|Bid||38.16 x 1100|
|Ask||38.17 x 800|
|Day's Range||35.45 - 38.32|
|52 Week Range||17.02 - 53.43|
|Beta (3Y Monthly)||N/A|
|PE Ratio (TTM)||54.76|
|Earnings Date||Nov 13, 2019|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||51.11|
The stock market closed sharply higher and held most of its gains into the close, but the IBD 50 lagged considerably.
Brazilian payments stock PagSeguro Digital plunged after the firm announced a secondary stock offering. It also released strong early results for Q3.
(Bloomberg) -- Brazilian payments processor PagSeguro Digital Ltd. sharply fell on Tuesday after announcing its parent company Universo Online SA will sell shares for the second time in 16 months.PagSeguro is controlled by Brazilian billionaire Luiz Frias through his majority holding in Universo Online, known as UOL. UOL will offer 16.8 million shares via Goldman Sachs and Morgan Stanley, according to a filing.Shares of the Brazilian fintech firm fell as much as 20% to $37.15 in New York in the biggest intraday move since the stock went public in January 2018. StoneCo Ltd. slid as much as 6%.“Some investors are anxious about the ongoing relationship between parent UOL and PAGS in part because of the intra-corporate operating agreement between the two entities that includes Marketing on the UOL platform,” Susquehanna analysts led by James Friedman wrote in a note. “But note that after the secondary, UOL will still own 45.3% of outstanding shares” assuming no exercise of the underwriters’ option to purchase additional shares, the analysts said.PagSeguro became the crown jewel of the Frias family empire after its $2.3 billion initial public offering, making Luis Frias a billionaire. The family also owns Brazil’s most popular newspaper Folha de Sao Paulo. Since the IPO, the stock has gained 81%.On Tuesday, PagSeguro also said its preliminary third-quarter net income totaled between 330 million and 340 million reais. While the quarterly figures were seen as negative, Evercore recommended buying the dip.“While we expect downward Street estimate revisions, we believe PAGS stock remains very attractive with a 4 year potential revenue and EPS CAGR of nearly 30%,” Evercore’s analysts led by Rayna Kumar wrote in a report from Oct. 15, reiterating an outperform rating for stock and lowering price target to $56 from $65.(Updates with StoneCo’s move in third paragraph and Evercore’s comments in sixth and seventh graphs.)\--With assistance from Felipe Marques and Joshua Fineman.To contact the reporters on this story: Vinícius Andrade in São Paulo at firstname.lastname@example.org;Drew Singer in New York at email@example.comTo contact the editors responsible for this story: Brad Olesen at firstname.lastname@example.org, Jennifer Bissell-LinskFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Passive investing in index funds can generate returns that roughly match the overall market. But if you pick the right...
US-China trade talks resumed on Thursday, and on Friday President Trump announced a preliminary agreement outlining Phase I of a potential trade deal. The outline includes ramped-up Chinese purchase of US agricultural products and US cancellation of new tariffs planned for October 15. The news made an immediate impact on the markets, with the Dow Jones jumping 320 points on by Friday’s close, and the S&P 500 adding a 1.1% gain of 32 points.So, markets are looking up after two volatile weeks, and investors want to know the best places to put their money. TipRanks has the guide you need to find the right stocks to buy, in the Smart Score tool. The Smart Score uses a multi-factor analysis to rate every stock in the market, taking data from insider opinions, hedge fund activity, news sentiment, and technical and fundamental analyses. The result is distilled to a single number on a rising scale of 1 to 10, making it simple and intuitive to use.Using the Smart Score filters, we’ve picked out three stocks with perfect 10 scores and Buy ratings that are ready to rise with today’s markets.PagSeguro Digital (PAGS)For investors in the US markets, Brazil’s banking industry may not be the first sector that comes to mind when considering profits. PagSeguro, however, is not a typical component of the banking industry. It’s an online e-commerce payment service, catering to commercial clients primarily among Brazil’s banks, but also internationally. It’s a successful niche; PagSeguro’s stock is up an eye-catching 143% year-to-date.Taking a close look at the Smart Score, we see that the technical factors are positive. PAGS’s return on equity is a healthy 17.67%. Hedge fund activity on this stock is rising, with the major funds increasing their holdings by more than 330,000 shares in the last quarter. Finally, the financial bloggers are bullish on PAGS, with the positive sentiment at 80%, well above the sector average of 65%.The stock’s market performance and future potential have gained the notice of Wall Street’s analysts. Writing from JPMorgan, Domingos Falavina notes the company’s drive to expand services beyond the core niche of Brazilian banks to international commercial clients, saying, “PagSeguro disclosed its banking initiative already has 1.4mn clients. Some of those clients are micro merchants and existed preceding the retail initiative launched mid-May; others however are new net adds from May launch. We estimate consumer retail clients will reach ~3mn by YE 2020 and we attribute an economic value to them of~$1k/client.”He sums up his stance on PAGS by saying, “PagSeguro will leverage on strong brand value to now successfully deliver a banking solution to the long tail of retail customers.” In line with his upbeat outlook on the stock, Falavina raised his price target by 50%, from $40 to $60. His new price target suggests an upside potential of about 30% to PAGS stock. (To watch Falavina'a track record, click here)Moving on to Deutsche Bank’s Bryan Keane who met the company’s CEO Ricardo Dutra da Silva at an industry conference in Las Vegas. After speaking with the CEO, Keane wrote, “Since going public and despite the increase in competitors, Mr. Dutra’s belief that micro-merchants are not price sensitive to merchant discount rates (MDRs) has been confirmed… Highlighting the health of the business, we believe net merchant adds are running ahead of plan and that guidance for ~1m in FY19 will ultimately prove conservative.” He sees a bullish future for PAGS, and sets a $57 price target, describing the company’s strategy as "winning."Overall, the two most recent analyst reviews on PAGS are Buy ratings, making the stock an overall Moderate Buy on TipRanks. Shares are trading for $45.68, and have an average price target of $58.50, making the upside potential a healthy 28%. (See PagSeguro stock analysis on TipRanks)Arista Networks (ANET)Arista is a mid-cap networking company out of Silicon Valley. Arista produces multilayer network switches and software-defined networking in the cloud computing and datacenter sectors. The company’s products are found in the high-performance computing and high-frequency trading environments, and run on a company-designed Linux-based operating system.The high-end networking niche brought Arista $328 million in profit last year, on more than $2.15 billion in revenues. Better yet, Arista has beaten quarterly earnings expectations in every report for the last two years. In the most recent report, for Q2 released, the company’s $2.20 EPS beat the forecast by 11%.The Smart Score reflects this underlying strength. Return on equity is up 34.33%, and the asset growth is up 21.51%. More importantly, the sentiment on this stock is bullish News sentiment, which measures the stock’s standing in journalistic coverage, is 100% bullish, while the bloggers sentiment comes in at 91%.A profitable niche in the computer networking industry, and a history of beating the earnings forecasts, have earned ANET accolades from some of the Street’s top analysts. 5-star Cowen analyst Paul Silverstein gave this stock a $295 price target after attending investor meetings with the company CFO. In support of his high price target, Silverstein wrote, “Arista should continue to benefit from an ongoing data center upgrade. Arista’s high-performance EOS has proved to be a significant competitive differentiator, delivering ease, speed and agility of application and service provisioning. Arista also enjoys a management team that has a demonstrated ability to open doors and close deals.”James Fish, a 4-star analyst with Piper Jaffray, reiterated his Buy rating on ANET last week. In his previous comments on the stock, he pointed out, “Arista is furthest along in the contribution of software to its business relative to peers, and the updates likely create further adoption… Arista has only penetrated ~10% of its installed base with CloudVision, leaving a large opportunity ahead… We believe Arista remains best-in-class for datacenter switching.” Fish’s $272 target indicates a potential for 15% upside to ANET.Overall, this stock has a Moderate Buy from the analyst consensus. This is based on 12 ratings given in the last three months, including 7 "buys" and 5 "holds." Shares are selling for $236, and the average price target of $279 implies room for an 19% upside. (See Arista stock analysis on TipRanks)ConocoPhillips (COP)With our third ‘perfect 10’ stock, we enter the energy market. ConocoPhillips is an old name in the oil industry, and stands as the largest exploration and production company in the petroleum sector. COP showed 2018 revenue of $38.727 billion, and generated net profits of $6.257 billion. The company beat earnings expectations in 3 of the last 4 quarters. Impressively, COP has managed this despite crude oil prices dropping over the past six months.Turning to the Smart Score, COP shows some impressive stats. Blogger opinion is 88% bullish, and news sentiment is 100% bullish. In the fundamentals, the 12-month return on equity is 22.28%, and the asset growth is 3.37%. The most impressive mark, however, comes from the hedge fund activity; the major funds purchased over 4 million shares of COP in the second quarter of 2019.For income-minded investors, COP offers a newly increased dividend and a commitment to boosting share value. The company this month announced a 38% increase to the dividend, making the quarterly payment 42 cents per share and bumping the annual yield to 3.1%. For comparison, the average dividend yield on the S$P 500 is 2%. Despite the drop in oil prices, COP has $12 billion in liquid assets to back up the announced $3 billion in share buybacks for 2020.UBS analyst Lloyd Byrne is impressed with COP’s performance. He reiterated his Buy rating, saying, “We think COP is taking the right steps to attract the generalist: a stable business model with visibility that focuses on returns on capital, and returning excess cash flow to the shareholder… COP holds their investor day on Nov 19th and is expected to detail a 10-year outlook including a more detailed capital plan… We expect a plan that provides details into asset specific trajectories including Eagle Ford, Bakken, Delaware, international (Montney?) and Alaska assets.” In line with this optimistic outlook, Byrne put a $75 price target on the stock, suggesting an upside potential of 33%.Overall, COP holds a Strong Buy from the analyst consensus, with 5 "buys" and 1 "hold" ratings given in the past three months. Shares sell for $56.43 and have an average price target of $74, giving the stock room for about 30% upside. (See ConocoPhillips stock analysis on TipRanks)
The latest 13F reporting period has come and gone, and Insider Monkey is again at the forefront when it comes to making use of this gold mine of data. Insider Monkey finished processing more than 730 13F filings submitted by hedge funds and prominent investors. These filings show these funds' portfolio positions as of June […]
PagSeguro, Funko, DocuSign and these two other IPO stocks to watch are showing strong institutional demand among top money managers.
The stock market continued to rise Thursday afternoon, responding to the White House's delay of Chinese tariffs and rate cuts in Europe.
Stocks suffered a terrible August with the Dow, S&P 500, and Nasdaq losing 1.7%, 1.8%, and 2.6%, respectively. If you didn't take the time this past month to figure out which stocks to sell, you might want to do that before too long. September is historically the worst-performing month on the calendar. Over the past 82 years, the S&P 500 and Dow have averaged a 1% decline in September. Even worse, when the S&P 500 falls by more than 1.5%, as it did this past August, the index tends to fall by 0.9% in September.According to Kensho, an analytical tool used by Wall Street to generate trading profits based on market history, the S&P 500 loses ground 48% of the time in September, leaving no doubt that if you're going to take profits, September is an excellent time to do it. InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 7 Stocks to Buy In a Flat Market As if what I've stated isn't enough to get you thinking about which stocks to sell, since 1950, September turns out to be the worst month in a pre-election year. Well, here we are, smack dab in the early stages of a 2020 election cycle, which points to another miserable month in the markets. If you're the conservative type, here are 10 stocks to sell that have made significant gains so far in 2019. Stocks to Sell: Beyond Meat (BYND)Source: Sundry Photography / Shutterstock.com Do I think Beyond Meat (NASDAQ:BYND) is a bad stock to own for the long term? Absolutely not. However, when a stock's gained more than 500% in a little over four months as a public company, if you bought the plant-based meat company's shares in the IPO, taking some profits off the table isn't the worst idea in the world.I know it's tempting to buy after BYND stock fell precipitously in August, losing 30% of its value from its late-July, 52-week high of $239.71, but given the likelihood September is going to be another losing month in the markets, discretion is the better part of valor. That's especially true if you consider that the competition continues to heat up in the plant-based food industry. Furthermore, Beyond Meat doesn't make money on a GAAP basis and will barely break even on a non-GAAP, adjusted EBITDA basis in fiscal 2019. Of course, if you're a buy-and-hold investor, the fact that selling now would trigger a higher capital gains tax due to selling within a year means you might want to take some cash and buy more in October should it fall into the $140s. Pilgrim's Pride (PPC)Source: Lori Martin / Shutterstock.com It seems that plant-based meats aren't the only type of protein that's popular at the moment. Pilgrim's Pride (NASDAQ:PPC), which is one of the world's largest chicken producers, has gained 106% year to date, a fantastic performance that has brought its stock back to life after several years in the doldrums. What did it do to gain this momentum? In the simplest terms, it has made more money in 2019. On July 31, Pilgrim's Pride announced Q2 2019 earnings. Through the first six months of this fiscal year, revenues fell by 0.3% to $5.57 billion. However, on the bottom line, it generated a six-month operating profit of $416.6 million, 7.7% higher than a year earlier. It wasn't so much the gains in the first six months, but rather what happened in the second quarter, which saw operating income and adjusted EBITDA increased by 58.1% and 34.7%, respectively, on a 0.2% increase in sales. * The 8 Worst Stocks to Buy Before the Trade Turmoil Cools Off Mexico and U.S. operating margins increased dramatically in the second quarter offset by middling results from its European operations. Expect it to continue making acquisitions outside the U.S. to grow its global footprint. PagSeguro Digital (PAGS)Source: Teerasak Ladnongkhun / Shutterstock.com PagSeguro Digital (NYSE:PAGS) is a Brazil-based payment services company that went public in January 2018 at $21.50 a share, raising $2.3 billion from its IPO. Losing ground through the latter half of 2018, PAGS has been on fire in 2019, up 171% year to date.As IPOs go, it's the most successful Brazilian public offering in many years, but it has also done nicely versus its software peers, which gained 27% over the same period. It just goes to show you that fintech success isn't just for American firms.The company's five pillars of growth have delivered payment processing to small businesses without the need to open a bank account, helping to grow the Brazilian economy. The company finished the second quarter ended June 30 with 9.4 million active users generating 39% revenue growth year over year, along with 42% growth in net income.A lot is happening in South American business these days and PagSeguro Digital is an integral part of the change taking place. Long-term, I'd hang on to its stock, but it's hard not to take some profits off the table after less than two years as a public company. NovoCure (NVCR)Source: Shutterstock I have to be honest; I had never heard of NovoCure (NASDAQ:NVCR), an Israel-based company that was founded in 2000 to create a new way to treat solid cancer tumors. In 2011, NovoCure received FDA approval for Optune, its treatment of recurring glioblastoma. Four years later it went public in October 2015 at $22 a share. Up 283% since its IPO, NovoCure has moved on to get FDA approval for two more drug treatments. In the second quarter ended June 30, NovoCure reported that it had 2,726 active patients using Optune, with 1,846 in the U.S. As a result of these patients, it generated $160 million in revenue in the first six months of fiscal 2019, 40% higher than a year earlier. On the bottom line, it lost $13.4 million in the first half of the year, one-third the amount it lost a year ago. * 7 Industrial Stocks to Buy for a Strong U.S. Economy Although it's getting close to profitability, the fact that it's gained 149% year to date suggests it's ready for a cool down. TopBuild (BLD)Source: Shutterstock Low interest rates have helped TopBuild (NYSE:BLD) gain more than 100% in 2019. The Fed's recent cut helped the installer and distributor of insulation and building products. In the past month, it's gained more than 1.5% while the markets as a whole have barely moved. Investors like stocks that benefit from interest rate cuts. TopBuild is in that category. In the second quarter ended June 30, TopBuild grew its sales by 8.9% to $660.1 million with a 260 basis-point increase in its gross margin to 26.5%, which led to an operating profit of $76.0 million, 73.9% higher than a year earlier. In fiscal 2019, it expects revenue to be at least $2.61 billion with adjusted EBITDA of $345 million. At present, everything about TopBuild's business is chugging along. However, if you were one of the lucky Masco (NYSE:MAS) shareholders who got one share of TopBuild for every nine shares of the parent in the June 2015 spinoff, you might want to take some profits because it's been nothing but capital gains over the past four years. Not to mention the housing market is starting to show signs of weakness which is always bad for companies like TopBuild. Carvana (CVNA)Source: Carvana There's no question Carvana (NYSE:CVNA), the e-commerce platform for buying and selling used cars, is having a strong year in the markets up more than 165%. If you own CVNA stock, the fact that it made $3,175 in gross profits per vehicle in the second quarter, 46% higher than a year earlier, has got to help soften the blow from a $64.1 million loss. There's no question that Carvana's revenue growth is through the roof. In Q2 2019, it grew sales by more than double to $986.2 million, expanding its footprint to 137 markets across the U.S.While the company continues to scale its business, analysts are increasingly concerned that its pathway to profitability isn't going to be nearly as quick as some think it is. * 7 Well-Positioned Oil Stocks in Today's Trading Environment Between 2019 and 2020, Carvana is expected to burn almost $1 billion in cash, which means it's likely going to need to raise more debt or equity by the end of next year. It might be a disruptor, but to truly change the used car business, it's got to remain solvent. Shake Shack (SHAK)Source: JHENG YAO / Shutterstock.com I can remember when the purveyor of burgers was doomed to fail. Now, Shake Shack (NYSE:SHAK) is back with a vengeance up 137% year to date and 44% on an annualized basis over the past three years. Back in June 2016, InvestorPlace Assistant Editor John Devine had this to say about SHAK:"SHAK stock trades at 107 times earnings, 66 times forward earnings, 6.7 times book and at a 3.4 PEG ratio. The traditional metrics are screaming that this stock is overvalued. With a profit margin barely scraping the 2.5% level, why is Shake Shack trading like a cloud computing company?"Hey, it was easy to pick on SHAK back then. It had been a public company for less than two years and was focusing on expansion rather than profits. As a result of this expansion, Shake Shack is outperforming McDonald's (NYSE:MCD) when it comes to their stocks. However, not everyone is convinced the stock's performance will continue unabated. "We estimate new units continue to weaken sequentially both on the top-line and especially on the contribution margin line, are contributing an estimated 90-200 bps pressure on consolidated RLM in 2019. This pressure should continue for the foreseeable future," said industry analyst John Zolidis recently. He doesn't see much upside left. Given the three-year run SHAK stock has been on, now might be the perfect time to take some profits. Roku (ROKU)Source: Michael Vi / Shutterstock.com Of all the tech stocks losing money, Roku (NASDAQ:ROKU) could very well be my favorite stock. It's got a great business model that I know is going to generate boatloads of profits someday. In the meantime, the video-streaming platform gained 459% year to date, with almost 15% of those gains coming in the past month when markets have been dormant or extremely negative. It is due for a correction.However, if Roku continues to deliver innovative products like its $180 Roku Smart Soundbar, expected to launch in October, it's going to be difficult to keep ROKU stock down. If you've owned ROKU for more than a year, I'd consider taking some profits, so that you can repurchase it after its next correction. It has had two corrections of more than 20% in both 2019 and 2018, with all of them happening in the first three months of the calendar year. * 7 Cheap Semiconductor Stocks to Buy Now History is likely to repeat itself. Snap (SNAP)Source: ArthurStock / Shutterstock.com I loved the headline of my InvestorPlace colleague Will Healy's latest article about Snap (NYSE:SNAP). "The Rally of Snap Stock Could Disappear Faster Than a Snapchat Photo," which pretty much sums up the subject of his article. "At its current levels, SNAP stock has become dangerous to own. Traders should sell Snapchat stock before their investment dollars disappear like their Snapchat photos," Healy wrote Sept. 5. Like Healy, I'm perplexed by the popularity of SNAP stock; although it's possible it could hit $20 in 2019, I believe a correction in 2020 is all but inevitable. If you've made money speculating on SNAP stock, now is the time to get out, while you still have profits to count. LivePerson (LVPN)Source: Shutterstock The history of LivePerson (NASDAQ:LVPN) is one of perseverance. The company started in 1998, helping large businesses provide online customer service through their LivePerson eCRM platform. Several acquisitions later and an IPO in 2000, it has grown to become a cloud-based company with over 18,000 customers and an increasing focus on AI.As a result of its move to the cloud and AI-related services, LivePerson's stock has jumped by more than 111% in 2019 and 70% on an annualized basis over the past three years.And yet the company's sales over the past three years have grown by just 4.5% from $239 million in 2015 to $249.8 million in 2018. At the same time, it has racked up cumulative losses of $69 million. The fact is, LivePerson hasn't made money since 2012 when it earned $6.4 million on $133 million. If it doesn't make money on a GAAP basis soon, investors are going to run away in droves. At the time of this writing Will Ashworth did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 3 Artificial Intelligence Stocks to Buy * 7 Industrial Stocks to Buy for a Strong U.S. Economy * 3 Beaten-Down Bank Stocks to Buy and Hold for the Long Term The post 10 Stocks to Sell in Market-Cursed September appeared first on InvestorPlace.
Janus Henderson Forty Fund is a bottom-up investor in growth stocks. But it can't ignore macro risks like a technology cold war between the U.S. and China.
The Dow Jones Industrial Average rallied more than 1%. At 25,892, the blue chip index is still poised to fall for a third week in a row.
The major stock indexes were sharply higher early Friday, as they looked to end a volatile week with solid gains. Nvidia stock jumped 7%.
Dow Jones futures signal a strong stock market rally as recession fears ease. Nvidia, Applied Materials, AMD and GE were active overnight.
PagSeguro earnings met views as sales beat late Thursday after StoneCo earnings beat. But the Warren Buffett-backed Brazilian payments stock plunged.
The Dow Jones Industrial Average at one point fell more than 1% following shock election results in Argentina and a Goldman Sachs cut in U.S. GDP estimates.
PagSeguro (PAGS) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Positive analyst coverage and a favorable outlook for the payment processing market helped PagSeguro post another month of double-digit gains.
This week on the "Investing with IBD" podcast, Ivan Hoff of Ivanhoff Capital joined us for a discussion about how to find top IPO stocks like Beyond Meat.