If you are looking for a stock that has a solid history of beating earnings estimates and is in a good position to maintain the trend in its next quarterly report, you should consider PagSeguro Digital Ltd. (PAGS) . This company, which is in the Zacks Financial Transaction Services industry, shows potential for another earnings beat.When looking at the last two reports, this company has recorded a strong streak of surpassing earnings estimates. The company has topped estimates by 11.95%, on average, in the ...

PagSeguro Digital Ltd. (PAGS) closed at $10.03 in the latest trading session, marking a +1.31% move from the prior day. This change outpaced the S&P 500's 0.58% gain on the day. Meanwhile, the Dow experienced a rise of 0.75%, and the technology-dominated Nasdaq saw an increase of 0.55%.Prior to today's trading, shares of the company had gained 29.75% over the past month. This has outpaced the Business Services sector's loss of 2.56% and the S&P 500's loss of 0.84% in that time.The upcoming earnings release ...

[FORM 6-K Filing Information](index=1&type=section&id=FORM%206-K%20Filing%20Information) This section outlines the administrative details of the Form 6-K filing, identifying PagSeguro Digital Ltd. as the registrant and confirming the electronic submission of the report to the U.S. Securities and Exchange Commission [Filing Details](index=1&type=section&id=Filing%20Details) This section outlines the administrative details of the Form 6-K filing, identifying PagSeguro Digital Ltd. as the registrant and confirming the electronic submission of the report to the U.S. Securities and Exchange Commission - Registrant: PagSeguro Digital Ltd[1](index=1&type=chunk) - Form Type: 6-K, filed pursuant to Rule 13a-16 or 15d-16 under the Securities Exchange Act of 1934[1](index=1&type=chunk) - Submission Method: Electronically submitted, not in paper format[3](index=3&type=chunk) [Annual Report on Form 20-F Filing Announcement](index=2&type=section&id=Annual%20Report%20on%20Form%2020-F%20Filing%20Announcement) PagSeguro Digital Ltd. announced the filing of its Annual Report on Form 20-F for the fiscal year ended December 31, 2024, with the U.S. SEC. The report is available on the SEC's website and PagSeguro's Investor Relations website, with shareholders able to request free copies - Filing Date: April 28, 2025[4](index=4&type=chunk) - Report Filed: Annual Report on Form 20-F for the fiscal year ended December 31, 2024[4](index=4&type=chunk) - Availability: The report is accessible on the SEC's website (www.sec.gov) and PagSeguro's Investor Relations website (https://investors.pagbank.com/) Shareholders can obtain free copies upon request[4](index=4&type=chunk)[5](index=5&type=chunk) [About PagBank PagSeguro](index=2&type=section&id=About%20PagBank%20PagSeguro) PagBank PagSeguro is a leading Brazilian financial technology provider aiming to democratize financial services through a comprehensive digital banking ecosystem [Company Overview and Mission](index=2&type=section&id=Company%20Overview%20and%20Mission) PagSeguro, an UOL Group Company, is a disruptive financial technology provider in Brazil, targeting consumers, individual entrepreneurs, micro-merchants, and small to medium-sized companies. Its mission is to democratize financial services in Brazil by offering a safe, affordable, simple, and mobile-first end-to-end digital banking ecosystem in a concentrated and underpenetrated market - Target Market: Primarily consumers, individual entrepreneurs, micro-merchants, small companies, and medium-sized companies in Brazil[6](index=6&type=chunk) - Mission: To disrupt and democratize financial services in Brazil, a market characterized by concentration, underpenetration, and high-interest rates, through an end-to-end digital banking ecosystem[7](index=7&type=chunk) - Unique Business Model: PagSeguro is highlighted as the only financial technology provider in Brazil whose business model encompasses five specific pillars[6](index=6&type=chunk) [Business Model and Services](index=2&type=section&id=Business%20Model%20and%20Services) PagSeguro's business model is built on five core pillars, providing a comprehensive suite of financial technology solutions. These include diverse digital banking services, in-person payment acceptance via POS devices, free digital accounts with extensive functionalities, card issuance, and full acquirer operations - PagSeguro's business model covers the following five pillars[6](index=6&type=chunk)[8](index=8&type=chunk) - Multiple digital banking solutions[8](index=8&type=chunk) - In-person payments via point of sale (POS) devices provided to merchants[8](index=8&type=chunk) - Free digital accounts for consumers and merchants with functionalities such as bill payments, mobile top-ups, wire transfers, peer-to-peer cash transfers, prepaid credit cards, cash cards, loans, investments, QR code payments, and payroll portability[8](index=8&type=chunk) - Issuer of prepaid, cash, and credit cards[8](index=8&type=chunk) - Operate as a full acquirer[8](index=8&type=chunk) [Additional Information](index=2&type=section&id=Additional%20Information) This section provides contact details for investor relations and media, along with official signatory information for the report [Contacts](index=2&type=section&id=Contacts) This section provides the contact information for PagSeguro Digital Ltd.'s Investor Relations and Media Press departments for any inquiries - Investor Relations Contact[8](index=8&type=chunk) - Phone: +55 (11) 3914-9524[8](index=8&type=chunk) - Email: ir@pagseguro.com[8](index=8&type=chunk) - Website: investors.pagseguro.com[8](index=8&type=chunk) - Media Press Contact[8](index=8&type=chunk) - Phone: +55 (11) 992-350-009[8](index=8&type=chunk) - Email: pagbankpagseguro@xcom.net.br[8](index=8&type=chunk) [Signatures](index=3&type=section&id=Signatures) The report is officially signed on behalf of PagSeguro Digital Ltd. by Artur Schunck, who holds the titles of Chief Financial Officer, Chief Accounting Officer, and Investor Relations Officer, confirming its due authorization and submission on April 28, 2025 - Signatory: Artur Schunck[10](index=10&type=chunk) - Title: Chief Financial Officer, Chief Accounting Officer and Investor Relations Officer[10](index=10&type=chunk) - Date: April 28, 2025[10](index=10&type=chunk)

Economic and Political Environment - The Brazilian government continues to exert significant influence over the economy, which may adversely affect the company and the price of its Class A common shares[44]. - Ongoing political instability in Brazil has negatively impacted business operations and the trading price of Class A common shares[51]. - High inflation rates in Brazil historically affect the economy and capital markets, posing risks to the company's business and share price[59]. - Economic uncertainty in Brazil may lead to increased funding costs and affect the company's ability to finance operations and invest in growth opportunities[61]. - Brazilian inflation rate was 5.48% in March 2025, with previous years at 4.83%, 4.62%, and 5.79% in 2024, 2023, and 2022 respectively[60]. - The SELIC rate was 13.15% in March 2025, compared to 12.25% in 2024, 11.75% in 2023, and 13.75% in 2022[60]. - The Brazilian real depreciated against the U.S. dollar, with a selling rate of R$6.1923 per US$1.00 as of December 31, 2024, and R$5.7422 as of March 31, 2025[64]. - Brazil's GDP growth was 3.4% in 2024, driven mainly by services and household consumption, but growth is limited by inadequate infrastructure and labor market volatility[148]. - Geopolitical instability and sanctions could adversely affect the global economy and the company's financial performance through increased inflation and market disruptions[149]. - The IMF projects a 3.3% global GDP growth in 2025 and 2026, with medium-term risks tilted to the downside due to policy uncertainties[150]. Regulatory and Compliance Risks - The company is subject to extensive government regulation, and changes in these regulations could significantly impact its operations[45]. - The company faces risks related to compliance with export controls and economic sanctions, which could materially impact its operations and reputation[152]. - The company is subject to various anti-corruption and anti-money laundering laws, and any compliance failures could result in significant penalties and reputational harm[130]. - The company faces risks associated with noncompliance with the LGPD, which could lead to significant legal and financial exposure[86]. - The LGPD imposes fines of up to 2% of gross sales, limited to R$50 million per violation, for noncompliance with data protection regulations[87]. - The Central Bank has enacted new rules increasing capital and prudential requirements for payment institutions, effective January 2025, which may impose stricter requirements on the company[170]. - The company is subject to regulatory uncertainties regarding cryptocurrency investments, which could impact financial performance and compliance costs[111]. - The company is subject to various regulations regarding nonfinancial information, including climate-related and ESG reporting, which could adversely affect its operations if not complied with[140]. - The Brazilian Usury Law was amended in June 2024, removing usury limitations for certain transactions, which could impact financial performance if further changes occur[94]. - Changes in tax laws in Brazil could increase the tax burden and compliance costs, adversely affecting profitability[101]. - A proposed bill (PL 1,087/2025) may impose a 10% withholding tax on dividends paid to non-resident shareholders starting January 2026[101]. - The Brazilian Congress passed a tax reform in December 2024 introducing a dual VAT system, which will be implemented over eight years starting in 2026[103]. Market and Competitive Landscape - The e-commerce market in Brazil is developing, and the company's growth depends on the continued expansion of e-commerce and internet usage[46]. - The company may face increased competition, which could adversely affect its market position and financial performance[46]. - Intense competition in the digital payment market may pressure pricing and reduce profitability[107]. - The company faces potential substantial fines and operational changes if found in violation of regulations, which could harm business results[98]. - The company relies on third parties for transaction processing, which poses risks if these parties fail to perform adequately[112]. - The company is currently experiencing significant expansion and anticipates further growth to address potential increases in its customer base and market opportunities[164]. - The company aims to increase the number of users who collect and pay digitally and to diversify its customer base[143]. Operational Risks - The company faces risks related to exchange rate volatility, which may adversely impact its operations and financial results[44]. - The company relies on a limited number of suppliers for key components, which poses risks of shortages or price increases[46]. - The company incurs losses from consumer claims related to merchant performance and fraud, which could diminish consumer confidence[104]. - The company’s revenues depend on prompt and accurate transaction processes, and failure to grow transaction-processing capabilities could harm its ability to collect revenue[166]. - The company is dependent on its subsidiaries for funds to pay operating expenses and dividends, which may be affected by exchange rate fluctuations[187]. - Liquidity risk may arise from insufficient financial resources to meet obligations, influenced by market conditions and customer behavior[199]. Cybersecurity and Technology - The company faces risks from cyberattacks and data breaches, which could adversely affect its reputation and operations[79]. - The company expects to spend significant additional resources to protect against security breaches, with potential liabilities for card information breaches[82]. - Cybersecurity risks have increased due to remote work practices and geopolitical instability, potentially affecting operational capabilities[84]. - The company is developing AI initiatives to enhance customer service, including features for problem-solving with card machines and service history analysis[203]. - AI regulation in Brazil is evolving, with Bill No. 2.338/23 under discussion, which may impose compliance burdens and liability standards[206]. Financial Performance and Shareholder Matters - The company has not adopted a dividend policy, meaning investors may rely solely on price appreciation for returns[211]. - The dual class capital structure allows UOL to control approximately 86.84% of voting power, limiting other shareholders' influence on corporate matters[208]. - As of December 31, 2024, there are 209,148,916 Class A common shares and 120,459,508 Class B common shares outstanding, all owned by UOL[210]. - The company recorded R$43.8 million in provisions for current civil and labor proceedings and R$71.1 million for non-current proceedings as of December 31, 2024[182]. - The company must maintain effective internal controls over financial reporting to avoid material weaknesses that could adversely affect its business and share price[139]. - The company recognizes an allowance for loan losses based on current assessments, but cannot guarantee sufficiency in provisions for risks[195]. - Historical loan losses may not predict future losses, and changes in the business model could adversely affect the quality of the loan portfolio[192]. - The quality of the loan portfolio is at risk from changes in Brazilian economic and political conditions, increased market competition, and regulatory changes[193]. - The company’s financial success is sensitive to the payment methods consumers choose, with higher transaction fees associated with credit card payments compared to digital transfers[176]. - Quarterly results are subject to fluctuations and seasonality, with fewer transactions expected in the first quarter and increased activity during the holiday season[121]. - The company relies on IT services agreements with Scala Data Centers and Amazon Web Services for managed services and cloud computing[77].

Core Insights - The article compares two stocks in the Financial Transaction Services sector: PagSeguro Digital Ltd. (PAGS) and Shift4 Payments (FOUR) to determine which is more attractive to value investors [1] Valuation Metrics - PAGS has a forward P/E ratio of 6.85, while FOUR has a forward P/E of 16.18 [5] - PAGS has a PEG ratio of 0.61, and FOUR has a PEG ratio of 0.62, indicating similar expected earnings growth rates [5] - PAGS has a P/B ratio of 1.03, compared to FOUR's P/B ratio of 6.72, suggesting PAGS is more undervalued relative to its book value [6] Analyst Outlook - PAGS currently holds a Zacks Rank of 1 (Strong Buy), indicating a more favorable earnings estimate revision trend compared to FOUR, which has a Zacks Rank of 3 (Hold) [3] - PAGS has a Value grade of B, while FOUR has a Value grade of C, further supporting PAGS as the superior value option [6]

Investors interested in stocks from the Financial Transaction Services sector have probably already heard of PagSeguro Digital Ltd. (PAGS) and Shift4 Payments (FOUR) . But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.Everyone has their own methods for finding great value opportunities, but our model includes pairing an impressive grade in the Value category of our Style Scores system with a strong Zacks Rank. The proven Zacks Rank puts an emph ...

Investors interested in Financial Transaction Services stocks are likely familiar with PagSeguro Digital Ltd. (PAGS) and RB Global (RBA) . But which of these two companies is the best option for those looking for undervalued stocks? Let's take a closer look.Everyone has their own methods for finding great value opportunities, but our model includes pairing an impressive grade in the Value category of our Style Scores system with a strong Zacks Rank. The Zacks Rank favors stocks with strong earnings estimate ...

Core Viewpoint - The Brazilian investment case remains strong despite recent market volatility in the US, high inflation, and a government that is not very business-friendly [1]. Group 1: Economic Environment - Inflation in Brazil is still high, with January showing improvement but February not following suit [1]. - The current government under Lula is perceived as not being very supportive of business [1]. Group 2: Investment Strategy - The focus is on finding discounted stocks across Latin America and globally, utilizing a bottom-up analysis approach [1]. - The analyst has a background in tech, retail, and banking, indicating a diverse investment strategy [1].

Core Insights - The article emphasizes the importance of in-depth research and insights for informed investment decisions in the Latin American equity market [1] Group 1 - The company has over 5 years of experience in equity analysis specifically focused on Latin America [1] - The research provided aims to assist clients in making informed investment decisions [1]

Core Viewpoint - PagSeguro Digital Ltd. (PAGS) is positioned as a strong investment opportunity due to significant upward revisions in earnings estimates, indicating a positive outlook for the company's stock price [1][2]. Current-Quarter Estimate Revisions - The earnings estimate for the current quarter is $0.29 per share, reflecting a decrease of 12.12% compared to the previous year [4]. - Over the last 30 days, the Zacks Consensus Estimate for PagSeguro Digital has increased by 14.71%, with two estimates moving higher and no negative revisions [4]. Current-Year Estimate Revisions - For the full year, the company is expected to earn $1.23 per share, which is an increase of 1.65% from the prior year [5]. - The consensus estimate has risen by 6.41% over the past month, with two estimates moving up and no negative revisions [5]. Favorable Zacks Rank - PagSeguro Digital currently holds a Zacks Rank 2 (Buy), indicating strong agreement among analysts regarding positive earnings estimate revisions [6]. - Stocks with Zacks Rank 1 (Strong Buy) and 2 (Buy) have historically outperformed the S&P 500 [6]. Bottom Line - The stock has gained 12.2% over the past four weeks, driven by solid estimate revisions, suggesting potential for further growth [7].