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PAGS

Strong BuyFLAG

PagSeguro Digital Ltd. · Technology · Brazil · $2.5B · Avg Vol: $24M/d

85
StockRank
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Q
63
V
85
M
34
P/E (TTM)
6.2x
ROE
14.5%
D/E
0.1x
Dividend %
2.9%
AI CONVICTION THESIS

PagSeguro Digital screens as the cheapest name in this batch (V96) and remains profitably scaled in Brazilian merchant acquiring, but its funding costs are directly geared to a high Brazilian policy rate and it has been growing a credit book whose loss experience is untested through a full cycle. Momentum is weak (M43). No fraud or distress event is known, so this is a flag.

COMPANY DESCRIPTION

PagSeguro Digital Ltd. is a leading Brazilian financial technology company providing payment processing, digital banking, and merchant acquiring solutions. The company's competitive moat is built on its comprehensive, low-cost digital ecosystem (PagBank) tailored specifically for micro-merchants and small-to-medium enterprises. It operates as a major fintech disruptor in Latin America, driving financial inclusion through high-volume transaction processing.

FINANCIAL SUMMARY (USD)

Year2022202320242025CAGRTTM2026E2027EFwd CAGR
Revenue2.9B3.1B3.6B3.9B10.0%3.8B4.1B4.3B5.0%
EPS1.800.991.291.38-8.5%1.461.501.679.9%
Shares159.1M315.9M303.8M279.7M+75.8%
Debt2.3B5.3B7.8B8.3B53.2%344.9M
Equity2.3B2.5B2.8B2.8B7.3%
Op CF681.8M768.4M-656.3M1.5B28.7%1.2B
Inv CF-419.7M-519.4M-351.6M-441.8M
Fin CF-255.4M-43.4M629.2M-832.4M
Loading 1Y...
PRICE (1Y)-4.3%
8.448.799.149.499.84Jul 20Aug 10Aug 28
SMA 50SMA 200

Close
$8.89
RSI (14)
45.0
52W High
$12.03
From 52W High
0.7%

SCORE BREAKDOWN

Quality
63
ROIC
25.9%91.9
ROE
14.5%70.7
GP/Assets
13.7%31.6
Op. Margin
36.2%95.1
FCF/Assets
6.8%67.6
Piotroski
780.7
Int. Cover
1.6x27.2
D/E Ratio
0.12x61.2
Current Ratio
1.55x34.4
Value
85
P/E (TTM)
6.2x97.2
EV/EBITDA
1.6x98.1
P/FCF
2.5x98.0
P/B
4.4x34.3
P/S
0.6x87.1
Div Yield
2.9%75.6
Momentum
34
52W High %
74%64.3
RS 6M
-27%26.9
SMA 50/200
0.94x34.7
EPS Rev 4W
-0.8%14.3
EPS Rev 12W
-5.0%12.0
EPS Improve
+27%29.2
Q Growth
2%30.1

FUNDAMENTALS

Market Cap
$2.5B
P/E (Forward)
4.9x
Gross Margin
51.5%

SECTOR PEERS

Closest peers in Technology, ranked by industry match, size, and score similarity. Cross-listings of PAGS are excluded.

TickerCompanyMkt CapStockRankSignal
PAGSPagSeguro Digital Ltd.(you)$2.5B85Strong Buy
PICSPicS N.V.$2.2B54Hold
LWSA3.SALocaweb Serviços de Internet S.A.$460M84Strong Buy
CINTCI&T Inc.$439M62Hold
CSUD3.SACSU Digital S.A.$108M93Strong Buy
TOTS3.SATOTVS S.A.$3.6B82Strong Buy
ALLD3.SAAllied Tecnologia S.A.$97M86Strong Buy
POSI3.SAPositivo Tecnologia S.A.$92M86Strong Buy

Peer medians: ROE 17.0% · P/E 9.1x · Gross margin 39.7%

PagSeguro Digital Ltd. (PAGS): Stock Score Summary

PagSeguro Digital Ltd. (PAGS) has a MoatMap StockRank of 85/100 based on Quality (63/100), Value (85/100), and Momentum (34/100) factor scores. The current signal is STRONG BUY. PagSeguro Digital screens as the cheapest name in this batch (V96) and remains profitably scaled in Brazilian merchant acquiring, but its funding costs are directly geared to a high Brazilian policy rate and it has been growing a credit book whose loss experience is untested through a full cycle. Momentum is weak (M43). No fraud or distress event is known, so this is a flag.

PagSeguro Digital Ltd. is a leading Brazilian financial technology company providing payment processing, digital banking, and merchant acquiring solutions. The company's competitive moat is built on its comprehensive, low-cost digital ecosystem (PagBank) tailored specifically for micro-merchants and small-to-medium enterprises. It operates as a major fintech disruptor in Latin America, driving financial inclusion through high-volume transaction processing.

Key Financial Metrics

Price$8.89
Market Cap$2.5B
P/E (TTM)6.19
P/E (Forward)4.86
Price/Book4.41
Return on Equity14.5%
Return on Invested Capital25.9%
Debt/Equity0.12x
Gross Margin51.5%
Operating Margin36.2%
Revenue Growth-0.2%
Dividend Yield2.9%
Free Cash Flow$987M

PagSeguro Digital Ltd. operates in the Software - Infrastructure industry, part of the Technology sector (Brazil).

Frequently Asked Questions

What is PagSeguro Digital Ltd.’s (PAGS) StockRank?
MoatMap’s StockRank for PagSeguro Digital Ltd. (PAGS) is 85/100, with a Strong Buy signal. It is a composite of Quality (63), Value (85), and Momentum (34) factor ranks across MoatMap’s 20,000+ stock universe.
Does PagSeguro Digital Ltd. have an economic moat?
PagSeguro Digital Ltd. (PAGS) has a Quality factor score of 63/100. The Quality factor combines ROIC, Piotroski F-Score, and leverage: the financial fingerprints of a durable competitive advantage. A Quality score above 70 typically indicates a company with the characteristics of a moated business.
Is PagSeguro Digital Ltd. a buy, hold, or sell?
MoatMap’s current signal for PagSeguro Digital Ltd. (PAGS) is Strong Buy, based on a StockRank of 85/100. Signals are derived mechanically from the StockRank composite and should be one input among many; combine with your own thesis on management, competitive position, and valuation.
What sector is PagSeguro Digital Ltd. in?
PagSeguro Digital Ltd. (PAGS) operates in the Technology sector, specifically the Software - Infrastructure industry (Brazil).