Brazil's StoneCo rise after Citi upgrades to 'buy'

StoneCo

22/04/2025 19:24

** Brazilian payments firm StoneCo's STNE.O shares rise 7% to $12.90

** Citi Research upgrades STNE to "buy" from "neutral"; raises PT to $15 from $9, a 24.4% upside to stock's last close

** STNE is Citi's 'top pick' in the Brazilian payments sector

**  Brokerage says every day STNE is one step closer to be a "small-sized bank" with potential higher returns

** Says STNE's profit could also likely surprise positively given the firm has enough room left from share buybacks

** Citi also expects lower rates for 2026 which could be a tailwind for STNE's results

** 10 of 14 brokerages rate the stock "buy" or higher, three "hold" and one "sell"; median PT $15 - data compiled by LSEG

** As of last close, STNE stock up 51.3% YTD

 (Reporting by Arasu Kannagi Basil in Bengaluru)

 ((ArasuKannagi.Basil@thomsonreuters.com;))