PagSeguro Digital (NYSE:PAGS) Cut to “Hold” at Wall Street Zen

Wall Street Zen lowered shares of PagSeguro Digital (NYSE:PAGS) from a buy rating to a hold rating in a research note issued to investors on Saturday morning.

PAGS has been the topic of several other research reports. UBS Group raised their price target on shares of PagSeguro Digital from $13.00 to $14.00 and gave the stock a “buy” rating in a research note on Wednesday, January 28th. Weiss Ratings reissued a “hold (c)” rating on shares of PagSeguro Digital in a research report on Thursday, January 22nd. Finally, Susquehanna raised their target price on shares of PagSeguro Digital from $11.00 to $12.00 and gave the stock a “positive” rating in a research report on Friday, November 14th. Five equities research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $11.86.

PagSeguro Digital Stock Performance

Shares of NYSE PAGS opened at $9.98 on Friday. PagSeguro Digital has a fifty-two week low of $7.16 and a fifty-two week high of $12.32. The company has a market cap of $3.29 billion, a price-to-earnings ratio of 7.79, a PEG ratio of 0.41 and a beta of 1.38. The business’s 50 day moving average price is $10.59 and its 200-day moving average price is $9.95.

PagSeguro Digital (NYSE:PAGS) last posted its quarterly earnings data on Wednesday, March 4th. The company reported $0.43 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.42 by $0.01. The company had revenue of $991.79 million during the quarter, compared to analysts’ expectations of $1.03 billion. PagSeguro Digital had a return on equity of 16.20% and a net margin of 10.37%. Sell-side analysts predict that PagSeguro Digital will post 1.17 earnings per share for the current year.

PagSeguro Digital Announces Dividend

The company also recently disclosed a special dividend, which was paid on Friday, February 27th. Investors of record on Wednesday, January 28th were issued a $0.12 dividend. The ex-dividend date was Wednesday, January 28th. PagSeguro Digital’s payout ratio is presently 10.94%.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in PAGS. Robeco Institutional Asset Management B.V. raised its holdings in shares of PagSeguro Digital by 108.2% in the 4th quarter. Robeco Institutional Asset Management B.V. now owns 6,610,914 shares of the company’s stock valued at $63,729,000 after purchasing an additional 3,435,211 shares in the last quarter. Maple Rock Capital Partners Inc. bought a new position in shares of PagSeguro Digital during the third quarter valued at approximately $28,011,000. Baupost Group LLC MA bought a new position in shares of PagSeguro Digital during the second quarter valued at approximately $24,100,000. Jacobs Levy Equity Management Inc. increased its holdings in PagSeguro Digital by 5,302.5% during the third quarter. Jacobs Levy Equity Management Inc. now owns 2,156,848 shares of the company’s stock valued at $21,568,000 after buying an additional 2,116,925 shares during the period. Finally, Orbis Allan Gray Ltd purchased a new position in PagSeguro Digital during the second quarter valued at approximately $20,106,000. 45.88% of the stock is currently owned by institutional investors.

About PagSeguro Digital

PagSeguro Digital Ltd. is a Brazil-based financial technology company that specializes in digital payment solutions for merchants and consumers. Through its online platform and a suite of physical point-of-sale devices, the company enables businesses of all sizes to accept credit and debit cards, process e-commerce transactions, and manage payments via QR codes and digital wallets. In addition to payment acceptance, PagSeguro offers prepaid accounts, funds transfers, and working-capital credit lines designed to support small and medium-sized enterprises.

The company’s product portfolio includes portable card readers, countertop terminals, and mobile point-of-sale devices that connect via Bluetooth or cellular networks.