StoneCo (NASDAQ:STNE) Shares Gap Down – Here’s Why

Shares of StoneCo Ltd. (NASDAQ:STNE) gapped down prior to trading on Thursday . The stock had previously closed at $8.74, but opened at $8.25. StoneCo shares last traded at $8.52, with a volume of 811,125 shares trading hands.

Analyst Upgrades and Downgrades

Several research analysts recently weighed in on the stock. Susquehanna cut their target price on shares of StoneCo from $22.00 to $19.00 and set a “positive” rating for the company in a research note on Wednesday, November 13th. Citigroup reissued a “neutral” rating and issued a $9.00 target price (down previously from $19.00) on shares of StoneCo in a research note on Thursday. JPMorgan Chase & Co. cut their target price on shares of StoneCo from $21.00 to $15.00 and set an “overweight” rating for the company in a research note on Monday, December 16th. Barclays lowered their price target on StoneCo from $13.00 to $12.00 and set an “equal weight” rating for the company in a report on Monday, November 18th. Finally, Cantor Fitzgerald upgraded StoneCo to a “strong-buy” rating in a report on Thursday, October 3rd. One investment analyst has rated the stock with a sell rating, two have issued a hold rating, five have assigned a buy rating and one has assigned a strong buy rating to the company’s stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average target price of $14.75.

StoneCo Stock Up 1.7 %

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 market cap of $2.64 billion, a PE ratio of 6.69, a PEG ratio of 0.30 and a beta of 2.23. The stock has a fifty day moving average price of $9.00 and a 200-day moving average price of $11.14.

Hedge Funds Weigh In On StoneCo

Several hedge funds and other institutional investors have recently bought and sold shares of STNE. Sumitomo Mitsui DS Asset Management Company Ltd acquired a new position in StoneCo during the 3rd quarter worth approximately $125,000. Point72 Hong Kong Ltd acquired a new position in StoneCo during the 2nd quarter worth approximately $135,000. Covestor Ltd lifted its position in StoneCo by 40.9% during the 3rd quarter. Covestor Ltd now owns 13,350 shares of the company’s stock worth $150,000 after acquiring an additional 3,878 shares in the last quarter. Sanctuary Advisors LLC acquired a new position in shares of StoneCo in the 3rd quarter valued at approximately $156,000. Finally, XTX Topco Ltd acquired a new position in shares of StoneCo in the 3rd quarter valued at approximately $167,000. 73.19% of the stock is owned by institutional investors and hedge funds.

StoneCo Company 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.