StoneCo (NASDAQ:STNE) Stock Price Down 4% - Should You Sell?

StoneCo Ltd. (NASDAQ:STNE - Get Free Report) shares fell 4% during trading on Friday . The stock traded as low as $14.43 and last traded at $14.31. 1,072,562 shares were traded during mid-day trading, a decline of 81% from the average session volume of 5,797,446 shares. The stock had previously closed at $14.91.

Wall Street Analyst Weigh In

Several research analysts have commented on STNE shares. Morgan Stanley raised their price target on shares of StoneCo from $5.70 to $6.00 and gave the company an "underweight" rating in a report on Friday, March 21st. Barclays raised their price target on shares of StoneCo from $13.00 to $15.00 and gave the company an "equal weight" rating in a report on Monday, May 12th. Santander upgraded StoneCo from a "neutral" rating to an "outperform" rating in a research report on Wednesday, May 21st. JPMorgan Chase & Co. boosted their price objective on shares of StoneCo from $15.50 to $18.50 and gave the company an "overweight" rating in a research report on Wednesday. Finally, Wall Street Zen cut shares of StoneCo from a "buy" rating to a "hold" rating in a research report on Friday, June 6th. One research analyst has rated the stock with a sell rating, two have issued a hold rating, seven have given a buy rating and one has issued a strong buy rating to the company's stock. According to data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus price target of $15.07.

StoneCo Stock Down 7.3%

The company has a market cap of $3.95 billion, a P/E ratio of -17.72, a P/E/G ratio of 0.41 and a beta of 1.94. The company has a debt-to-equity ratio of 0.74, a current ratio of 1.39 and a quick ratio of 1.39. The company's 50-day moving average is $14.51 and its two-hundred day moving average is $11.73.

StoneCo (NASDAQ:STNE - Get Free Report) last issued its earnings results on Thursday, May 8th. The company reported $0.34 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.32 by $0.02. StoneCo had a negative net margin of 8.90% and a positive return on equity of 16.65%. The company had revenue of $625.86 million for the quarter, compared to analysts' expectations of $3.68 billion. As a group, equities analysts predict that StoneCo Ltd. will post 1.16 earnings per share for the current fiscal year.

Institutional Trading of StoneCo

Several institutional investors and hedge funds have recently added to or reduced their stakes in the business. Jones Financial Companies Lllp boosted its holdings in StoneCo by 254.7% in the fourth quarter. Jones Financial Companies Lllp now owns 4,256 shares of the company's stock worth $34,000 after acquiring an additional 3,056 shares in the last quarter. Proficio Capital Partners LLC acquired a new stake in StoneCo in the fourth quarter worth about $101,000. Raymond James Financial Inc. acquired a new stake in StoneCo in the fourth quarter worth about $132,000. Zurcher Kantonalbank Zurich Cantonalbank boosted its holdings in StoneCo by 55.5% in the fourth quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 96,382 shares of the company's stock worth $768,000 after acquiring an additional 34,404 shares in the last quarter. Finally, HighTower Advisors LLC purchased a new position in StoneCo during the fourth quarter valued at approximately $312,000. Institutional investors own 73.19% of the company's stock.

StoneCo Company Profile

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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