PagSeguro Digital (NYSE:PAGS) Downgraded to Hold Rating by Wall Street Zen

Wall Street Zen cut shares of PagSeguro Digital (NYSE:PAGS) from a buy rating to a hold rating in a report issued on Saturday.

A number of other analysts also recently issued reports on PAGS. UBS Group increased their price target on shares of PagSeguro Digital from $13.00 to $14.00 and gave the stock a “buy” rating in a report on Wednesday, January 28th. JPMorgan Chase & Co. decreased their price objective on shares of PagSeguro Digital from $13.00 to $12.00 and set a “neutral” rating on the stock in a report on Monday, April 13th. Weiss Ratings reaffirmed a “hold (c+)” rating on shares of PagSeguro Digital in a report on Friday, May 8th. Finally, Autonomous Res downgraded shares of PagSeguro Digital from a “hold” rating to a “strong sell” rating in a report on Thursday, April 30th. Three equities research analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, PagSeguro Digital currently has a consensus rating of “Hold” and an average target price of $12.00.

PagSeguro Digital Stock Performance

Shares of NYSE PAGS opened at $8.85 on Friday. The company’s fifty day moving average price is $10.14 and its 200 day moving average price is $10.18. PagSeguro Digital has a 1 year low of $7.74 and a 1 year high of $12.32. The company has a market capitalization of $2.48 billion, a PE ratio of 6.51, a price-to-earnings-growth ratio of 0.36 and a beta of 1.37.

PagSeguro Digital (NYSE:PAGS) last announced its quarterly earnings results on Tuesday, May 12th. The company reported $0.39 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.40 by ($0.01). PagSeguro Digital had a return on equity of 16.44% and a net margin of 10.40%.The firm had revenue of $642.01 million for the quarter, compared to analysts’ expectations of $952.64 million. On average, equities analysts expect that PagSeguro Digital will post 1.68 EPS for the current year.

PagSeguro Digital Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Monday, June 1st. Investors of record on Wednesday, April 22nd will be issued a $0.26 dividend. This represents a $1.04 annualized dividend and a yield of 11.8%. The ex-dividend date is Wednesday, April 22nd. PagSeguro Digital’s payout ratio is presently 81.25%.

Insider Transactions at PagSeguro Digital

In other news, Director Alexandre Mr Magnani sold 200,000 shares of the stock in a transaction dated Friday, April 17th. The shares were sold at an average price of $11.26, for a total value of $2,252,000.00. Following the completion of the sale, the director directly owned 607,390 shares in the company, valued at $6,839,211.40. This represents a 24.77% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, Director Luis Frias bought 498,500 shares of PagSeguro Digital stock in a transaction dated Friday, March 27th. The stock was acquired at an average price of $9.96 per share, with a total value of $4,965,060.00. Following the completion of the transaction, the director directly owned 2,673,605 shares of the company’s stock, valued at approximately $26,629,105.80. The trade was a 22.92% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing.

Institutional Investors Weigh In On PagSeguro Digital

Hedge funds have recently modified their holdings of the business. Caitong International Asset Management Co. Ltd raised its position in shares of PagSeguro Digital by 77.0% in the fourth quarter. Caitong International Asset Management Co. Ltd now owns 4,185 shares of the company’s stock valued at $40,000 after buying an additional 1,821 shares during the last quarter. GAMMA Investing LLC raised its position in shares of PagSeguro Digital by 37.0% in the fourth quarter. GAMMA Investing LLC now owns 4,626 shares of the company’s stock valued at $45,000 after buying an additional 1,249 shares during the last quarter. Atlas Capital Advisors Inc. acquired a new stake in shares of PagSeguro Digital in the fourth quarter valued at about $45,000. Versant Capital Management Inc raised its position in shares of PagSeguro Digital by 114.1% in the third quarter. Versant Capital Management Inc now owns 5,156 shares of the company’s stock valued at $52,000 after buying an additional 2,748 shares during the last quarter. Finally, CWM LLC raised its position in shares of PagSeguro Digital by 29.0% in the third quarter. CWM LLC now owns 5,255 shares of the company’s stock valued at $53,000 after buying an additional 1,182 shares during the last quarter. 45.88% of the stock is currently owned by institutional investors and hedge funds.

PagSeguro Digital Company Profile

PagSeguro Digital Ltd. is a Brazil-based financial technology company that specializes in digital payment solutions for merchants and consumers. Through its online platform and a suite of physical point-of-sale devices, the company enables businesses of all sizes to accept credit and debit cards, process e-commerce transactions, and manage payments via QR codes and digital wallets. In addition to payment acceptance, PagSeguro offers prepaid accounts, funds transfers, and working-capital credit lines designed to support small and medium-sized enterprises.

The company’s product portfolio includes portable card readers, countertop terminals, and mobile point-of-sale devices that connect via Bluetooth or cellular networks.