Analysts Set XP Inc. (NASDAQ:XP) Target Price at $23.40

Shares of XP Inc. (NASDAQ:XP) have received a consensus rating of “Moderate Buy” from the six research firms that are currently covering the company, MarketBeat.com reports. Three investment analysts have rated the stock with a hold rating and three have assigned a buy rating to the company. The average twelve-month price target among brokers that have covered the stock in the last year is $22.75.

A number of research analysts recently weighed in on XP shares. Weiss Ratings raised XP from a “hold (c)” rating to a “hold (c+)” rating in a research note on Tuesday, May 26th. Zacks Research lowered XP from a “strong-buy” rating to a “hold” rating in a report on Friday, May 1st. Finally, UBS Group reduced their price objective on XP from $28.00 to $25.00 and set a “buy” rating for the company in a report on Wednesday.

Institutional Investors Weigh In On XP

Institutional investors and hedge funds have recently made changes to their positions in the business. EverSource Wealth Advisors LLC raised its position in shares of XP by 65.4% in the second quarter. EverSource Wealth Advisors LLC now owns 1,634 shares of the company’s stock worth $33,000 after buying an additional 646 shares in the last quarter. FNY Investment Advisers LLC purchased a new stake in XP during the fourth quarter valued at about $34,000. Caitong International Asset Management Co. Ltd raised its position in XP by 1,783.3% during the third quarter. Caitong International Asset Management Co. Ltd now owns 2,825 shares of the company’s stock valued at $53,000 after purchasing an additional 2,675 shares in the last quarter. Parallel Advisors LLC raised its position in XP by 117.3% during the first quarter. Parallel Advisors LLC now owns 3,288 shares of the company’s stock valued at $63,000 after purchasing an additional 1,775 shares in the last quarter. Finally, Aster Capital Management DIFC Ltd purchased a new stake in XP during the fourth quarter valued at about $55,000. Hedge funds and other institutional investors own 59.15% of the company’s stock.

XP Stock Down 3.7%

Shares of NASDAQ:XP opened at $15.60 on Thursday. The company has a market capitalization of $8.38 billion, a price-to-earnings ratio of 8.62, a P/E/G ratio of 0.51 and a beta of 1.11. The company has a debt-to-equity ratio of 0.02, a current ratio of 6.66 and a quick ratio of 6.66. The business’s 50-day moving average is $18.65 and its 200-day moving average is $18.69. XP has a 1 year low of $15.52 and a 1 year high of $23.13.

XP Increases Dividend

The business also recently announced an annual dividend, which will be paid on Thursday, June 18th. Shareholders of record on Wednesday, June 10th will be issued a dividend of $0.20 per share. This represents a yield of 115.0%. The ex-dividend date of this dividend is Wednesday, June 10th. This is a boost from XP’s previous annual dividend of $0.18. XP’s payout ratio is presently 9.94%.

XP declared that its board has authorized a share buyback plan on Tuesday, May 19th that authorizes the company to buyback $0.00 in shares. This buyback authorization authorizes the company to buy shares of its stock through open market purchases. Shares buyback plans are often a sign that the company’s leadership believes its shares are undervalued.

About XP

XP Inc provides financial products and services in Brazil. It offers securities brokerage, private pension plans, commercial, and investment banking products, such as loan operations and transactions in the foreign exchange markets and deposits; product structuring and capital markets services for corporate clients and issuers of fixed income products; advisory services for mass-affluent and institutional clients; and wealth management services for high-net-worth customers and institutional clients.