StoneCo (NASDAQ:STNE) Reaches New 12-Month High - Should You Buy?

Shares of StoneCo Ltd. (NASDAQ:STNE - Get Free Report) reached a new 52-week high during mid-day trading on Tuesday . The stock traded as high as $15.16 and last traded at $15.09, with a volume of 6911417 shares trading hands. The stock had previously closed at $13.76.

Wall Street Analyst Weigh In

Several research firms have weighed in on STNE. Morgan Stanley lifted their target price on StoneCo from $5.70 to $6.00 and gave the company an "underweight" rating in a research report on Friday, March 21st. Citigroup raised shares of StoneCo from a "neutral" rating to a "buy" rating and upped their target price for the stock from $9.00 to $15.00 in a research note on Tuesday, April 22nd. Santander upgraded shares of StoneCo from a "neutral" rating to an "outperform" rating in a report on Wednesday, May 21st. Barclays boosted their price target on shares of StoneCo from $13.00 to $15.00 and gave the stock an "equal weight" rating in a research note on Monday, May 12th. Finally, Wall Street Zen lowered StoneCo from a "buy" rating to a "hold" rating in a report on Friday, June 6th. One research analyst has rated the stock with a sell rating, two have assigned a hold rating, eight have issued a buy rating and one has given a strong buy rating to the stock. According to data from MarketBeat, StoneCo currently has a consensus rating of "Moderate Buy" and a consensus price target of $15.63.

StoneCo Trading Up 9.7%

The stock has a market cap of $4.32 billion, a price-to-earnings ratio of 11.79, a P/E/G ratio of 0.41 and a beta of 1.92. The business's 50 day moving average is $13.25 and its 200 day moving average is $10.68. The company has a debt-to-equity ratio of 0.47, a current ratio of 1.42 and a quick ratio of 1.42.

StoneCo (NASDAQ:STNE - Get Free Report) last announced its quarterly earnings results on Thursday, May 8th. The company reported $0.34 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.32 by $0.02. StoneCo had a return on equity of 13.92% and a net margin of 16.02%. The company had revenue of $625.86 million during the quarter, compared to the consensus estimate of $3.68 billion. As a group, equities analysts expect that StoneCo Ltd. will post 1.16 earnings per share for the current fiscal year.

Hedge Funds Weigh In On StoneCo

Several hedge funds have recently added to or reduced their stakes in STNE. GAMMA Investing LLC raised its stake 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 acquiring an additional 2,720 shares in the last quarter. CWM LLC grew its holdings in shares of StoneCo by 327.4% during the first quarter. CWM LLC now owns 3,154 shares of the company's stock worth $33,000 after purchasing an additional 2,416 shares during the last quarter. Jones Financial Companies Lllp increased its position in shares of StoneCo by 254.7% during the fourth quarter. Jones Financial Companies Lllp now owns 4,256 shares of the company's stock worth $34,000 after purchasing an additional 3,056 shares in the last quarter. Sterling Capital Management LLC lifted its holdings in shares of StoneCo by 627.0% in the 4th quarter. Sterling Capital Management LLC now owns 4,551 shares of the company's stock valued at $36,000 after purchasing an additional 3,925 shares during the last quarter. Finally, Harbor Capital Advisors Inc. boosted its position in shares of StoneCo by 143.0% in the 1st quarter. Harbor Capital Advisors Inc. now owns 4,614 shares of the company's stock valued at $48,000 after purchasing an additional 2,715 shares during the period. 73.19% of the stock is currently owned by hedge funds and other institutional investors.

About StoneCo

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.

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