StoneCo Ltd. (STNE) Q1 Earnings Top Estimates

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]