PagSeguro Digital Ltd. Announces Special Dividend of $0.12 (NYSE:PAGS)

PagSeguro Digital Ltd. (NYSE:PAGS) declared a special dividend on Tuesday, December 30th. Stockholders of record on Wednesday, January 28th will be paid a dividend of 0.12 per share on Friday, February 27th. The ex-dividend date of this dividend is Wednesday, January 28th.

PagSeguro Digital has a dividend payout ratio of 9.4% indicating that its dividend is sufficiently covered by earnings. Analysts expect PagSeguro Digital to earn $1.19 per share next year, which means the company should continue to be able to cover its $0.14 annual dividend with an expected future payout ratio of 11.8%.

PagSeguro Digital Price Performance

Shares of NYSE PAGS traded down $0.12 during mid-day trading on Wednesday, hitting $9.63. 451,201 shares of the stock traded hands, compared to its average volume of 4,903,601. The company has a market cap of $3.17 billion, a PE ratio of 7.46, a price-to-earnings-growth ratio of 0.49 and a beta of 1.45. PagSeguro Digital has a twelve month low of $6.11 and a twelve month high of $11.16. The firm has a 50 day simple moving average of $9.74 and a two-hundred day simple moving average of $9.30.

PagSeguro Digital (NYSE:PAGS) last issued its earnings results on Wednesday, November 12th. The company reported $0.36 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.35 by $0.01. PagSeguro Digital had a return on equity of 15.39% and a net margin of 11.00%.The business had revenue of $937.15 million during the quarter, compared to analysts’ expectations of $971.30 million. On average, equities research analysts anticipate that PagSeguro Digital will post 1.17 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

A number of equities research analysts have weighed in on PAGS shares. Bank of America raised shares of PagSeguro Digital from a “neutral” rating to a “buy” rating and boosted their target price for the stock from $10.00 to $13.00 in a report on Friday, September 19th. Susquehanna raised their price objective on PagSeguro Digital from $11.00 to $12.00 and gave the stock a “positive” rating in a research report on Friday, November 14th. The Goldman Sachs Group reissued a “neutral” rating and set a $9.00 target price (down previously from $12.00) on shares of PagSeguro Digital in a research report on Tuesday, October 14th. UBS Group increased their price objective on shares of PagSeguro Digital from $12.00 to $13.00 and gave the stock a “buy” rating in a research report on Tuesday, November 25th. Finally, Weiss Ratings reiterated a “hold (c)” rating on shares of PagSeguro Digital in a report on Wednesday, October 8th. Five analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company’s stock. Based on data from MarketBeat, PagSeguro Digital currently has an average rating of “Moderate Buy” and an average target price of $11.71.

PagSeguro Digital Company Profile

PagSeguro Digital Ltd. is a Brazil-based financial technology company that specializes in digital payment solutions for merchants and consumers. Through its online platform and a suite of physical point-of-sale devices, the company enables businesses of all sizes to accept credit and debit cards, process e-commerce transactions, and manage payments via QR codes and digital wallets. In addition to payment acceptance, PagSeguro offers prepaid accounts, funds transfers, and working-capital credit lines designed to support small and medium-sized enterprises.

The company’s product portfolio includes portable card readers, countertop terminals, and mobile point-of-sale devices that connect via Bluetooth or cellular networks.