XP (NASDAQ:XP) Shares Gap Down – Here’s What Happened

XP Inc. (NASDAQ:XP) shares gapped down prior to trading on Tuesday . The stock had previously closed at $17.34, but opened at $16.44. XP shares last traded at $16.7720, with a volume of 2,211,994 shares traded.

Analyst Upgrades and Downgrades

XP has been the topic of a number of research reports. Weiss Ratings downgraded XP from a “hold (c+)” rating to a “hold (c)” rating in a research note on Tuesday, May 12th. UBS Group boosted their price objective on XP from $25.00 to $28.00 and gave the stock a “buy” rating in a research note on Thursday, April 2nd. Finally, Zacks Research lowered XP from a “strong-buy” rating to a “hold” rating in a research report on Friday, May 1st. Four investment analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. According to data from MarketBeat, XP currently has an average rating of “Moderate Buy” and a consensus price target of $23.40.

XP Stock Up 6.1%

The business has a 50-day moving average price of $19.09 and a 200-day moving average price of $18.83. The company has a market capitalization of $9.51 billion, a price-to-earnings ratio of 9.77, a price-to-earnings-growth ratio of 0.53 and a beta of 1.17. The company has a quick ratio of 5.36, a current ratio of 6.66 and a debt-to-equity ratio of 0.02.

XP Increases Dividend

The business also recently announced an annual dividend, which will be paid on Thursday, June 18th. Stockholders of record on Wednesday, June 10th will be given a dividend of $0.20 per share. This represents a dividend yield of 115.0%. This is a boost from XP’s previous annual dividend of $0.18. The ex-dividend date of this dividend is Wednesday, June 10th. XP’s payout ratio is presently 22.10%.

XP announced that its Board of Directors has initiated a share repurchase program on Tuesday, May 19th that authorizes the company to buyback $0.00 in outstanding shares. This buyback authorization authorizes the company to repurchase shares of its stock through open market purchases. Shares buyback programs are typically a sign that the company’s leadership believes its shares are undervalued.

Institutional Investors Weigh In On XP

Institutional investors and hedge funds have recently modified their holdings of the stock. EverSource Wealth Advisors LLC grew its holdings in shares of XP by 65.4% during the second quarter. EverSource Wealth Advisors LLC now owns 1,634 shares of the company’s stock valued at $33,000 after buying an additional 646 shares in the last quarter. FNY Investment Advisers LLC purchased a new position in shares of XP during the fourth quarter valued at $34,000. Caitong International Asset Management Co. Ltd grew its holdings in shares of XP by 1,783.3% during the third quarter. Caitong International Asset Management Co. Ltd now owns 2,825 shares of the company’s stock valued at $53,000 after buying an additional 2,675 shares in the last quarter. Parallel Advisors LLC grew its holdings in shares of XP by 117.3% during the first quarter. Parallel Advisors LLC now owns 3,288 shares of the company’s stock valued at $63,000 after buying an additional 1,775 shares in the last quarter. Finally, Aster Capital Management DIFC Ltd purchased a new position in shares of XP during the fourth quarter valued at $55,000. 59.15% of the stock is owned by institutional investors and hedge funds.

About XP

XP Inc provides financial products and services in Brazil. It offers securities brokerage, private pension plans, commercial, and investment banking products, such as loan operations and transactions in the foreign exchange markets and deposits; product structuring and capital markets services for corporate clients and issuers of fixed income products; advisory services for mass-affluent and institutional clients; and wealth management services for high-net-worth customers and institutional clients.