StoneCo Shares Up 10.7% with 23.1% EPS Growth, Zacks Assigns Sell Rank
Shares of StoneCo have gained 10.7% over the past month versus a 1.5% drop in the S&P 500 and an 11.1% decline in its software industry. Consensus EPS for the quarter is $0.48, up 23.1% year-over-year, but estimates fell 3.1% in 30 days.
1. Recent Share Performance
StoneCo shares have risen 10.7% over the past month while the S&P 500 fell 1.5% and the Internet–Software industry dropped 11.1%, reflecting heightened investor interest despite broader sector weakness.
2. Earnings Estimate Revisions
Analysts expect quarterly EPS of $0.48, a 23.1% increase year-over-year, but the consensus estimate has been cut by 3.1% in the last 30 days; full-year EPS of $1.72 is up 27.4% with a 0.5% downward revision.
3. Revenue Growth Forecast
The consensus sales forecast for the current quarter is $717.93 million, a 16.2% increase from last year; fiscal year revenues are projected at $2.68 billion (+8.7%) and $2.72 billion (+1.7%) for the following year.
4. Valuation and Zacks Rank
StoneCo holds a Zacks Value Style Score of B, indicating a discount to peers, but its Zacks Rank #4 (Sell) suggests anticipated underperformance in the near term based on recent estimate downward revisions.