PagSeguro Digital (NYSE:PAGS) Hits New 12-Month High - Time to Buy?

Key Points

• PagSeguro Digital has reached a new 52-week high, trading at $10.42, which marks a notable rise from its previous close of $9.70.
• Analysts have upgraded the stock, with Wall Street Zen raising it from "buy" to "strong-buy," while JPMorgan Chase increased its price target from $12.00 to $13.00.
• The company reported $930.17 million in revenue for its last quarter, surpassing analyst estimates, and also declared a $0.12 dividend with a yield of 150.0%.

PagSeguro Digital Ltd. (NYSE:PAGS - Get Free Report) shares reached a new 52-week high on Tuesday . The stock traded as high as $10.42 and last traded at $10.36, with a volume of 1882577 shares. The stock had previously closed at $9.70.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently weighed in on PAGS shares. JPMorgan Chase & Co. increased their price objective on shares of PagSeguro Digital from $12.00 to $13.00 and gave the stock a "neutral" rating in a research report on Wednesday, July 16th. Wall Street Zen upgraded shares of PagSeguro Digital from a "buy" rating to a "strong-buy" rating in a research report on Saturday, September 13th. Finally, Bank of America upgraded shares of PagSeguro Digital from a "neutral" rating to a "buy" rating and increased their price objective for the stock from $10.00 to $13.00 in a research report on Friday. One analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating and three have given a Hold rating to the company. According to MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $12.29.

PagSeguro Digital Stock Down 0.8%

The stock has a market capitalization of $3.48 billion, a P/E ratio of 8.52, a price-to-earnings-growth ratio of 0.70 and a beta of 1.57. The business's 50 day simple moving average is $8.80 and its two-hundred day simple moving average is $8.79.

PagSeguro Digital (NYSE:PAGS - Get Free Report) last released its quarterly earnings data on Thursday, August 14th. The company reported $0.34 earnings per share for the quarter, beating analysts' consensus estimates of $0.31 by $0.03. The firm had revenue of $930.17 million for the quarter, compared to analyst estimates of $901.10 million. PagSeguro Digital had a net margin of 11.04% and a return on equity of 15.52%. Analysts predict that PagSeguro Digital Ltd. will post 1.17 earnings per share for the current year.

PagSeguro Digital Cuts Dividend

The company also recently announced a -- dividend, which will be paid on Monday, November 3rd. Stockholders of record on Monday, October 6th will be issued a $0.12 dividend. The ex-dividend date is Monday, October 6th. This represents a dividend yield of 150.0%. PagSeguro Digital's dividend payout ratio is currently 11.29%.

Institutional Trading of PagSeguro Digital

Large investors have recently added to or reduced their stakes in the stock. PNC Financial Services Group Inc. purchased a new stake in PagSeguro Digital during the first quarter worth about $26,000. GAMMA Investing LLC increased its stake in shares of PagSeguro Digital by 61.2% in the second quarter. GAMMA Investing LLC now owns 3,510 shares of the company's stock worth $34,000 after purchasing an additional 1,333 shares in the last quarter. CWM LLC increased its stake in shares of PagSeguro Digital by 78.1% in the second quarter. CWM LLC now owns 4,073 shares of the company's stock worth $39,000 after purchasing an additional 1,786 shares in the last quarter. Mirae Asset Global Investments Co. Ltd. increased its stake in shares of PagSeguro Digital by 626.4% in the first quarter. Mirae Asset Global Investments Co. Ltd. now owns 5,143 shares of the company's stock worth $39,000 after purchasing an additional 4,435 shares in the last quarter. Finally, Virtus Advisers LLC purchased a new position in shares of PagSeguro Digital in the second quarter worth about $51,000. Hedge funds and other institutional investors own 45.88% of the company's stock.

PagSeguro Digital Company Profile

PagSeguro Digital Ltd., together with its subsidiaries, provides financial technology solutions and services for consumers, individual entrepreneurs, micro-merchants, and small and medium-sized companies in Brazil and internationally. The company's products and services include PagSeguro Ecosystem, a digital ecosystem that operates as a closed loop where its clients are able to address their primary day to day financial needs, including receiving and spending funds, and managing and growing their businesses; PagBank digital account, which offers payment and banking services through the PagBank mobile app, as well as centralizes various cash-in options, functionalities, services, and cash-out options in a single ecosystem; and PlugPag, a tool for medium-sized and larger merchants that enables them to connect their point of sale (POS) device directly to their enterprise resource planning software or sales automation system through Bluetooth.