XP Inc. (NASDAQ:XP) finished Thursday with a subtraction of -$0.27 to close at $25.67, a downside of -1.04 percent. An average of 3,467,220 shares of common stock have been traded in the last five days. There was a fall of -$0.83 in the past week, and it reached a new high 10 times over the past 12 months. The last 20 days have seen an average of 4,545,820 shares traded, while the 50-day average volume stands at 5,730,792.
XP stock has increased by 9.75% in the last month. The company shares reached their 1-month lowest point of $22.02 on 07/11/23. With the stock rallying to its 52-week high on 07/25/23, shares of the company touched a low of $10.30 and a high of $27.67 in 52 weeks. It has reached a new high 29 times so far this year and achieved 67.34% or $10.33 in price. In spite of this, the price is down -7.23% from the 52-week high.
Valuation Metrics
XP Inc. (XP) has a trailing price-to-earnings (P/E) ratio of 20.07. The stock’s beta is 1.64. Other valuation ratios to consider include the trailing price-to-sales (P/S) ratio at 5.32, the price-to-book (PB) ratio at 3.97, and the price-to-cash flow ratio at 20.21.
Financial Health
Further, the company has a long term debt to equity ratio of 0.22 and a total debt to equity ratio of 2.65 for the quarter ending March 30. Its gross profit as reported stood at $1.82 billion compared to revenue of $2.59 billion.
For investors, determining the potential profitability of the investment also depends on the performance of the company’s management. In the past 12 months, XP Inc.’s return on assets was 1.90%.
Earnings Surprise
The analyst consensus anticipated XP Inc.’s latest quarter earnings to come in at $0.28 per share, but it turned out to be $0.32, a 14.30% surprise. For the quarter, EBITDA amounted to $207.0 million.
Technical Picture
From a technical analysis perspective, let’s take a brief look at XP Inc. (XP) price momentum. RSI 9-day as of the close on 10 August was 47.39%, suggesting the stock is Neutral, with historical volatility in this time frame at 21.78%.
As of today, XP’s price is $26.08 -3.13% or -$0.83 from its 5-day moving average. XP is currently trading +10.31% higher than its 20-day SMA and +115.35% higher than its 100-day SMA. However, the stock’s current price level is +42.37% above the SMA50 and +42.22% above the SMA200.
The stochastic %K and %D were 37.95% and 51.94%, respectively, and the average true range (ATR) was 0.99. With the 14-day stochastic at 20.63% and the average true range at 0.98, the RSI (14) stands at 55.33%. The stock has reached -0.40 on the 9-day MACD Oscillator while the 14-day reading was at -0.54.
Analyst Ratings
Credit Suisse upgraded XP Inc. (NASDAQ: XP) to a a Neutral rating in its most recent analyst report. Previously, the stock was rated as an Underperform. The consensus rating for XP Inc. (XP) among analysts is Overweight. According to current brokerage recommendations, 0 brokerage firms advise that investors sell XP, while 5 suggest investors hold. There are 0 analysts who rate the stock as underweight. The stock is rated overweight by 0 analysts, while 7 others rate it as a “buy”.
What is XP’s price target for the next 12 months?
Analysts predict a range of price targets between $81.60 and $170.33, with a median target of $124.81. Taking a look at these predictions, the average price target given by analysts for XP Inc. (XP) stock is $121.86.
