PagSeguro Digital (NYSE:PAGS) Trading Up 3.7% – Should You Buy?

PagSeguro Digital Ltd. (NYSE:PAGS)’s share price was up 3.7% on Tuesday . The stock traded as high as $9.12 and last traded at $9.3520. Approximately 119,976 shares were traded during trading, a decline of 97% from the average session volume of 3,548,993 shares. The stock had previously closed at $9.02.

Analyst Ratings Changes

PAGS has been the subject of several recent analyst reports. Jefferies Financial Group initiated coverage on shares of PagSeguro Digital in a research note on Thursday, July 23rd. They issued a “hold” rating and a $10.40 target price for the company. UBS Group reduced their price target on shares of PagSeguro Digital from $14.00 to $12.50 and set a “buy” rating on the stock in a research report on Friday, July 17th. Wall Street Zen cut shares of PagSeguro Digital from a “buy” rating to a “hold” rating in a research report on Saturday, May 16th. Weiss Ratings downgraded PagSeguro Digital from a “hold (c+)” rating to a “hold (c)” rating in a research note on Tuesday, June 23rd. Finally, Bank of America lowered PagSeguro Digital from a “buy” rating to a “neutral” rating and set a $10.00 target price on the stock. in a report on Wednesday, July 15th. Two research analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, PagSeguro Digital presently has a consensus rating of “Hold” and an average price target of $10.98.

PagSeguro Digital Stock Performance

The stock has a market capitalization of $2.57 billion, a price-to-earnings ratio of 6.42, a P/E/G ratio of 0.44 and a beta of 1.31. The firm’s fifty day simple moving average is $9.09 and its 200 day simple moving average is $9.62.

PagSeguro Digital (NYSE:PAGS) last released its quarterly earnings results on Tuesday, August 11th. The company reported $0.41 earnings per share for the quarter, beating the consensus estimate of $0.39 by $0.02. PagSeguro Digital had a net margin of 10.46% and a return on equity of 16.36%. The company had revenue of $942.97 million during the quarter, compared to analysts’ expectations of $1 billion. Analysts forecast that PagSeguro Digital Ltd. will post 1.69 earnings per share for the current year.

PagSeguro Digital Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, September 30th. Investors of record on Wednesday, September 16th will be paid a $0.28 dividend. This represents a $1.12 dividend on an annualized basis and a yield of 12.2%. The ex-dividend date of this dividend is Wednesday, September 16th. This is a boost from PagSeguro Digital’s previous quarterly dividend of $0.26. PagSeguro Digital’s dividend payout ratio (DPR) is currently 72.73%.

Insiders Place Their Bets

In other PagSeguro Digital news, insider Da Silva Ricardo Dutra sold 25,000 shares of the stock in a transaction dated Monday, July 20th. The stock was sold at an average price of $9.24, for a total transaction of $231,000.00. Following the completion of the transaction, the insider owned 25,000 shares in the company, valued at approximately $231,000. This represents a 50.00% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link.

Institutional Trading of PagSeguro Digital

A number of institutional investors have recently modified their holdings of PAGS. Caitong International Asset Management Co. Ltd grew its holdings in shares of PagSeguro Digital by 77.0% during the fourth quarter. Caitong International Asset Management Co. Ltd now owns 4,185 shares of the company’s stock worth $40,000 after buying an additional 1,821 shares in the last quarter. Atlas Capital Advisors Inc. acquired a new position in PagSeguro Digital during the 4th quarter worth approximately $45,000. Meeder Asset Management Inc. acquired a new position in PagSeguro Digital during the 4th quarter worth approximately $53,000. CWM LLC grew its stake in shares of PagSeguro Digital by 50.4% during the 4th quarter. CWM LLC now owns 7,902 shares of the company’s stock worth $76,000 after acquiring an additional 2,647 shares in the last quarter. Finally, Osaic Holdings Inc. grew its stake in shares of PagSeguro Digital by 93.4% during the 2nd quarter. Osaic Holdings Inc. now owns 7,891 shares of the company’s stock worth $76,000 after acquiring an additional 3,810 shares in the last quarter. 45.88% of the stock is currently owned by institutional investors.

PagSeguro Digital Company Profile

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.