We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
StoneCo Gears Up to Report Q3 Earnings: What's in the Offing?
Read MoreHide Full Article
Key Takeaways
StoneCo is set to post year-over-year gains in revenue and EPS for third-quarter 2025.
MSMB payment growth, banking solutions and credit expansion likely to fuel strong results.
Cost management initiatives may have boosted profitability, though competition to serve SME posed headwinds.
StoneCo Ltd. (STNE - Free Report) is scheduled to report third-quarter 2025 results on Nov. 6, after market close. The company’s quarterly results are likely to display a year-over-year rise in revenues and earnings per share (EPS).
In the previous quarter, this Grand Cayman-based fintech company reported an EPS of 39 cents, beating the Zacks Consensus Estimate of 36 cents. Results reflected a year-over-year increase in total revenue and income. Total Payments Active Client base reached 4.6 million in the quarter, representing 5.1% sequential growth.
Over the preceding four quarters, STNE’s EPS surpassed the consensus estimate on all occasions, the average beat being 11.46%. This is depicted in the graph below:
StoneCo’s third-quarter performance is likely to have benefited from continued momentum in its primary sectors, notably within the financial services and software business.
STNE’s robust solutions in the financial services segment, particularly its MSMB (Micro, Small and Medium-sized Businesses) offerings, are likely to have been a key growth driver. With MSMB Total Payment Volume growth and higher take rates, this segment is expected to have delivered decent financial results in the to-be-reported quarter.
Strengthening efforts in enhancing its banking solutions for small and medium-sized businesses are expected to have contributed to banking revenues in the quarter to be reported.
StoneCo's credit offering through merchants and credit cards has shown significant growth. With low non-performing loan ratios and plans to extend the credit offerings to more clients, STNE is expected to have benefited from the continued expansion of its credit portfolio in the to-be-reported quarter.
STNE’s increasing focus on cost management approaches to boost profitability and operational efficiency is likely to have driven significant operating leverage in the to-be-reported quarter.
However, StoneCo’s third-quarter performance is likely to have been affected by increased competition from banks to serve Small and Medium Enterprises.
Q3 Projections for STNE
The Zacks Consensus Estimate for the quarterly revenues stands at $700.7 million, indicating an increase of 15.7% from the year-ago period’s reported figure.
STNE’s activities during the to-be-reported period were adequate to garner analysts’ confidence. The Zacks Consensus Estimate for quarterly EPS has been revised upward by 2 cents to 43 cents over the past month. It also suggests a 22.9% increase from the prior-year quarter’s reported figure.
What Our Quantitative Model Predicts for STNE
Our proven model predicts a surprise in terms of EPS for StoneCo this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an EPS beat, which is exactly the case here.
StoneCo currently has an Earnings ESP of +7.81% and sports a Zacks Rank of 1. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Other Stocks That Warrant a Look
Here are two other stocks from the Zacks Internet-Software industry — Affirm (AFRM - Free Report) and Bill Holdings, Inc. (BILL - Free Report) — which you may want to consider, as our model shows that these, too, have the right combination of elements to report a surprise this quarter.
AFRM, scheduled to report quarterly numbers on Nov. 6, currently has an Earnings ESP of +3.53% and a Zacks Rank of 3.
Image: Bigstock
StoneCo Gears Up to Report Q3 Earnings: What's in the Offing?
Key Takeaways
StoneCo Ltd. (STNE - Free Report) is scheduled to report third-quarter 2025 results on Nov. 6, after market close. The company’s quarterly results are likely to display a year-over-year rise in revenues and earnings per share (EPS).
In the previous quarter, this Grand Cayman-based fintech company reported an EPS of 39 cents, beating the Zacks Consensus Estimate of 36 cents. Results reflected a year-over-year increase in total revenue and income. Total Payments Active Client base reached 4.6 million in the quarter, representing 5.1% sequential growth.
Over the preceding four quarters, STNE’s EPS surpassed the consensus estimate on all occasions, the average beat being 11.46%. This is depicted in the graph below:
StoneCo Ltd. Price and EPS Surprise
StoneCo Ltd. price-eps-surprise | StoneCo Ltd. Quote
Factors at Play for StoneCo
StoneCo’s third-quarter performance is likely to have benefited from continued momentum in its primary sectors, notably within the financial services and software business.
STNE’s robust solutions in the financial services segment, particularly its MSMB (Micro, Small and Medium-sized Businesses) offerings, are likely to have been a key growth driver. With MSMB Total Payment Volume growth and higher take rates, this segment is expected to have delivered decent financial results in the to-be-reported quarter.
Strengthening efforts in enhancing its banking solutions for small and medium-sized businesses are expected to have contributed to banking revenues in the quarter to be reported.
StoneCo's credit offering through merchants and credit cards has shown significant growth. With low non-performing loan ratios and plans to extend the credit offerings to more clients, STNE is expected to have benefited from the continued expansion of its credit portfolio in the to-be-reported quarter.
STNE’s increasing focus on cost management approaches to boost profitability and operational efficiency is likely to have driven significant operating leverage in the to-be-reported quarter.
However, StoneCo’s third-quarter performance is likely to have been affected by increased competition from banks to serve Small and Medium Enterprises.
Q3 Projections for STNE
The Zacks Consensus Estimate for the quarterly revenues stands at $700.7 million, indicating an increase of 15.7% from the year-ago period’s reported figure.
STNE’s activities during the to-be-reported period were adequate to garner analysts’ confidence. The Zacks Consensus Estimate for quarterly EPS has been revised upward by 2 cents to 43 cents over the past month. It also suggests a 22.9% increase from the prior-year quarter’s reported figure.
What Our Quantitative Model Predicts for STNE
Our proven model predicts a surprise in terms of EPS for StoneCo this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an EPS beat, which is exactly the case here.
StoneCo currently has an Earnings ESP of +7.81% and sports a Zacks Rank of 1. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Other Stocks That Warrant a Look
Here are two other stocks from the Zacks Internet-Software industry — Affirm (AFRM - Free Report) and Bill Holdings, Inc. (BILL - Free Report) — which you may want to consider, as our model shows that these, too, have the right combination of elements to report a surprise this quarter.
AFRM, scheduled to report quarterly numbers on Nov. 6, currently has an Earnings ESP of +3.53% and a Zacks Rank of 3.
Bill Holdings is slated to report quarterly numbers on Nov. 6. BILL has an Earnings ESP of +0.85% and a Zacks Rank of 2. You can see the complete list of today’s Zacks #1 Rank stocks here.