STONECO LTD-A (STNE) Stock Fundamental Analysis
USA - NASDAQ:STNE - KYG851581069 - Common Stock
19 USD
+0.12 (+0.64%)
18.8522 USD
-0.15 (-0.78%)
STNE gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 99 industry peers in the Financial Services industry. STNE has only an average score on both its financial health and profitability. STNE is not priced too expensively while it is growing strongly. Keep and eye on this one!
1. Profitability
1.1 Basic Checks
STNE had positive earnings in the past year.
STNE had a negative operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: STNE reported negative net income in multiple years.
STNE had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
STNE has a worse Return On Assets (-2.55%) than 82.83% of its industry peers.
Looking at the Return On Equity, with a value of -12.03%, STNE is doing worse than 82.83% of the companies in the same industry.
STNE has a better Return On Invested Capital (24.75%) than 95.96% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for STNE is significantly above the industry average of 7.79%.
The 3 year average ROIC (23.17%) for STNE is below the current ROIC(24.75%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.55% | ||
| ROE | -12.03% | ||
| ROIC | 24.75% |
ROA(3y)-0.24%
ROA(5y)-0.25%
ROE(3y)-2%
ROE(5y)-2.06%
ROIC(3y)23.17%
ROIC(5y)17.28%
1.3 Margins
The Operating Margin of STNE (47.59%) is better than 85.86% of its industry peers.
STNE's Operating Margin has declined in the last couple of years.
STNE has a Gross Margin of 74.62%. This is amongst the best in the industry. STNE outperforms 81.82% of its industry peers.
In the last couple of years the Gross Margin of STNE has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 47.59% | ||
| PM (TTM) | N/A | ||
| GM | 74.62% |
OM growth 3Y5.11%
OM growth 5Y-3.47%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.1%
GM growth 5Y-2.25%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), STNE is creating value.
The number of shares outstanding for STNE has been reduced compared to 1 year ago.
Compared to 5 years ago, STNE has more shares outstanding
Compared to 1 year ago, STNE has a worse debt to assets ratio.
2.2 Solvency
STNE has an Altman-Z score of 1.70. This is a bad value and indicates that STNE is not financially healthy and even has some risk of bankruptcy.
With a decent Altman-Z score value of 1.70, STNE is doing good in the industry, outperforming 69.70% of the companies in the same industry.
STNE has a Debt/Equity ratio of 0.74. This is a neutral value indicating STNE is somewhat dependend on debt financing.
STNE has a Debt to Equity ratio (0.74) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.74 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.7 |
ROIC/WACC3.29
WACC7.53%
2.3 Liquidity
A Current Ratio of 1.39 indicates that STNE should not have too much problems paying its short term obligations.
The Current ratio of STNE (1.39) is better than 63.64% of its industry peers.
STNE has a Quick Ratio of 1.39. This is a normal value and indicates that STNE is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Quick ratio value of 1.39, STNE is doing good in the industry, outperforming 64.65% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.39 | ||
| Quick Ratio | 1.39 |
3. Growth
3.1 Past
STNE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 35.39%, which is quite impressive.
The Earnings Per Share has been growing by 18.81% on average over the past years. This is quite good.
Looking at the last year, STNE shows a quite strong growth in Revenue. The Revenue has grown by 8.83% in the last year.
Measured over the past years, STNE shows a very strong growth in Revenue. The Revenue has been growing by 38.77% on average per year.
EPS 1Y (TTM)35.39%
EPS 3Y115.64%
EPS 5Y18.81%
EPS Q2Q%31.2%
Revenue 1Y (TTM)8.83%
Revenue growth 3Y29.32%
Revenue growth 5Y38.77%
Sales Q2Q%13.54%
3.2 Future
Based on estimates for the next years, STNE will show a very strong growth in Earnings Per Share. The EPS will grow by 20.03% on average per year.
STNE is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.94% yearly.
EPS Next Y27.14%
EPS Next 2Y22.48%
EPS Next 3Y20.03%
EPS Next 5YN/A
Revenue Next Year10.56%
Revenue Next 2Y8.9%
Revenue Next 3Y7.65%
Revenue Next 5Y6.94%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
STNE is valuated correctly with a Price/Earnings ratio of 12.34.
The rest of the industry has a similar Price/Earnings ratio as STNE.
STNE's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.91.
The Price/Forward Earnings ratio is 9.45, which indicates a very decent valuation of STNE.
Compared to the rest of the industry, the Price/Forward Earnings ratio of STNE indicates a somewhat cheap valuation: STNE is cheaper than 60.61% of the companies listed in the same industry.
STNE's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.34 | ||
| Fwd PE | 9.45 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, STNE is valued cheaply inside the industry as 95.96% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 4.07 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as STNE's earnings are expected to grow with 20.03% in the coming years.
PEG (NY)0.45
PEG (5Y)0.66
EPS Next 2Y22.48%
EPS Next 3Y20.03%
5. Dividend
5.1 Amount
No dividends for STNE!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
19
+0.12 (+0.64%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners78.61%
Inst Owner Change-0.63%
Ins Owners0.07%
Ins Owner ChangeN/A
Market Cap5.16B
Revenue(TTM)13.26B
Net Income(TTM)-1373745000
Analysts83.33
Price Target17.6 (-7.37%)
Short Float %6.06%
Short Ratio3.29
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)10.28%
Min EPS beat(2)7.3%
Max EPS beat(2)13.26%
EPS beat(4)4
Avg EPS beat(4)7.87%
Min EPS beat(4)3.79%
Max EPS beat(4)13.26%
EPS beat(8)7
Avg EPS beat(8)8.46%
EPS beat(12)11
Avg EPS beat(12)23.38%
EPS beat(16)13
Avg EPS beat(16)23.36%
Revenue beat(2)0
Avg Revenue beat(2)-1.73%
Min Revenue beat(2)-2.01%
Max Revenue beat(2)-1.46%
Revenue beat(4)0
Avg Revenue beat(4)-2.17%
Min Revenue beat(4)-2.75%
Max Revenue beat(4)-1.46%
Revenue beat(8)0
Avg Revenue beat(8)-2.29%
Revenue beat(12)2
Avg Revenue beat(12)-0.53%
Revenue beat(16)5
Avg Revenue beat(16)2.87%
PT rev (1m)0%
PT rev (3m)6.46%
EPS NQ rev (1m)1.84%
EPS NQ rev (3m)6.44%
EPS NY rev (1m)4.51%
EPS NY rev (3m)8.86%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-4.25%
Revenue NY rev (1m)-0.64%
Revenue NY rev (3m)-5.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.34 | ||
| Fwd PE | 9.45 | ||
| P/S | 2.01 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 2.43 | ||
| P/tB | 4.68 | ||
| EV/EBITDA | 4.07 |
EPS(TTM)1.54
EY8.11%
EPS(NY)2.01
Fwd EY10.58%
FCF(TTM)-1.21
FCFYN/A
OCF(TTM)-0.36
OCFYN/A
SpS9.47
BVpS7.81
TBVpS4.06
PEG (NY)0.45
PEG (5Y)0.66
Graham Number16.45
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.55% | ||
| ROE | -12.03% | ||
| ROCE | 30.48% | ||
| ROIC | 24.75% | ||
| ROICexc | 39.11% | ||
| ROICexgc | 65.26% | ||
| OM | 47.59% | ||
| PM (TTM) | N/A | ||
| GM | 74.62% | ||
| FCFM | N/A |
ROA(3y)-0.24%
ROA(5y)-0.25%
ROE(3y)-2%
ROE(5y)-2.06%
ROIC(3y)23.17%
ROIC(5y)17.28%
ROICexc(3y)56.64%
ROICexc(5y)40.18%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)28.53%
ROCE(5y)21.28%
ROICexgc growth 3Y107.85%
ROICexgc growth 5Y63.64%
ROICexc growth 3Y68.5%
ROICexc growth 5Y19.67%
OM growth 3Y5.11%
OM growth 5Y-3.47%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.1%
GM growth 5Y-2.25%
F-Score3
Asset Turnover0.26
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.74 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.12 | ||
| Cap/Depr | 126.47% | ||
| Cap/Sales | 9.05% | ||
| Interest Coverage | 7.53 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.39 | ||
| Quick Ratio | 1.39 | ||
| Altman-Z | 1.7 |
F-Score3
WACC7.53%
ROIC/WACC3.29
Cap/Depr(3y)120.71%
Cap/Depr(5y)159.13%
Cap/Sales(3y)8.94%
Cap/Sales(5y)12.35%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)35.39%
EPS 3Y115.64%
EPS 5Y18.81%
EPS Q2Q%31.2%
EPS Next Y27.14%
EPS Next 2Y22.48%
EPS Next 3Y20.03%
EPS Next 5YN/A
Revenue 1Y (TTM)8.83%
Revenue growth 3Y29.32%
Revenue growth 5Y38.77%
Sales Q2Q%13.54%
Revenue Next Year10.56%
Revenue Next 2Y8.9%
Revenue Next 3Y7.65%
Revenue Next 5Y6.94%
EBIT growth 1Y5.39%
EBIT growth 3Y35.93%
EBIT growth 5Y33.96%
EBIT Next Year38.41%
EBIT Next 3Y13.31%
EBIT Next 5YN/A
FCF growth 1Y-253.28%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-125.47%
OCF growth 3YN/A
OCF growth 5YN/A
STONECO LTD-A / STNE FAQ
Can you provide the ChartMill fundamental rating for STONECO LTD-A?
ChartMill assigns a fundamental rating of 5 / 10 to STNE.
What is the valuation status for STNE stock?
ChartMill assigns a valuation rating of 6 / 10 to STONECO LTD-A (STNE). This can be considered as Fairly Valued.
Can you provide the profitability details for STONECO LTD-A?
STONECO LTD-A (STNE) has a profitability rating of 5 / 10.
Can you provide the PE and PB ratios for STNE stock?
The Price/Earnings (PE) ratio for STONECO LTD-A (STNE) is 12.34 and the Price/Book (PB) ratio is 2.43.