StoneCo (NASDAQ:STNE) Shares Gap Up – What’s Next?

StoneCo Ltd. (NASDAQ:STNE) shares gapped up before the market opened on Wednesday . The stock had previously closed at $9.85, but opened at $10.86. StoneCo shares last traded at $11.32, with a volume of 4,927,529 shares changing hands.

Analysts Set New Price Targets

Several research analysts have recently weighed in on the company. JPMorgan Chase & Co. lowered their price objective on StoneCo from $21.00 to $15.00 and set an “overweight” rating for the company in a research report on Monday, December 16th. The Goldman Sachs Group reduced their price objective on shares of StoneCo from $16.00 to $14.00 and set a “buy” rating for the company in a research report on Thursday, February 6th. Citigroup reiterated a “neutral” rating and set a $9.00 target price (down previously from $19.00) on shares of StoneCo in a research report on Thursday, January 16th. Finally, Barclays reduced their price target on shares of StoneCo from $12.00 to $10.00 and set an “equal weight” rating for the company in a report on Wednesday, January 29th. One analyst has rated the stock with a sell rating, two have given a hold rating, five have given a buy rating and one has given a strong buy rating to the company. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus target price of $14.38.

StoneCo Stock Up 14.5 %

The stock’s fifty day simple moving average is $9.16 and its 200-day simple moving average is $9.96. The stock has a market capitalization of $3.49 billion, a PE ratio of 8.85, a P/E/G ratio of 0.41 and a beta of 2.33. The company has a current ratio of 1.42, a quick ratio of 1.42 and a debt-to-equity ratio of 0.47.

Hedge Funds Weigh In On StoneCo

Several hedge funds and other institutional investors have recently added to or reduced their stakes in STNE. Lansforsakringar Fondforvaltning AB publ purchased a new position in shares of StoneCo during the 4th quarter valued at about $367,000. Vise Technologies Inc. purchased a new position in shares of StoneCo during the fourth quarter worth approximately $106,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC raised its stake in shares of StoneCo by 58.4% during the fourth quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 1,278,508 shares of the company’s stock worth $10,190,000 after acquiring an additional 471,117 shares in the last quarter. Voloridge Investment Management LLC raised its stake in shares of StoneCo by 13,279.6% during the fourth quarter. Voloridge Investment Management LLC now owns 1,813,606 shares of the company’s stock worth $14,454,000 after acquiring an additional 1,800,051 shares in the last quarter. Finally, Wexford Capital LP purchased a new position in shares of StoneCo during the fourth quarter worth approximately $88,000. 73.19% of the stock is currently owned by hedge funds and other institutional investors.

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.