StoneCo Ltd.

Is StoneCo Ltd. overvalued or undervalued?

As of March 18, 2025, StoneCo Ltd. is considered risky and overvalued with a P/E ratio of 10, negative EV metrics, and a concerning long-term performance of -62.76%, despite a strong year-to-date return of 140.65% compared to the S&P 500's 12.22%.

As of 18 March 2025, the valuation grade for StoneCo Ltd. has moved from fair to risky, indicating a shift towards a more cautious outlook. The company appears to be overvalued, particularly given its P/E ratio of 10, which is significantly lower than the industry average, alongside a negative EV to EBIT of -15.55 and a negative EV to EBITDA of -34.83. The PEG ratio of 0.89 suggests that the stock may not be as attractive as it seems when considering growth prospects.<BR><BR>In comparison to its peers, StoneCo Ltd. has a P/E of 12.97, while BlackLine, Inc. has a much higher P/E of 35.70, indicating a stark contrast in valuation. Additionally, the return metrics show that StoneCo Ltd. has outperformed the S&P 500 across multiple periods, with a year-to-date return of 140.65% compared to the S&P 500's 12.22%. However, the long-term performance is concerning, with a 5-year return of -62.76% versus the S&P 500's 96.61%, reinforcing the notion that the stock may be overvalued at its current price.

Is StoneCo Ltd. technically bullish or bearish?

As of September 4, 2025, StoneCo Ltd. has a bullish technical trend, supported by positive indicators like the weekly MACD and Bollinger Bands, despite a mildly bearish KST signal, and it has significantly outperformed the S&P 500 with a year-to-date return of 140.65%.

As of 4 September 2025, the technical trend for StoneCo Ltd. has changed from mildly bullish to bullish. The weekly MACD is bullish, and both the weekly and monthly Bollinger Bands are also bullish. Daily moving averages confirm a bullish stance. However, the KST shows a mildly bearish signal on the weekly timeframe, while the Dow Theory and OBV indicate a mildly bullish trend on both weekly and monthly timeframes.<BR><BR>In terms of performance, StoneCo has significantly outperformed the S&P 500 across multiple periods, with a year-to-date return of 140.65% compared to the S&P 500's 12.22%. Overall, the current technical stance is bullish, supported by strong indicators, despite some mixed signals in the KST.

How big is StoneCo Ltd.?

As of Jun 18, StoneCo Ltd. has a market capitalization of 4,490.66 million, with net sales of 899.52 million and a net profit of -218.66 million over the latest four quarters.

Market Cap: As of Jun 18, StoneCo Ltd. has a market capitalization of 4,490.66 million, categorizing it as a Small Cap company.<BR><BR>Recent Quarterly Performance: For the latest four quarters, StoneCo Ltd. reported net sales of 899.52 million and a net profit of -218.66 million.<BR><BR>Balance Sheet Snapshot: As of Dec'24, the company reported shareholder's funds of 1,906.16 million and total assets of 8,872.58 million.

What does StoneCo Ltd. do?

StoneCo Ltd. is a financial technology solutions provider in the Software Products industry, focusing on the small-cap market. As of March 2025, it reported net sales of $201 million and a net profit of $88 million, with a market cap of approximately $4.49 billion.

Overview:<BR>StoneCo Ltd. is a provider of financial technology solutions in the Software Products industry, operating within the small-cap market segment.<BR><BR>Financial Snapshot:<BR>Most recent Net Sales: 201 Million (Quarterly Results - Mar 2025) <BR>Most recent Net Profit: 88 Million (Quarterly Results - Mar 2025) <BR>Market-cap: USD 4,490.66 Million (Small Cap)<BR><BR>Key Metrics:<BR>P/E: 10.00 <BR>Debt Equity: 0.45 <BR>Return on Equity: 19.61% <BR>Price to Book: 2.25 <BR><BR>Contact Details:<BR>Address: R. Fidencio Ramos, 308, 10th floor - Vila Olimpia SAO PAULO DE : 04.551-010 <BR>Tel: ['55 11 30049680'] <BR>Website: https://www.stone.co/

Should I buy, sell or hold StoneCo Ltd.?

Who are in the management team of StoneCo Ltd.?

As of March 2022, the management team of StoneCo Ltd. includes Mr. Andre Street (Independent Chairman), Mr. Eduardo Pontes (Independent Vice Chairman), and several independent directors: Mr. Thomas Patterson, Luciana Aguiar, Mr. Ali Mazanderani, Mr. Silvio Jose Morais, and Mr. Roberto Moses Thompson Motta. They oversee the company's strategic direction and governance.

As of March 2022, the management team of StoneCo Ltd. includes the following individuals:<BR><BR>- Mr. Andre Street, Independent Chairman of the Board<BR>- Mr. Eduardo Pontes, Independent Vice Chairman of the Board<BR>- Mr. Thomas Patterson, Director<BR>- Luciana Aguiar, Independent Director<BR>- Mr. Ali Mazanderani, Independent Director<BR>- Mr. Silvio Jose Morais, Independent Director<BR>- Mr. Roberto Moses Thompson Motta, Independent Director<BR><BR>This team is responsible for overseeing the company's strategic direction and governance.