeguro Digital in a research report on Friday, May 8th. JPMorgan Chase & Co. cut their price objective on PagSeguro Digital from $13.00 to $12.00 and set a "neutral" rating for the company in a research report on Monday, April 13th. Wall Street Zen cut shares of PagSeguro Digital from a "buy" rating to a "hold" rating in a research note on Saturday, May 16th. Finally, Autonomous Res cut PagSeguro Digital from a "hold" rating to a "strong sell" rating in a report on Thursday, April 30th.

PagSeguro Digital Price Performance

Shares of PAGS opened at $8.53 on Monday. PagSeguro Digital has a 1-year low of $7.74 and a 1-year high of $12.32. The firm has a 50-day simple moving average of $9.94 and a two-hundred day simple moving average of $10.15. The stock has a market cap of $2.38 billion, a PE ratio of 6.27, a P/E/G ratio of 0.34 and a beta of 1.33.

PagSeguro Digital (NYSE:PAGS - Get Free Report) last posted its earnings results on Wednesday, May 13th. The company reported $0.39 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.40 by ($0.01). PagSeguro Digital had a return on equity of 16.44% and a net margin of 10.40%.The firm had revenue of $642.01 million for the quarter, compared to analyst estimates of $952.64 million. As a group, sell-side analysts expect that PagSeguro Digital will post 1.7 earnings per share for the current fiscal year.

PagSeguro Digital Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Monday, June 1st. Stockholders of record on Wednesday, April 22nd were issued a dividend of $0.26 per share. The ex-dividend date was Wednesday, April 22nd. This represents a $1.04 annualized dividend and a dividend yield of 12.2%. PagSeguro Digital's dividend payout ratio (DPR) is 76.47%.

Insider Activity

In other PagSeguro Digital news, Director Luis Frias purchased 498,500 shares of the stock in a transaction on Friday, March 27th. The stock was bought at an average price of $9.96 per share, for a total transaction of $4,965,060.00. Following the acquisition, the director directly owned 2,673,605 shares of the company's stock, valued at $26,629,105.80. This represents a 22.92% increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is available at this link. Also, Director Alexandre Mr Magnani sold 200,000 shares of the company's stock in a transaction that occurred on Friday, April 17th. The stock was sold at an average price of $11.26, for a total transaction of $2,252,000.00. Following the transaction, the director directly owned 607,390 shares of the company's stock, valued at $6,839,211.40. This trade represents a 24.77% decrease in their position. The disclosure for this sale is available in the SEC filing.

Hedge Funds Weigh In On PagSeguro Digital

Several hedge funds and other institutional investors have recently made changes to their positions in PAGS. Unison Advisors LLC boosted its position in shares of PagSeguro Digital by 1.3% in the fourth quarter. Unison Advisors LLC now owns 75,921 shares of the company's stock worth $732,000 after buying an additional 995 shares during the period. GAMMA Investing LLC grew its position in shares of PagSeguro Digital by 37.0% during the fourth quarter. GAMMA Investing LLC now owns 4,626 shares of the company's stock worth $45,000 after buying an additional 1,249 shares in the last quarter. DGS Capital Management LLC increased its position in shares of PagSeguro Digital by 8.7% in the 4th quarter. DGS Capital Management LLC now owns 15,814 shares of the company's stock worth $152,000 after purchasing an additional 1,271 shares during the last quarter. Mariner LLC increased its holdings in PagSeguro Digital by 6.0% in the fourth quarter. Mariner LLC now owns 26,406 shares of the company's stock valued at $255,000 after buying an additional 1,488 shares during the last quarter. Finally, Handelsbanken Fonder AB raised its position in shares of PagSeguro Digital by 4.4% during the 4th quarter. Handelsbanken Fonder AB now owns 42,628 shares of the company's stock valued at $411,000 after acquiring an additional 1,800 shares in the last quarter. Institutional investors and hedge funds own 45.88% of the company's stock.

About PagSeguro Digital

PagSeguro Digital Ltd. is a Brazil-based financial technology company that specializes in digital payment solutions for merchants and consumers. Through its online platform and a suite of physical point-of-sale devices, the company enables businesses of all sizes to accept credit and debit cards, process e-commerce transactions, and manage payments via QR codes and digital wallets. In addition to payment acceptance, PagSeguro offers prepaid accounts, funds transfers, and working-capital credit lines designed to support small and medium-sized enterprises.

The company's product portfolio includes portable card readers, countertop terminals, and mobile point-of-sale devices that connect via Bluetooth or cellular networks.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.