PagSeguro Digital (NYSE:PAGS) Shares Gap Down – Should You Sell?

Shares of PagSeguro Digital Ltd. (NYSE:PAGS) gapped down prior to trading on Monday . The stock had previously closed at $8.78, but opened at $8.60. PagSeguro Digital shares last traded at $8.57, with a volume of 1,750,434 shares trading hands.

Analysts Set New Price Targets

A number of equities analysts have commented on the company. Susquehanna decreased their target price on PagSeguro Digital from $16.00 to $14.00 and set a “positive” rating for the company in a research note on Wednesday, May 14th. Citigroup raised PagSeguro Digital from a “neutral” rating to a “buy” rating and lifted their price target for the company from $7.00 to $10.00 in a report on Tuesday, April 22nd. Finally, Barclays cut their price target on PagSeguro Digital from $13.00 to $12.00 and set an “overweight” rating on the stock in a report on Wednesday, April 23rd. One investment analyst has rated the stock with a sell rating, four have given a hold rating, five have given a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average target price of $11.63.

PagSeguro Digital Trading Down 2.6%

The firm’s fifty day moving average price is $8.95 and its 200 day moving average price is $7.87. The firm has a market capitalization of $2.82 billion, a PE ratio of 7.07, a PEG ratio of 0.51 and a beta of 1.58.

PagSeguro Digital (NYSE:PAGS) last posted its quarterly earnings results on Wednesday, May 14th. The company reported $0.31 EPS for the quarter, beating the consensus estimate of $0.29 by $0.02. The business had revenue of $857.50 million for the quarter, compared to analysts’ expectations of $914.45 million. PagSeguro Digital had a net margin of 11.12% and a return on equity of 15.49%. As a group, research analysts expect that PagSeguro Digital Ltd. will post 1.17 EPS for the current year.

PagSeguro Digital Dividend Announcement

The business also recently disclosed a — dividend, which was paid on Friday, June 6th. Stockholders of record on Friday, May 23rd were given a dividend of $0.14 per share. The ex-dividend date was Friday, May 23rd. PagSeguro Digital’s dividend payout ratio is currently 11.48%.

Institutional Trading of PagSeguro Digital

Hedge funds have recently modified their holdings of the company. Intech Investment Management LLC increased its holdings in shares of PagSeguro Digital by 29.9% in the first quarter. Intech Investment Management LLC now owns 150,945 shares of the company’s stock worth $1,152,000 after acquiring an additional 34,787 shares in the last quarter. PDT Partners LLC lifted its position in PagSeguro Digital by 249.1% during the 1st quarter. PDT Partners LLC now owns 228,310 shares of the company’s stock worth $1,742,000 after buying an additional 162,907 shares in the last quarter. Maverick Capital Ltd. bought a new stake in PagSeguro Digital during the 1st quarter worth about $1,003,000. Itau Unibanco Holding S.A. bought a new stake in PagSeguro Digital during the 1st quarter worth about $2,198,000. Finally, Ieq Capital LLC acquired a new position in shares of PagSeguro Digital during the 1st quarter worth approximately $101,000. 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.