StoneCo Ltd. (STNE) Tops Q4 Earnings and Revenue Estimates

Core Insights - StoneCo Ltd. reported quarterly earnings of $0.39 per share, exceeding the Zacks Consensus Estimate of $0.32 per share, and showing an increase from $0.36 per share a year ago, resulting in an earnings surprise of 21.88% [1] - The company generated revenues of $617.63 million for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 6.24%, although this represents a decline from year-ago revenues of $655.87 million [2] - StoneCo shares have increased approximately 27.9% since the beginning of the year, contrasting with a decline of -3.5% in the S&P 500 [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.26 on revenues of $572.46 million, and for the current fiscal year, it is $1.15 on revenues of $2.48 billion [7] - The estimate revisions trend for StoneCo is mixed, leading to a Zacks Rank 3 (Hold), indicating expected performance in line with the market in the near future [6] Industry Context - The Internet - Software industry, to which StoneCo belongs, is currently ranked in the top 32% of over 250 Zacks industries, suggesting a favorable outlook compared to the bottom 50% [8]