In the latest trading session, StoneCo Ltd. (STNE - Free Report) closed at $26.65, marking a -1.3% move from the previous day. This change lagged the S&P 500's daily loss of 0.21%. At the same time, the Dow lost 0.46%, and the tech-heavy Nasdaq lost 0.16%.
Heading into today, shares of the company had lost 29.87% over the past month, lagging the Computer and Technology sector's gain of 3.11% and the S&P 500's gain of 2.07% in that time.
Wall Street will be looking for positivity from STNE as it approaches its next earnings report date. This is expected to be May 13, 2019.
For the full year, our Zacks Consensus Estimates are projecting earnings of $0.83 per share and revenue of $490.60 million, which would represent changes of +112.82% and +18.29%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for STNE. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. STNE currently has a Zacks Rank of #3 (Hold).
Investors should also note STNE's current valuation metrics, including its Forward P/E ratio of 32.4. This represents a discount compared to its industry's average Forward P/E of 50.54.
Meanwhile, STNE's PEG ratio is currently 0.59. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. STNE's industry had an average PEG ratio of 3.24 as of yesterday's close.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 57, putting it in the top 23% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.