STNE
Morning coffee, plus a little Brazilian fintech caffeine
StoneCo woke up with a premarket gap-up on Wednesday, jumping from a $14.61 close to an $15.27 open. By the time the dust settled, it was still hanging around $14.93 — not exactly moonshot territory, but enough to tell you the market liked something in the print.
The good news came with a side of meh
The headline number was earnings: StoneCo posted quarterly EPS of $0.50, edging past Wall Street by $0.02. That’s the kind of beat that makes traders nod approvingly into their espresso. But revenue was a different story, landing at $675.4 million and missing forecasts.
Analysts are basically saying: “close, but make it cleaner”
The Street is still leaning positive, with an average “Moderate Buy” rating and a target price around $19.07. But recent note activity has been a mixed bag: UBS trimmed its target to $19, Goldman did the same, Santander downgraded the stock to neutral, and BTIG stayed bullish with a $22 target. Translation: nobody’s throwing a parade, but the market is willing to keep StoneCo on the guest list.
Why investors should care
StoneCo still trades at a relatively modest multiple, so the stock doesn’t need perfection to work — it just needs enough profit resilience to keep the “maybe this turnaround is real” story alive. The catch? If revenue keeps wobbling, the valuation cushion can disappear faster than your phone battery on a red-eye.
Big picture: this was a decent day for StoneCo, but the real test is whether earnings can keep outrunning the top-line noise.