Bank of America Downgrades PagSeguro Digital (NYSE:PAGS) to Neutral

PagSeguro Digital (NYSE:PAGS) was downgraded by research analysts at Bank of America from a “buy” rating to a “neutral” rating in a note issued to investors on Wednesday, Marketbeat.com reports. They currently have a $10.00 target price on the stock. Bank of America‘s target price would indicate a potential upside of 9.36% from the stock’s previous close.

Other equities analysts have also issued reports about the stock. Weiss Ratings lowered shares of PagSeguro Digital from a “hold (c+)” rating to a “hold (c)” rating in a research report on Tuesday, June 23rd. Autonomous Res downgraded shares of PagSeguro Digital from a “hold” rating to a “strong sell” rating in a research report on Thursday, April 30th. Wall Street Zen cut shares of PagSeguro Digital from a “buy” rating to a “hold” rating in a research note on Saturday, May 16th. Finally, JPMorgan Chase & Co. lowered their target price on shares of PagSeguro Digital from $13.00 to $12.00 and set a “neutral” rating on the stock in a report on Monday, April 13th. Two analysts have rated the stock with a Buy rating, five have assigned a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of “Hold” and an average target price of $11.40.

PagSeguro Digital Trading Down 0.7%

PagSeguro Digital stock opened at $9.14 on Wednesday. The stock has a 50 day moving average of $9.05 and a two-hundred day moving average of $9.95. PagSeguro Digital has a twelve month low of $7.74 and a twelve month high of $12.32. The stock has a market capitalization of $2.56 billion, a price-to-earnings ratio of 6.72, a PEG ratio of 0.37 and a beta of 1.32.

PagSeguro Digital (NYSE:PAGS) last released its earnings results on Wednesday, May 13th. The company reported $0.39 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.40 by ($0.01). PagSeguro Digital had a net margin of 10.40% and a return on equity of 16.44%. The company had revenue of $642.01 million during the quarter, compared to analyst estimates of $952.64 million. Equities analysts predict that PagSeguro Digital will post 1.7 earnings per share for the current year.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of PAGS. Robeco Institutional Asset Management B.V. raised its position in PagSeguro Digital by 108.2% in the fourth quarter. Robeco Institutional Asset Management B.V. now owns 6,610,914 shares of the company’s stock worth $63,729,000 after acquiring an additional 3,435,211 shares in the last quarter. Maple Rock Capital Partners Inc. purchased a new stake in shares of PagSeguro Digital during the 3rd quarter worth $28,011,000. Jacobs Levy Equity Management Inc. grew its stake in shares of PagSeguro Digital by 5,302.5% during the 3rd quarter. Jacobs Levy Equity Management Inc. now owns 2,156,848 shares of the company’s stock worth $21,568,000 after purchasing an additional 2,116,925 shares during the period. Orbis Allan Gray Ltd acquired a new position in shares of PagSeguro Digital during the 2nd quarter worth $20,106,000. Finally, Jain Global LLC purchased a new position in shares of PagSeguro Digital in the 4th quarter valued at about $17,424,000. Institutional investors and hedge funds own 45.88% of the company’s stock.

About PagSeguro Digital

PagSeguro Digital Ltd. is a Brazil-based financial technology company that specializes in digital payment solutions for merchants and consumers. Through its online platform and a suite of physical point-of-sale devices, the company enables businesses of all sizes to accept credit and debit cards, process e-commerce transactions, and manage payments via QR codes and digital wallets. In addition to payment acceptance, PagSeguro offers prepaid accounts, funds transfers, and working-capital credit lines designed to support small and medium-sized enterprises.

The company’s product portfolio includes portable card readers, countertop terminals, and mobile point-of-sale devices that connect via Bluetooth or cellular networks.