Fourth Sail Capital LP Buys Shares of 1,778,400 StoneCo Ltd. (NASDAQ:STNE)

Fourth Sail Capital LP purchased a new position in StoneCo Ltd. (NASDAQ:STNE) in the 2nd quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor purchased 1,778,400 shares of the company’s stock, valued at approximately $21,323,000. StoneCo accounts for approximately 4.9% of Fourth Sail Capital LP’s investment portfolio, making the stock its 9th largest holding.

A number of other hedge funds and other institutional investors have also recently modified their holdings of STNE. Central Bank & Trust Co. purchased a new stake in StoneCo during the second quarter worth $40,000. Lazard Asset Management LLC purchased a new stake in shares of StoneCo during the 1st quarter worth $41,000. Benjamin F. Edwards & Company Inc. lifted its stake in shares of StoneCo by 152.1% during the 1st quarter. Benjamin F. Edwards & Company Inc. now owns 3,497 shares of the company’s stock worth $58,000 after purchasing an additional 2,110 shares during the last quarter. Y.D. More Investments Ltd boosted its position in StoneCo by 90.2% during the second quarter. Y.D. More Investments Ltd now owns 4,798 shares of the company’s stock valued at $58,000 after purchasing an additional 2,275 shares in the last quarter. Finally, nVerses Capital LLC purchased a new position in StoneCo in the second quarter valued at about $137,000. 73.19% of the stock is currently owned by institutional investors.

StoneCo Stock Performance

Shares of STNE stock opened at $12.39 on Tuesday. The business has a fifty day moving average of $13.07 and a 200 day moving average of $14.32. StoneCo Ltd. has a 1 year low of $9.34 and a 1 year high of $19.46. The company has a debt-to-equity ratio of 0.41, a current ratio of 1.36 and a quick ratio of 1.36. The firm has a market capitalization of $3.83 billion, a price-to-earnings ratio of 11.16, a price-to-earnings-growth ratio of 0.43 and a beta of 2.31.

StoneCo (NASDAQ:STNE) last announced its quarterly earnings data on Wednesday, August 14th. The company reported $0.30 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.34 by ($0.04). StoneCo had a return on equity of 13.21% and a net margin of 15.27%. The firm had revenue of $615.13 million during the quarter, compared to analysts’ expectations of $590.74 million. As a group, research analysts expect that StoneCo Ltd. will post 1.1 earnings per share for the current year.

Wall Street Analysts Forecast Growth

STNE has been the subject of several analyst reports. Morgan Stanley reissued an “underweight” rating and set a $7.00 price target (down from $16.50) on shares of StoneCo in a research report on Thursday, September 5th. The Goldman Sachs Group lowered their target price on shares of StoneCo from $21.00 to $15.00 and set a “buy” rating for the company in a research note on Wednesday, June 26th. Evercore ISI reduced their price target on StoneCo from $25.00 to $23.00 and set an “outperform” rating on the stock in a research report on Tuesday, June 25th. Barclays lowered their price objective on StoneCo from $16.00 to $14.00 and set an “equal weight” rating for the company in a research report on Thursday, August 1st. Finally, JPMorgan Chase & Co. upgraded StoneCo from a “neutral” rating to an “overweight” rating and set a $20.00 target price on the stock in a research note on Thursday, June 6th. One research analyst has rated the stock with a sell rating, one has assigned a hold rating and eight have assigned a buy rating to the stock. According to data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average target price of $17.80.

StoneCo Profile

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.