Added to YB: 2026-05-21
Pitch date: 2026-05-18
STNE [bullish]
StoneCo Ltd.
+8.44%
current return
Author Info
No bio for this author
Company Info
StoneCo Ltd. provides financial technology and software solutions to merchants and integrated partners to conduct electronic commerce across in-store, online, and mobile channels in Brazil.
Market Cap
$12.5B
Pitch Price
$10.19
Price Target
47.50 (+362%)
Dividend
N/A
EV/EBITDA
2.58
P/E
3.75
EV/Sales
1.38
Sector
Financial Services
Category
value
Buying StoneCo 60% Cheaper Than Warren Buffett — At a P/E of 5.6x?
STNE: Brazilian fintech at 5.6x P/E vs fair 19x; Q1 rev R$3.6B (+6% YoY), EPS R$2.19 (+15%), 26% ROE. Credit portfolio +14% QoQ, funding cost cut to 87% CDI. Paid $2.53/share dividend (26% yield), bought back 39M shares. Guidance: R$10.8-11.4 EPS (+11-17%). Risks: 21.9% cost of risk, NPLs rising, take-rate pressure from PIX. Catalysts: Selic cuts (14.5%→11-12% by YE), H2 reacceleration, buybacks. Target ~$47.50 (70% IRR) over 3yr as multiple re-rates on rate cuts + credit stabilization
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