PagSeguro Digital (NYSE:PAGS) Shares Up 3.6% – Should You Buy?

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

Wall Street Analysts Forecast Growth

PAGS has been the topic of several recent research reports. Citigroup restated a “neutral” rating and set a $7.00 target price (down previously from $17.00) on shares of PagSeguro Digital in a research report on Thursday, January 16th. Bank of America restated a “neutral” rating on shares of PagSeguro Digital in a research note on Tuesday, December 10th. Finally, JPMorgan Chase & Co. decreased their price target on PagSeguro Digital from $16.00 to $11.00 and set a “neutral” rating on the stock in a research report on Monday, December 16th. One equities research analyst has rated the stock with a sell rating, five have issued a hold rating, four have issued a buy rating and one has assigned a strong buy rating to the company’s stock. According to data from MarketBeat, the stock has a consensus rating of “Hold” and an average price target of $11.63.

PagSeguro Digital Stock Down 7.8 %

The company has a market capitalization of $2.58 billion, a PE ratio of 6.48, a price-to-earnings-growth ratio of 0.51 and a beta of 1.85. The firm’s 50-day moving average is $7.76 and its 200-day moving average is $7.66.

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

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the company. Millennium Management LLC boosted its position 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 valued at $39,259,000 after buying an additional 5,625,121 shares during the last quarter. SPX Gestao de Recursos Ltda bought a new stake in PagSeguro Digital during the 3rd quarter worth approximately $38,151,000. Sylebra Capital LLC lifted its stake in shares of PagSeguro Digital by 53.0% during the 4th quarter. Sylebra Capital LLC now owns 12,143,691 shares of the company’s stock valued at $76,020,000 after buying an additional 4,208,192 shares in the last quarter. Marshall Wace LLP boosted 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 boosted its stake in PagSeguro Digital by 50.8% in the 3rd 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 period. Hedge funds and other institutional investors own 45.88% of the company’s stock.

PagSeguro Digital Company Profile

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.