PagSeguro Digital (NYSE:PAGS) Posts Earnings Results, Beats Expectations By $0.01 EPS

Key Points

• PagSeguro Digital beat earnings expectations, reporting quarterly EPS of $0.40 versus the $0.39 consensus estimate. Revenue totaled $942.97 million, below the expected $1 billion.
• Shares fell $0.20 to $8.88 following the results. The stock has a market capitalization of $2.49 billion and trades at a P/E ratio of 6.53.
• Analyst sentiment remains cautious, with an overall “Hold” rating and a consensus price target of $10.98; two analysts rate the stock Buy, six Hold, and one Sell.

PagSeguro Digital (NYSE:PAGS - Get Free Report) announced its quarterly earnings results on Tuesday. The company reported $0.40 earnings per share for the quarter, beating the consensus estimate of $0.39 by $0.01, FiscalAI reports. PagSeguro Digital had a net margin of 10.40% and a return on equity of 16.44%. The company had revenue of $942.97 million during the quarter, compared to the consensus estimate of $1 billion.

PagSeguro Digital Stock Performance

Shares of PAGS stock traded down $0.20 on Tuesday, reaching $8.88. The stock had a trading volume of 3,551,337 shares, compared to its average volume of 3,645,791. PagSeguro Digital has a 1 year low of $8.26 and a 1 year high of $12.32. The stock has a market cap of $2.49 billion, a P/E ratio of 6.53, a price-to-earnings-growth ratio of 0.45 and a beta of 1.31. The company has a 50 day simple moving average of $9.10 and a 200 day simple moving average of $9.88.

Analyst Upgrades and Downgrades

Several analysts have commented on the company. Wall Street Zen downgraded PagSeguro Digital from a "buy" rating to a "hold" rating in a research note on Saturday, May 16th. Weiss Ratings downgraded PagSeguro Digital from a "hold (c+)" rating to a "hold (c)" rating in a report on Tuesday, June 23rd. UBS Group dropped their price objective on PagSeguro Digital from $14.00 to $12.50 and set a "buy" rating on the stock in a research report on Friday, July 17th. JPMorgan Chase & Co. reduced their price objective on PagSeguro Digital from $13.00 to $12.00 and set a "neutral" rating for the company in a report on Monday, April 13th. Finally, Autonomous Res lowered PagSeguro Digital from a "hold" rating to a "strong sell" rating in a research report on Thursday, April 30th. Two equities research analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the company currently has an average rating of "Hold" and a consensus price target of $10.98.

Insider Buying and Selling

In other PagSeguro Digital news, insider Da Silva Ricardo Dutra sold 25,000 shares of the stock in a transaction dated Monday, July 20th. The stock was sold at an average price of $9.24, for a total value of $231,000.00. Following the transaction, the insider owned 25,000 shares of the company's stock, valued at approximately $231,000. This represents a 50.00% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website.

Institutional Investors Weigh In On PagSeguro Digital

Several hedge funds and other institutional investors have recently made changes to their positions in PAGS. Mariner LLC lifted its stake in shares of PagSeguro Digital by 6.0% in the 4th quarter. Mariner LLC now owns 26,406 shares of the company's stock worth $255,000 after purchasing an additional 1,488 shares during the period. First Trust Advisors LP increased its holdings in PagSeguro Digital by 9.7% during the second quarter. First Trust Advisors LP now owns 23,684 shares of the company's stock valued at $228,000 after buying an additional 2,098 shares during the last quarter. Caitong International Asset Management Co. Ltd increased its holdings in PagSeguro Digital by 108.7% during the fourth quarter. Caitong International Asset Management Co. Ltd now owns 4,933 shares of the company's stock valued at $48,000 after buying an additional 2,569 shares during the last quarter. Inceptionr LLC raised its position in PagSeguro Digital by 11.8% in the fourth quarter. Inceptionr LLC now owns 24,846 shares of the company's stock worth $240,000 after acquiring an additional 2,613 shares during the period. Finally, Vident Advisory LLC boosted its stake in shares of PagSeguro Digital by 29.1% during the 4th quarter. Vident Advisory LLC now owns 15,233 shares of the company's stock worth $147,000 after acquiring an additional 3,431 shares during the last quarter. Hedge funds and other institutional investors 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.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source