StoneCo Ltd. (STNE) Beats Stock Market Upswing: What Investors Need to Know

The investment community will be closely monitoring the performance of StoneCo Ltd. in its forthcoming earnings report. The company is scheduled to release its earnings on August 13, 2026. The company is expected to report EPS of $0.46, up 17.95% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $731.18 million, up 8.8% from the year-ago period.

For the full year, the Zacks Consensus Estimates project earnings of $2.27 per share and a revenue of $2.91 billion, demonstrating changes of +40.12% and +10.25%, respectively, from the preceding year.

Investors might also notice recent changes to analyst estimates for StoneCo Ltd. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.

Based on our research, we believe these estimate revisions are directly related to near-term stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 1.73% lower. As of now, StoneCo Ltd. holds a Zacks Rank of #4 (Sell).

In terms of valuation, StoneCo Ltd. is presently being traded at a Forward P/E ratio of 4.74. This indicates a discount in contrast to its industry's Forward P/E of 18.86.

We can also see that STNE currently has a PEG ratio of 0.32. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Internet - Software stocks are, on average, holding a PEG ratio of 1.07 based on yesterday's closing prices.

The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 150, putting it in the bottom 40% of all 250+ industries.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.

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This article originally published on Zacks Investment Research (zacks.com).

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