PAGS

PagSeguro Digital Ltd

TMT, Finance/Real Estate


Presented:02/05/2018
Price:$27.43
Cap:$8.64B
Current Price:$8.23
Cap:$2.71B

Presented

Date02/05/2018
Price$27.43
Market Cap$8.64B
Ent Value$7.23B
P/E Ratio69.8x
Book Value$0.81
Div Yield0%
Shares O/S107.31M
Ave Daily Vol10,805,726
Short IntN/A

Current

Price$8.23
Market Cap$2.71B
PagSeguro Digital Ltd. engages in the provision of financial technology solutions focused on Micro-Merchants, Small Companies and Medium-Sized Companies, or Small Medium Enterprises. Its business model covers the following pillars: Multiple digital payment solutions; In-person payments via POS devices that sell to merchants; Free digital accounts; Issuer of prepaid cards to clients for spending or withdrawing account balances, and Operating as an acquirer. The company was founded on July 19, 2017 and is headquartered in Sau Paulo, Brazil.

Publicly traded companies mentioned herein: Cielo SA (CIEL3 BZ), PagSeguro Digital Ltd (PAGS), Square Inc (SQ)

Highlights

The presenter is long shares of PagSeguro (PAGS), a Brazilian merchant acquirer that operates similarly to Square in the US, seeing a long runway of market penetration in Brazil. He believes PAGS is currently trading at similar multiples to peers despite having a significantly higher growth rate and thinks multiples will expand as more investors come to appreciate the attractive market dynamics. The presenter thinks PAGS shares can double by the end of 2019.

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Idea Discussion

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