PagSeguro Digital Ltd. (PAGS) Tops Q3 Earnings Estimates

Core Insights - PagSeguro Digital Ltd. reported quarterly earnings of $0.36 per share, exceeding the Zacks Consensus Estimate of $0.35 per share, and up from $0.32 per share a year ago, representing an earnings surprise of +2.86% [1] - The company posted revenues of $937.15 million for the quarter ended September 2025, which missed the Zacks Consensus Estimate by 2.36%, compared to $871.26 million in the same quarter last year [2] - PagSeguro Digital shares have increased approximately 58.6% year-to-date, significantly outperforming the S&P 500's gain of 16.4% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.39, with expected revenues of $1.03 billion, and for the current fiscal year, the estimate is $1.39 on revenues of $3.68 billion [7] - The estimate revisions trend for PagSeguro Digital was mixed prior to the earnings release, resulting in a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market [6] Industry Context - The Financial Transaction Services industry, to which PagSeguro Digital belongs, is currently ranked in the bottom 32% of over 250 Zacks industries, suggesting potential challenges ahead [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact investor sentiment and stock performance [5]