Core Viewpoint - StoneCo Ltd. (STNE) is currently positioned as a stronger value investment compared to Informatica Inc. (INFA), based on various valuation metrics and earnings outlook [3][7]. Valuation Metrics - STNE has a forward P/E ratio of 10.04, significantly lower than INFA's forward P/E of 16.54, indicating STNE may be undervalued [5]. - The PEG ratio for STNE is 0.38, while INFA's PEG ratio is 2.18, suggesting STNE offers better value relative to its expected earnings growth [5]. - STNE's P/B ratio stands at 2.03, compared to INFA's P/B of 2.59, further supporting the notion that STNE is more attractively priced [6]. Earnings Outlook - STNE is experiencing an improving earnings outlook, which enhances its attractiveness in the Zacks Rank model, indicating a stronger potential for future performance compared to INFA [7].

Core Viewpoint - StoneCo Ltd. is positioned as a strong investment opportunity due to its improving earnings outlook and analysts' increasing earnings estimates [1][2]. Earnings Estimates - Analysts are optimistic about StoneCo's earnings prospects, leading to higher estimates that are expected to positively impact the stock price [2]. - The current-quarter earnings estimate is projected at $0.32 per share, reflecting a year-over-year increase of +6.67%. Over the last 30 days, the consensus estimate has risen by 14.29% with no negative revisions [5]. - For the full year, the earnings estimate stands at $1.38 per share, indicating a year-over-year change of +2.22%. Similar to the current quarter, there have been no negative revisions in the past month [6]. Zacks Rank - StoneCo holds a Zacks Rank 1 (Strong Buy), indicating strong agreement among analysts in revising earnings estimates upward, which has led to significant improvements in consensus estimates [3][7]. - The Zacks Rank system has a proven track record, with Zacks 1 Ranked stocks averaging an annual return of +25% since 2008 [3]. Stock Performance - StoneCo shares have increased by 18.4% over the past four weeks, suggesting investor confidence in the company's earnings growth potential [8].

Core Viewpoint - Analyst recommendations play a significant role in influencing stock prices, but their reliability is questionable due to potential biases from brokerage firms [1][5][10]. Group 1: Analyst Recommendations - StoneCo Ltd. (STNE) has an average brokerage recommendation (ABR) of 1.67, indicating a consensus between Strong Buy and Buy, with 77.8% of the nine recommendations being Strong Buy [2][5]. - Brokerage analysts tend to exhibit a strong positive bias in their ratings, often issuing five "Strong Buy" recommendations for every "Strong Sell" [6][10]. - The ABR may not be a reliable standalone indicator for investment decisions, as studies suggest it has limited success in guiding investors toward stocks with high price appreciation potential [5][10]. Group 2: Zacks Rank vs. ABR - The Zacks Rank, which ranges from 1 (Strong Buy) to 5 (Strong Sell), is based on earnings estimate revisions and is considered a more reliable indicator of near-term stock performance compared to ABR [8][9][11]. - The Zacks Rank is updated more frequently than the ABR, reflecting timely changes in analysts' earnings estimates, which correlate strongly with stock price movements [12][11]. - StoneCo has achieved a Zacks Rank 1 (Strong Buy) due to a 9.5% increase in the Zacks Consensus Estimate for the current year, indicating positive sentiment among analysts regarding the company's earnings prospects [13][14].

Core Viewpoint - StoneCo Ltd. reported quarterly earnings of $0.34 per share, exceeding the Zacks Consensus Estimate of $0.32 per share, and showing an increase from $0.29 per share a year ago, indicating a positive earnings surprise of 6.25% [1] Financial Performance - The company posted revenues of $625.86 million for the quarter ended March 2025, which was 1.45% below the Zacks Consensus Estimate, but slightly up from $623.12 million a year ago [2] - Over the last four quarters, StoneCo has surpassed consensus EPS estimates three times and topped consensus revenue estimates three times as well [2] Stock Performance - StoneCo shares have increased approximately 66% since the beginning of the year, contrasting with a decline of 4.3% in the S&P 500 [3] Future Outlook - The company's earnings outlook is crucial for investors, with current consensus EPS estimates at $0.32 for the coming quarter and $1.38 for the current fiscal year, with revenues expected to be $675.52 million and $2.7 billion respectively [7] - The estimate revisions trend for StoneCo is currently favorable, leading to a Zacks Rank 1 (Strong Buy) for the stock, suggesting expected outperformance in the near future [6] Industry Context - The Internet - Software industry, to which StoneCo belongs, is currently ranked in the top 37% of over 250 Zacks industries, indicating a favorable environment for stock performance [8]

StoneCo (STNE) Q1 2025 Earnings Call May 08, 2025 05:00 PM ET Company Participants Pedro Zinner - Chief Executive OfficerLia Machado de Matos - Strategy & Marketing OfficerMateus Scherer Schwening - CFO & IROTito Labarta - Vice PresidentMario Pierry - Managing DirectorMarcelo Mizrahi - Equity Research Conference Call Participants Neha Agarwala - AnalystGuilherme Grespan - Equity Research AnalystRenato Meloni - Senior AnalystDaniel Vaz - Lead Analyst - Equity ResearchEduardo Rosman - Analyst Operator Good ev ...

StoneCo (STNE) Q1 2025 Earnings Call May 08, 2025 05:00 PM ET Speaker0 Good evening, Thank you for standing by. Welcome to StoneCo's First Quarter twenty twenty five Earnings Conference Call. By now, everyone should have access to our earnings release. The company also posted a presentation to go along with its call. All material can be found online at investors.stone.co. Throughout this conference call, the company will present certain non IFRS financial information, including adjusted net income, adjusted ...

Earnings Presentation 1Q25 DISCLAIMER This presentation and the information contained herein does not constitute an offer for sale or solicitation of an offer to buy any securities of the issuer. This document contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, and Section 21E of the Securities Exchange Act of 1934, each as amended, including, in particular, statements about StoneCo Ltd.'s (the "Company") plans, strategies and prospects and estimates of indus ...

StoneCo Reports First Quarter 2025 ResultsMay 08, 2025 4:05 PM EDT | Source: StoneCo Ltd.George Town, Grand Cayman--(Newsfile Corp. - May 8, 2025) - StoneCo Ltd. (Nasdaq: STNE) ("Stone" or the "Company") today reported its financial results for the first quarter ended March 31, 2025, in a Earnings Release wich is now posted to the company's Investor Relations website https://investors.stone.co/. Conference CallStone will discuss its 1Q25 financial results during a teleconference today, May 8th ...

Parkev Tatevosian, CFA has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends StoneCo. The Motley Fool has a disclosure policy. Parkev Tatevosian is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through his link, he will earn some extra money that supports his channel. His opinions remain his own and are unaffected by The Motley Fool. ...

Investors with an interest in Internet - Software stocks have likely encountered both StoneCo Ltd. (STNE) and Informatica Inc. (INFA) . But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.There are plenty of strategies for discovering value stocks, but we have found that pairing a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system produces the best returns. The proven Zacks Rank puts an emphasis on earning ...