StoneCo Stock News

StoneCo is undervalued despite robust earnings, strong cash flow, and double-digit growth, trading at just 9x forward P/E and 1.6x P/S. The company's dominant SME franchise, strategic SaaS divestiture, and focus on efficiency position it for sustainable profitability and improved valuation. Aggressive share buybacks and disciplined capital allocation demonstrate management's commitment to share...

StoneCo Ltd. (NASDAQ:STNE ) Q2 2025 Earnings Conference Call August 7, 2025 5:00 PM ET Company Participants Lia Machado de Matos - Chief Strategy & Marketing Officer Mateus Scherer Schwening - CFO & Investor Relations Officer Pedro Zinner - Chief Executive Officer Conference Call Participants Daer Labarta - Goldman Sachs Group, Inc., Research Division Daniel Vaz - J.

Brazilian technology company TOTVS announced on Tuesday that it signed a legal instrument to acquire 100% of the shares of Linx Participações, owned by StoneCo, for an estimated R$3.05 billion (or US$561 million). According to local media outlet InfoMoney, the transaction pertains to a portion of Linx's software businesses, which specialise in retail solutions.

Brazilian software company Totvs has agreed to buy StoneCo's Linx unit in a deal worth 3.05 billion reais ($547.90 million), it said on Tuesday, adding that it expects the move to strengthen its position in the retail segment.

StoneCo is no longer the broken company the market remembers. I see a clear path to a $30 valuation. With profitability firmly re-established, StoneCo is well-positioned to make the most of favorable macro trends in Brazil. The market is waking up, with the stock up 70% YTD. I believe the window to capture the bulk of this re-rating is closing over the next 6-12 months.

StoneCo has shown strong revenue and profit growth, with ambitious targets to multiply profits by 2027, making shares look undervalued even for Brazil. The company benefits from fintech sector tailwinds, robust client growth, and a solid balance sheet, despite a competitive and volatile Brazilian market. Significant buybacks (nearly 10% yield) enhance shareholder returns, and international expa...

Brazilian fintech StoneCo is attractive for investors looking for exposure to international companies.

StoneCo is riding the wave of global capital rotation into emerging markets, better local macro conditions, and strong growth in digital payment adoption across Brazil. 1Q25 results beat expectations, with strong EPS and gross profit growth, plus continued momentum in the MSMB segment and solid PIX-driven deposit gains. Despite rising competition and signs of sector saturation, StoneCo's guidan...