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Added to YB: 2026-05-21

Pitch date: 2026-05-18

STNE [bullish]

StoneCo Ltd.

+8.44%

current return

Author Info

No bio for this author

Company Info

StoneCo Ltd. provides financial technology and software solutions to merchants and integrated partners to conduct electronic commerce across in-store, online, and mobile channels in Brazil.

Market Cap

$12.5B

Pitch Price

$10.19

Price Target

47.50 (+362%)

Dividend

N/A

EV/EBITDA

2.58

P/E

3.75

EV/Sales

1.38

Sector

Financial Services

Category

value

Show full summary:
Buying StoneCo 60% Cheaper Than Warren Buffett — At a P/E of 5.6x?

STNE: Brazilian fintech at 5.6x P/E vs fair 19x; Q1 rev R$3.6B (+6% YoY), EPS R$2.19 (+15%), 26% ROE. Credit portfolio +14% QoQ, funding cost cut to 87% CDI. Paid $2.53/share dividend (26% yield), bought back 39M shares. Guidance: R$10.8-11.4 EPS (+11-17%). Risks: 21.9% cost of risk, NPLs rising, take-rate pressure from PIX. Catalysts: Selic cuts (14.5%→11-12% by YE), H2 reacceleration, buybacks. Target ~$47.50 (70% IRR) over 3yr as multiple re-rates on rate cuts + credit stabilization

Read full article (13 min)