PAGSEGURO DIGITAL LTD-CL A (PAGS) Stock Fundamental Analysis
NYSE:PAGS • KYG687071012
10.73 USD
+0.12 (+1.13%)
At close: Mar 2, 2026
10.59 USD
-0.14 (-1.3%)
After Hours: 3/2/2026, 8:04:00 PM
Taking everything into account, PAGS scores 6 out of 10 in our fundamental rating. PAGS was compared to 97 industry peers in the Financial Services industry. PAGS has only an average score on both its financial health and profitability. PAGS may be a bit undervalued, certainly considering the very reasonable score on growth This makes PAGS very considerable for value investing!
1. Profitability
1.1 Basic Checks
- PAGS had positive earnings in the past year.
- In the past year PAGS had a positive cash flow from operations.
- PAGS had positive earnings in each of the past 5 years.
- PAGS had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
- Looking at the Return On Assets, with a value of 3.06%, PAGS is in the better half of the industry, outperforming 69.07% of the companies in the same industry.
- PAGS has a Return On Equity of 14.88%. This is in the better half of the industry: PAGS outperforms 78.35% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 21.73%, PAGS belongs to the top of the industry, outperforming 94.85% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for PAGS is significantly above the industry average of 8.42%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.06% | ||
| ROE | 14.88% | ||
| ROIC | 21.73% |
ROA(3y)3.07%
ROA(5y)3.75%
ROE(3y)13.21%
ROE(5y)12.92%
ROIC(3y)22.59%
ROIC(5y)19.48%
1.3 Margins
- PAGS has a Profit Margin (11.01%) which is in line with its industry peers.
- In the last couple of years the Profit Margin of PAGS has declined.
- PAGS has a Operating Margin of 38.12%. This is in the better half of the industry: PAGS outperforms 79.38% of its industry peers.
- PAGS's Operating Margin has been stable in the last couple of years.
- PAGS has a Gross Margin of 51.55%. This is in the better half of the industry: PAGS outperforms 70.10% of its industry peers.
- In the last couple of years the Gross Margin of PAGS has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 38.12% | ||
| PM (TTM) | 11.01% | ||
| GM | 51.55% |
OM growth 3Y16.32%
OM growth 5Y-0.01%
PM growth 3Y0.28%
PM growth 5Y-14.01%
GM growth 3Y3.28%
GM growth 5Y-0.92%
2. Health
2.1 Basic Checks
- PAGS has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
- The number of shares outstanding for PAGS remains at a similar level compared to 1 year ago.
- Compared to 5 years ago, PAGS has about the same amount of shares outstanding.
- Compared to 1 year ago, PAGS has a worse debt to assets ratio.
2.2 Solvency
- Based on the Altman-Z score of 1.42, we must say that PAGS is in the distress zone and has some risk of bankruptcy.
- PAGS has a better Altman-Z score (1.42) than 68.04% of its industry peers.
- PAGS has a debt to FCF ratio of 0.88. This is a very positive value and a sign of high solvency as it would only need 0.88 years to pay back of all of its debts.
- PAGS has a Debt to FCF ratio of 0.88. This is amongst the best in the industry. PAGS outperforms 81.44% of its industry peers.
- A Debt/Equity ratio of 0.17 indicates that PAGS is not too dependend on debt financing.
- Looking at the Debt to Equity ratio, with a value of 0.17, PAGS is in the better half of the industry, outperforming 67.01% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | 0.88 | ||
| Altman-Z | 1.42 |
ROIC/WACC2.73
WACC7.96%
2.3 Liquidity
- PAGS has a Current Ratio of 1.42. This is a normal value and indicates that PAGS is financially healthy and should not expect problems in meeting its short term obligations.
- PAGS's Current ratio of 1.42 is fine compared to the rest of the industry. PAGS outperforms 65.98% of its industry peers.
- A Quick Ratio of 1.42 indicates that PAGS should not have too much problems paying its short term obligations.
- PAGS's Quick ratio of 1.42 is fine compared to the rest of the industry. PAGS outperforms 67.01% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.42 | ||
| Quick Ratio | 1.42 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 13.69% over the past year.
- PAGS shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 9.65% yearly.
- Looking at the last year, PAGS shows a quite strong growth in Revenue. The Revenue has grown by 11.57% in the last year.
- Measured over the past years, PAGS shows a very strong growth in Revenue. The Revenue has been growing by 26.94% on average per year.
EPS 1Y (TTM)13.69%
EPS 3Y15.77%
EPS 5Y9.65%
EPS Q2Q%8.99%
Revenue 1Y (TTM)11.57%
Revenue growth 3Y21.65%
Revenue growth 5Y26.94%
Sales Q2Q%5.67%
3.2 Future
- PAGS is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.73% yearly.
- Based on estimates for the next years, PAGS will show a small growth in Revenue. The Revenue will grow by 7.15% on average per year.
EPS Next Y10.36%
EPS Next 2Y10.79%
EPS Next 3Y9.32%
EPS Next 5Y10.73%
Revenue Next Year10.22%
Revenue Next 2Y7.93%
Revenue Next 3Y6.63%
Revenue Next 5Y7.15%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 7.30, the valuation of PAGS can be described as very cheap.
- PAGS's Price/Earnings ratio is rather cheap when compared to the industry. PAGS is cheaper than 83.51% of the companies in the same industry.
- PAGS's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.13.
- With a Price/Forward Earnings ratio of 6.41, the valuation of PAGS can be described as very cheap.
- PAGS's Price/Forward Earnings ratio is rather cheap when compared to the industry. PAGS is cheaper than 82.47% of the companies in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 28.11, PAGS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.3 | ||
| Fwd PE | 6.41 |
4.2 Price Multiples
- 98.97% of the companies in the same industry are more expensive than PAGS, based on the Enterprise Value to EBITDA ratio.
- PAGS's Price/Free Cash Flow ratio is rather cheap when compared to the industry. PAGS is cheaper than 90.72% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.09 | ||
| EV/EBITDA | 1.5 |
4.3 Compensation for Growth
- PAGS's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- PAGS has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.7
PEG (5Y)0.76
EPS Next 2Y10.79%
EPS Next 3Y9.32%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 1.32%, PAGS has a reasonable but not impressive dividend return.
- PAGS's Dividend Yield is a higher than the industry average which is at 2.34.
- PAGS's Dividend Yield is slightly below the S&P500 average, which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.32% |
5.2 History
- PAGS is new to the dividend game and has less than 3 years of track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y10.79%
EPS Next 3Y9.32%
10.73
+0.12 (+1.13%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)11-12 2025-11-12/amc
Earnings (Next)03-04 2026-03-04/amc
Inst Owners70.41%
Inst Owner Change-9.4%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap3.28B
Revenue(TTM)20.13B
Net Income(TTM)2.22B
Analysts75.79
Price Target12.34 (15%)
Short Float %10.81%
Short Ratio5.02
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.32% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-Date01-28 2026-01-28 (0.12)
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.54%
Min EPS beat(2)-0.91%
Max EPS beat(2)3.98%
EPS beat(4)3
Avg EPS beat(4)3.86%
Min EPS beat(4)-0.91%
Max EPS beat(4)11.5%
EPS beat(8)7
Avg EPS beat(8)4.87%
EPS beat(12)9
Avg EPS beat(12)3.34%
EPS beat(16)10
Avg EPS beat(16)1.96%
Revenue beat(2)0
Avg Revenue beat(2)-4.3%
Min Revenue beat(2)-6.36%
Max Revenue beat(2)-2.24%
Revenue beat(4)0
Avg Revenue beat(4)-2.82%
Min Revenue beat(4)-6.36%
Max Revenue beat(4)-0.16%
Revenue beat(8)4
Avg Revenue beat(8)0.09%
Revenue beat(12)4
Avg Revenue beat(12)-1.29%
Revenue beat(16)6
Avg Revenue beat(16)-0.47%
PT rev (1m)2.31%
PT rev (3m)5.3%
EPS NQ rev (1m)-0.11%
EPS NQ rev (3m)0.15%
EPS NY rev (1m)0.64%
EPS NY rev (3m)-0.49%
Revenue NQ rev (1m)0.28%
Revenue NQ rev (3m)-1.92%
Revenue NY rev (1m)0.04%
Revenue NY rev (3m)-2.12%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.3 | ||
| Fwd PE | 6.41 | ||
| P/S | 0.85 | ||
| P/FCF | 6.09 | ||
| P/OCF | 3.39 | ||
| P/B | 1.15 | ||
| P/tB | 1.45 | ||
| EV/EBITDA | 1.5 |
EPS(TTM)1.47
EY13.7%
EPS(NY)1.67
Fwd EY15.6%
FCF(TTM)1.76
FCFY16.42%
OCF(TTM)3.16
OCFY29.47%
SpS12.65
BVpS9.35
TBVpS7.42
PEG (NY)0.7
PEG (5Y)0.76
Graham Number17.59
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.06% | ||
| ROE | 14.88% | ||
| ROCE | 27.62% | ||
| ROIC | 21.73% | ||
| ROICexc | 23.17% | ||
| ROICexgc | 25.99% | ||
| OM | 38.12% | ||
| PM (TTM) | 11.01% | ||
| GM | 51.55% | ||
| FCFM | 13.93% |
ROA(3y)3.07%
ROA(5y)3.75%
ROE(3y)13.21%
ROE(5y)12.92%
ROIC(3y)22.59%
ROIC(5y)19.48%
ROICexc(3y)30.91%
ROICexc(5y)26.15%
ROICexgc(3y)37.53%
ROICexgc(5y)31.44%
ROCE(3y)27.45%
ROCE(5y)23.69%
ROICexgc growth 3Y-6.67%
ROICexgc growth 5Y-10.61%
ROICexc growth 3Y-4.13%
ROICexc growth 5Y-10.35%
OM growth 3Y16.32%
OM growth 5Y-0.01%
PM growth 3Y0.28%
PM growth 5Y-14.01%
GM growth 3Y3.28%
GM growth 5Y-0.92%
F-Score8
Asset Turnover0.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | 0.88 | ||
| Debt/EBITDA | 0.26 | ||
| Cap/Depr | 125.73% | ||
| Cap/Sales | 11.08% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 53.28% | ||
| Profit Quality | 126.54% | ||
| Current Ratio | 1.42 | ||
| Quick Ratio | 1.42 | ||
| Altman-Z | 1.42 |
F-Score8
WACC7.96%
ROIC/WACC2.73
Cap/Depr(3y)160.19%
Cap/Depr(5y)250.47%
Cap/Sales(3y)12.91%
Cap/Sales(5y)17.11%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)13.69%
EPS 3Y15.77%
EPS 5Y9.65%
EPS Q2Q%8.99%
EPS Next Y10.36%
EPS Next 2Y10.79%
EPS Next 3Y9.32%
EPS Next 5Y10.73%
Revenue 1Y (TTM)11.57%
Revenue growth 3Y21.65%
Revenue growth 5Y26.94%
Sales Q2Q%5.67%
Revenue Next Year10.22%
Revenue Next 2Y7.93%
Revenue Next 3Y6.63%
Revenue Next 5Y7.15%
EBIT growth 1Y24.4%
EBIT growth 3Y41.5%
EBIT growth 5Y26.93%
EBIT Next Year22.38%
EBIT Next 3Y18.2%
EBIT Next 5YN/A
FCF growth 1Y43.8%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y32.66%
OCF growth 3YN/A
OCF growth 5YN/A
PAGSEGURO DIGITAL LTD-CL A / PAGS FAQ
What is the ChartMill fundamental rating of PAGSEGURO DIGITAL LTD-CL A (PAGS) stock?
ChartMill assigns a fundamental rating of 6 / 10 to PAGS.
Can you provide the valuation status for PAGSEGURO DIGITAL LTD-CL A?
ChartMill assigns a valuation rating of 9 / 10 to PAGSEGURO DIGITAL LTD-CL A (PAGS). This can be considered as Undervalued.
What is the profitability of PAGS stock?
PAGSEGURO DIGITAL LTD-CL A (PAGS) has a profitability rating of 6 / 10.
How financially healthy is PAGSEGURO DIGITAL LTD-CL A?
The financial health rating of PAGSEGURO DIGITAL LTD-CL A (PAGS) is 6 / 10.
Can you provide the expected EPS growth for PAGS stock?
The Earnings per Share (EPS) of PAGSEGURO DIGITAL LTD-CL A (PAGS) is expected to grow by 10.36% in the next year.