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StoneCo Ltd. (STNE) Stock Slides as Market Rises: Facts to Know Before You Trade
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The latest trading session saw StoneCo Ltd. (STNE - Free Report) ending at $9.22, denoting a -1.28% adjustment from its last day's close. The stock fell short of the S&P 500, which registered a gain of 0.36% for the day. At the same time, the Dow lost 0.28%, and the tech-heavy Nasdaq gained 0.51%.
Heading into today, shares of the company had gained 17.19% over the past month, outpacing the Computer and Technology sector's of 0% and the S&P 500's gain of 2.11% in that time.
The investment community will be paying close attention to the earnings performance of StoneCo Ltd. in its upcoming release. On that day, StoneCo Ltd. is projected to report earnings of $0.32 per share, which would represent a year-over-year decline of 11.11%. Meanwhile, the latest consensus estimate predicts the revenue to be $581.37 million, indicating a 11.36% decrease compared to the same quarter of the previous year.
Investors might also notice recent changes to analyst estimates for StoneCo Ltd. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 3.89% lower. StoneCo Ltd. is holding a Zacks Rank of #4 (Sell) right now.
With respect to valuation, StoneCo Ltd. is currently being traded at a Forward P/E ratio of 8.1. This denotes a discount relative to the industry's average Forward P/E of 31.23.
We can also see that STNE currently has a PEG ratio of 0.37. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. STNE's industry had an average PEG ratio of 2.34 as of yesterday's close.
The Internet - Software industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 73, positioning it in the top 30% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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StoneCo Ltd. (STNE) Stock Slides as Market Rises: Facts to Know Before You Trade
The latest trading session saw StoneCo Ltd. (STNE - Free Report) ending at $9.22, denoting a -1.28% adjustment from its last day's close. The stock fell short of the S&P 500, which registered a gain of 0.36% for the day. At the same time, the Dow lost 0.28%, and the tech-heavy Nasdaq gained 0.51%.
Heading into today, shares of the company had gained 17.19% over the past month, outpacing the Computer and Technology sector's of 0% and the S&P 500's gain of 2.11% in that time.
The investment community will be paying close attention to the earnings performance of StoneCo Ltd. in its upcoming release. On that day, StoneCo Ltd. is projected to report earnings of $0.32 per share, which would represent a year-over-year decline of 11.11%. Meanwhile, the latest consensus estimate predicts the revenue to be $581.37 million, indicating a 11.36% decrease compared to the same quarter of the previous year.
Investors might also notice recent changes to analyst estimates for StoneCo Ltd. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 3.89% lower. StoneCo Ltd. is holding a Zacks Rank of #4 (Sell) right now.
With respect to valuation, StoneCo Ltd. is currently being traded at a Forward P/E ratio of 8.1. This denotes a discount relative to the industry's average Forward P/E of 31.23.
We can also see that STNE currently has a PEG ratio of 0.37. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. STNE's industry had an average PEG ratio of 2.34 as of yesterday's close.
The Internet - Software industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 73, positioning it in the top 30% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.