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StoneCo Ltd. (STNE) Dips More Than Broader Markets: What You Should Know
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StoneCo Ltd. (STNE - Free Report) closed at $10.51 in the latest trading session, marking a -1.87% move from the prior day. This change lagged the S&P 500's 1.84% loss on the day. At the same time, the Dow lost 1.38%, and the tech-heavy Nasdaq lost 0.38%.
Prior to today's trading, shares of the company had lost 24.9% over the past month. This has lagged the Computer and Technology sector's loss of 3.8% and the S&P 500's loss of 1.96% in that time.
StoneCo Ltd. will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.01, down 94.74% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $200.72 million, up 8.12% from the year-ago period.
Any recent changes to analyst estimates for StoneCo Ltd. should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 4.72% lower. StoneCo Ltd. is currently a Zacks Rank #5 (Strong Sell).
In terms of valuation, StoneCo Ltd. is currently trading at a Forward P/E ratio of 31.81. Its industry sports an average Forward P/E of 48.62, so we one might conclude that StoneCo Ltd. is trading at a discount comparatively.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 167, putting it in the bottom 35% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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StoneCo Ltd. (STNE) Dips More Than Broader Markets: What You Should Know
StoneCo Ltd. (STNE - Free Report) closed at $10.51 in the latest trading session, marking a -1.87% move from the prior day. This change lagged the S&P 500's 1.84% loss on the day. At the same time, the Dow lost 1.38%, and the tech-heavy Nasdaq lost 0.38%.
Prior to today's trading, shares of the company had lost 24.9% over the past month. This has lagged the Computer and Technology sector's loss of 3.8% and the S&P 500's loss of 1.96% in that time.
StoneCo Ltd. will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.01, down 94.74% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $200.72 million, up 8.12% from the year-ago period.
Any recent changes to analyst estimates for StoneCo Ltd. should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 4.72% lower. StoneCo Ltd. is currently a Zacks Rank #5 (Strong Sell).
In terms of valuation, StoneCo Ltd. is currently trading at a Forward P/E ratio of 31.81. Its industry sports an average Forward P/E of 48.62, so we one might conclude that StoneCo Ltd. is trading at a discount comparatively.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 167, putting it in the bottom 35% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.