StoneCo (NASDAQ:STNE) Trading Down 5.1% – Here’s Why

StoneCo Ltd. (NASDAQ:STNE)’s stock price traded down 5.1% on Wednesday . The company traded as low as $8.89 and last traded at $9.09. 2,153,908 shares traded hands during trading, a decline of 55% from the average session volume of 4,822,074 shares. The stock had previously closed at $9.57.

Wall Street Analyst Weigh In

A number of equities analysts have weighed in on STNE shares. JPMorgan Chase & Co. decreased their price target on shares of StoneCo from $21.00 to $15.00 and set an “overweight” rating on the stock in a report on Monday, December 16th. Susquehanna cut their price objective on StoneCo from $22.00 to $19.00 and set a “positive” rating on the stock in a report on Wednesday, November 13th. Citigroup reiterated a “neutral” rating and set a $9.00 target price (down previously from $19.00) on shares of StoneCo in a report on Thursday, January 16th. Barclays cut their price target on shares of StoneCo from $12.00 to $10.00 and set an “equal weight” rating on the stock in a report on Wednesday, January 29th. Finally, The Goldman Sachs Group cut their price objective on StoneCo from $16.00 to $14.00 and set a “buy” rating on the stock in a research report on Thursday, February 6th. One analyst has rated the stock with a sell rating, two have issued a hold rating, five have given a buy rating and one has assigned a strong buy rating to the company’s stock. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $14.38.

StoneCo Stock Performance

The stock has a market capitalization of $2.87 billion, a PE ratio of 7.25, a P/E/G ratio of 0.37 and a beta of 2.25. The company has a debt-to-equity ratio of 0.47, a quick ratio of 1.42 and a current ratio of 1.42. The firm has a 50 day moving average of $8.62 and a 200-day moving average of $10.63.

Institutional Investors Weigh In On StoneCo

A number of institutional investors have recently modified their holdings of STNE. JPMorgan Chase & Co. grew its stake in StoneCo by 327.4% in the third quarter. JPMorgan Chase & Co. now owns 1,580,679 shares of the company’s stock valued at $17,798,000 after purchasing an additional 1,210,817 shares in the last quarter. State Street Corp grew its stake in shares of StoneCo by 51.0% in the 3rd quarter. State Street Corp now owns 7,972,037 shares of the company’s stock valued at $89,765,000 after buying an additional 2,692,558 shares in the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC acquired a new position in StoneCo in the third quarter worth approximately $9,091,000. Barclays PLC raised its position in StoneCo by 170.8% during the third quarter. Barclays PLC now owns 440,682 shares of the company’s stock valued at $4,962,000 after acquiring an additional 277,963 shares in the last quarter. Finally, GSA Capital Partners LLP acquired a new stake in StoneCo in the third quarter valued at approximately $716,000. Institutional investors and hedge funds own 73.19% of the company’s stock.

About StoneCo

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.