StoneCo Ltd.

Fundamentals5.0
Price Action2.0
News Sentiment0.0
AI Rating
4.0

Key Drivers

  • Strong Capital Returns
  • Leverage Drag
  • Thin Cushion

AI
AI Summary

4.0

STNE should now be viewed as a turnaround with cash-generation and capital-return potential, but the stock only works if merchant churn, weak SMB demand, and rising credit costs stabilize quickly enough to protect earnings and justify the cheap multiple.

Turnaround‍
CreditRisk
CashFlow

Price Chart

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Financial Metrics

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Revenue (TTM)
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Net Income (TTM)
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EPS (Q)
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MCAP

Deep Analysis

Research tool. Not personalized advice.

Fundamental Analysis

5.0

Key Financial Insights:

  • Strong Capital Returns
  • Leverage Drag
  • Thin Cushion

STNE is profitable and cheap on earnings, but heavy leverage and a softer latest-quarter margin profile make the investment case more balanced than compelling.

Undervalued
LeverageRisk

Price Behavior

2.0
Research tool. Not personalized advice. Technical analysis is for informational purposes only.

Key Price Behavior Insights:

  • Lower highs
  • Failed rebounds
  • Key support

STNE remains in a clear short-term downtrend after breaking $11.00, with failed rebounds and overhead resistance at $10.38-$10.42 and $11.00-$11.40, while $9.61 is near-term support but a break lower would keep downside risk elevated.

downtrend
oversold
Support Level: $9.61
Resistance Level: $10.38-$10.42, then $11.00-$11.40

Sharp drop from about $12.47 to $9.61 with repeated rebound failures

Sentiment & News

0.0

Key News Insights:

  • Earnings in line
  • Churn pressure
  • Credit provisions

StoneCo drew attention as its Q1 2026 results met expectations but confirmed ongoing pressure from merchant churn, weak small-business demand, and higher credit costs.

STNE
Headwinds

The update is likely modestly negative for sentiment, as steady headline interest is outweighed by clear near-term operating headwinds