PagSeguro Digital (NYSE:PAGS) Trading Up 3.6% – What’s Next?

PagSeguro Digital Ltd. (NYSE:PAGS)’s share price shot up 3.6% during trading on Thursday . The stock traded as high as $8.39 and last traded at $8.28. 2,486,079 shares changed hands during trading, a decline of 46% from the average session volume of 4,603,083 shares. The stock had previously closed at $7.99.

Wall Street Analysts Forecast Growth

A number of analysts recently weighed in on the stock. JPMorgan Chase & Co. lowered their price objective on shares of PagSeguro Digital from $16.00 to $11.00 and set a “neutral” rating for the company in a research note on Monday, December 16th. Citigroup reaffirmed a “neutral” rating and issued a $7.00 price target (down previously from $17.00) on shares of PagSeguro Digital in a research report on Thursday, January 16th. Finally, Bank of America reissued a “neutral” rating on shares of PagSeguro Digital in a research note on Tuesday, December 10th. One equities research analyst has rated the stock with a sell rating, five have given a hold rating, four have assigned a buy rating and one has assigned a strong buy rating to the company’s stock. Based on data from MarketBeat.com, PagSeguro Digital presently has a consensus rating of “Hold” and a consensus target price of $11.63.

PagSeguro Digital Stock Performance

The company has a 50 day moving average of $7.70 and a two-hundred day moving average of $7.66. The stock has a market capitalization of $2.80 billion, a PE ratio of 7.02, a P/E/G ratio of 0.51 and a beta of 1.85.

PagSeguro Digital (NYSE:PAGS) last issued its quarterly earnings results on Friday, February 21st. The company reported $0.34 earnings per share for the quarter, topping analysts’ consensus estimates of $0.29 by $0.05. The business had revenue of $875.27 million for the quarter, compared to analyst estimates of $872.66 million. PagSeguro Digital had a return on equity of 15.49% and a net margin of 11.12%. As a group, research analysts predict that PagSeguro Digital Ltd. will post 1.17 EPS for the current fiscal year.

Institutional Investors Weigh In On PagSeguro Digital

Institutional investors and hedge funds have recently made changes to their positions in the stock. Millennium Management LLC lifted its holdings in shares of PagSeguro Digital by 870.4% during the fourth quarter. Millennium Management LLC now owns 6,271,376 shares of the company’s stock worth $39,259,000 after purchasing an additional 5,625,121 shares during the period. SPX Gestao de Recursos Ltda purchased a new stake in shares of PagSeguro Digital in the 3rd quarter valued at $38,151,000. Sylebra Capital LLC boosted its holdings in shares of PagSeguro Digital by 53.0% in the 4th quarter. Sylebra Capital LLC now owns 12,143,691 shares of the company’s stock valued at $76,020,000 after acquiring an additional 4,208,192 shares during the last quarter. Marshall Wace LLP increased its stake in shares of PagSeguro Digital by 307.4% in the fourth quarter. Marshall Wace LLP now owns 4,459,616 shares of the company’s stock worth $27,917,000 after acquiring an additional 3,364,926 shares during the period. Finally, State Street Corp raised its holdings in shares of PagSeguro Digital by 50.8% during the third quarter. State Street Corp now owns 5,908,054 shares of the company’s stock worth $50,868,000 after purchasing an additional 1,990,849 shares during the last quarter. 45.88% of the stock is currently owned by institutional investors and hedge funds.

About PagSeguro Digital

PagSeguro Digital Ltd., together with its subsidiaries, provides financial technology solutions and services for consumers, individual entrepreneurs, micro-merchants, and small and medium-sized companies in Brazil and internationally. The company's products and services include PagSeguro Ecosystem, a digital ecosystem that operates as a closed loop where its clients are able to address their primary day to day financial needs, including receiving and spending funds, and managing and growing their businesses; PagBank digital account, which offers payment and banking services through the PagBank mobile app, as well as centralizes various cash-in options, functionalities, services, and cash-out options in a single ecosystem; and PlugPag, a tool for medium-sized and larger merchants that enables them to connect their point of sale (POS) device directly to their enterprise resource planning software or sales automation system through Bluetooth.