In the latest trading session, PagSeguro Digital Ltd. (PAGS) closed at $11.97, marking a +1.18% move from the previous day. This move outpaced the S&P 500's daily loss of 0.01%. At the same time, the Dow added 0.03%, and the tech-heavy Nasdaq gained 0.17%.
The company's stock has climbed by 21.46% in the past month, exceeding the Business Services sector's loss of 5.68% and the S&P 500's gain of 0.78%.
Analysts and investors alike will be keeping a close eye on the performance of PagSeguro Digital Ltd. in its upcoming earnings disclosure. The company's earnings per share (EPS) are projected to be $0.41, reflecting a 20.59% increase from the same quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $1.02 billion, up 16.18% from the year-ago period.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $1.43 per share and a revenue of $3.8 billion, representing changes of +18.18% and 0%, respectively, from the prior year.
It's also important for investors to be aware of any recent modifications to analyst estimates for PagSeguro Digital Ltd. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.15% decrease. PagSeguro Digital Ltd. currently has a Zacks Rank of #4 (Sell).
In terms of valuation, PagSeguro Digital Ltd. is presently being traded at a Forward P/E ratio of 7.31. This valuation marks a discount compared to its industry average Forward P/E of 12.88.
Meanwhile, PAGS's PEG ratio is currently 0.5. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Financial Transaction Services was holding an average PEG ratio of 0.96 at yesterday's closing price.
The Financial Transaction Services industry is part of the Business Services sector. With its current Zacks Industry Rank of 169, this industry ranks in the bottom 32% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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PagSeguro Digital Ltd. (PAGS): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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