PagSeguro Digital (NYSE:PAGS) Shares Gap Up – Time to Buy?

PagSeguro Digital Ltd. (NYSE:PAGS) shares gapped up prior to trading on Wednesday . The stock had previously closed at $7.89, but opened at $8.18. PagSeguro Digital shares last traded at $8.48, with a volume of 961,925 shares traded.

Analyst Upgrades and Downgrades

Several equities research analysts have recently weighed in on the stock. Citigroup reaffirmed a “neutral” rating and issued a $7.00 price target (down previously from $17.00) on shares of PagSeguro Digital in a research report on Thursday, January 16th. Bank of America reaffirmed a “neutral” rating on shares of PagSeguro Digital in a research report on Tuesday, December 10th. Finally, JPMorgan Chase & Co. lowered their price target on shares of PagSeguro Digital from $16.00 to $11.00 and set a “neutral” rating for the company in a research report on Monday, December 16th. One equities research analyst has rated the stock with a sell rating, five have issued a hold rating, five have issued a buy rating and one has issued a strong buy rating to the stock. According to data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $12.33.

PagSeguro Digital Stock Performance

The firm has a market cap of $2.74 billion, a price-to-earnings ratio of 6.87, a price-to-earnings-growth ratio of 0.51 and a beta of 2.04. The stock’s 50 day simple moving average is $7.37 and its 200-day simple moving average is $7.77.

PagSeguro Digital (NYSE:PAGS) last released its quarterly earnings data on Friday, February 21st. The company reported $0.34 earnings per share for the quarter, topping analysts’ consensus estimates of $0.29 by $0.05. The firm had revenue of $875.27 million for the quarter, compared to analyst estimates of $872.66 million. PagSeguro Digital had a net margin of 11.12% and a return on equity of 15.49%. On average, analysts expect that PagSeguro Digital Ltd. will post 1.17 EPS for the current fiscal year.

Institutional Trading of PagSeguro Digital

A number of hedge funds and other institutional investors have recently made changes to their positions in PAGS. Signaturefd LLC increased its stake in shares of PagSeguro Digital by 1,306.5% in the fourth quarter. Signaturefd LLC now owns 4,557 shares of the company’s stock worth $29,000 after acquiring an additional 4,233 shares during the period. State of Wyoming boosted its holdings in PagSeguro Digital by 32.8% during the fourth quarter. State of Wyoming now owns 6,436 shares of the company’s stock worth $40,000 after buying an additional 1,591 shares in the last quarter. Advisory Services Network LLC purchased a new stake in PagSeguro Digital during the fourth quarter worth $66,000. Raymond James Financial Inc. purchased a new stake in PagSeguro Digital during the fourth quarter worth $79,000. Finally, Wexford Capital LP purchased a new stake in PagSeguro Digital during the fourth quarter worth $90,000. Institutional investors and hedge funds own 45.88% of the company’s stock.

PagSeguro Digital Company Profile

PagSeguro Digital Ltd., together with its subsidiaries, provides financial technology solutions and services for consumers, individual entrepreneurs, micro-merchants, and small and medium-sized companies in Brazil and internationally. The company's products and services include PagSeguro Ecosystem, a digital ecosystem that operates as a closed loop where its clients are able to address their primary day to day financial needs, including receiving and spending funds, and managing and growing their businesses; PagBank digital account, which offers payment and banking services through the PagBank mobile app, as well as centralizes various cash-in options, functionalities, services, and cash-out options in a single ecosystem; and PlugPag, a tool for medium-sized and larger merchants that enables them to connect their point of sale (POS) device directly to their enterprise resource planning software or sales automation system through Bluetooth.