Company Deep Dive

Read the full research report: business segments breakdown, earnings transcripts review, management credibility analysis, competitive landscape, and scenarios.

View Deep Dive

STNE

STRONG BUYFLAG

StoneCo Ltd. · Technology · Cayman Islands · $2.6B · Avg Vol: $43M/d

92
StockRank
Get insider-trade alerts
Q
55
V
97
M
39
P/E (TTM)
4.2x
ROE
30.7%
D/E
1.3x
Dividend %
22.8%
AI CONVICTION THESIS

StoneCo screens as the cheapest name in this batch (V97) and remains a scaled Brazilian merchant acquirer with a growing banking arm, but the quality score is weak (Q55), funding costs track a high Brazilian policy rate, and the company has a documented history of severe credit losses when it previously expanded into merchant lending. That credit history is specific and directly relevant.

COMPANY DESCRIPTION

StoneCo Ltd. is a leading provider of financial technology solutions in Brazil, offering end-to-end cloud-based platforms for electronic payments, integrated software, and credit products to small and medium-sized businesses. The company's comprehensive ecosystem, robust proprietary technology, and strong focus on SMBs create a significant competitive moat in the rapidly digitizing Brazilian payments and financial services market. Its extensive distribution network and localized support further solidify its market position.

FINANCIAL SUMMARY (USD)

Year2022202320242025CAGRTTM2026E2027EFwd CAGR
Revenue9.0B10.1B11.6B13.4B14.1%13.5B14.2B15.0B5.7%
EPS-1.685.09-5.2710.4943.5%2.6611.3513.4013.1%
Shares312.6M308.9M286.0M248.9M-20.4%229.2M
Debt5.6B5.5B12.9B17.6B46.9%16.4B
Equity12.9B14.6B11.8B11.0B-5.2%
Op CF1.7B1.6B-3.6B676.6M-26.2%3.4B
Inv CF-1.9B-845.4M1.6B-1.8B
Fin CF-2.8B-148.8M5.0B930.6M
Loading 1Y...
PRICE (1Y)-3.3%
10.5210.7310.9411.1511.36Jun 12Jul 7Jul 27
SMA 50SMA 200
Close
$10.89
RSI (14)
54.8
52W High
$16.48
From 52W High
0.7%

SCORE BREAKDOWN

Quality
55
ROIC
22.3%89.3
ROE
30.7%91.8
GP/Assets
16.0%41.5
Op. Margin
44.3%97.9
FCF/Assets
3.7%53.9
Piotroski
537.9
Int. Cover
2.5x30.4
D/E Ratio
1.34x8.0
Current Ratio
1.33x24.3
Value
97
P/E (TTM)
4.2x99.3
EV/EBITDA
1.2x98.2
P/FCF
1.1x99.2
P/B
1.1x85.0
P/S
0.2x97.4
Div Yield
22.8%99.9
Momentum
39
52W High %
66%60.6
RS 6M
-25%39.1
SMA 50/200
0.88x24.4
EPS Rev 4W
-2.7%12.0
EPS Rev 12W
-6.4%10.3
EPS Improve
-11%11.2
Q Growth
232%88.6

FUNDAMENTALS

Market Cap
$2.6B
P/E (Forward)
4.7x
Gross Margin
73.6%

SECTOR PEERS

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

TickerCompanyMkt CapStockRankSignal
STNEStoneCo Ltd.(you)$2.6B92STRONG BUY
BLSHBullish$3.6B9STRONG SELL
4966.TWOParade Technologies, Ltd.$1.5B89STRONG BUY
6525.TWGEM Services, Inc.$592M91STRONG BUY
VTEXVTEX$665M94STRONG BUY
CRDOCredo Technology Group Holding Ltd$39.7B89STRONG BUY
4991.TWOGCS Holdings, Inc.$1.9B38HOLD
6456.TWGeneral Interface Solution (GIS) Holding Limited$705M58HOLD
6672.TWVentec International Group Co.,Ltd.$655M57HOLD
4958.TWZhen Ding Technology Holding Limited$19.7B66BUY

Peer medians: ROE 9.5% · P/E 32.6x · Gross margin 27.0%

StoneCo Ltd. (STNE) — Stock Score Summary

StoneCo Ltd. (STNE) has a MoatMap StockRank of 92/100 based on Quality (55/100), Value (97/100), and Momentum (39/100) factor scores. The current signal is STRONG BUY. StoneCo screens as the cheapest name in this batch (V97) and remains a scaled Brazilian merchant acquirer with a growing banking arm, but the quality score is weak (Q55), funding costs track a high Brazilian policy rate, and the company has a documented history of severe credit losses when it previously expanded into merchant lending. That credit history is specific and directly relevant.

StoneCo Ltd. is a leading provider of financial technology solutions in Brazil, offering end-to-end cloud-based platforms for electronic payments, integrated software, and credit products to small and medium-sized businesses. The company's comprehensive ecosystem, robust proprietary technology, and strong focus on SMBs create a significant competitive moat in the rapidly digitizing Brazilian payments and financial services market. Its extensive distribution network and localized support further solidify its market position.

Key Financial Metrics

Price$10.89
Market Cap$2.6B
P/E (TTM)4.18
P/E (Forward)4.68
Price/Book1.13
Return on Equity30.7%
Return on Invested Capital22.3%
Debt/Equity1.34x
Gross Margin73.6%
Operating Margin44.3%
Revenue Growth4.3%
Dividend Yield22.8%
Free Cash Flow$2.3B

StoneCo Ltd. operates in the Software - Infrastructure industry, part of the Technology sector (Cayman Islands).

Frequently Asked Questions

What is StoneCo Ltd.’s (STNE) StockRank?
MoatMap’s StockRank for StoneCo Ltd. (STNE) is 92/100, with a Strong Buy signal. It is a composite of Quality (55), Value (97), and Momentum (39) factor ranks across MoatMap’s 20,000+ stock universe.
Does StoneCo Ltd. have an economic moat?
StoneCo Ltd. (STNE) has a Quality factor score of 55/100. 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 StoneCo Ltd. a buy, hold, or sell?
MoatMap’s current signal for StoneCo Ltd. (STNE) is Strong Buy, based on a StockRank of 92/100. 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 StoneCo Ltd. in?
StoneCo Ltd. (STNE) operates in the Technology sector, specifically the Software - Infrastructure industry (Cayman Islands).