XP (NASDAQ:XP) Shares Gap Down – Here’s What Happened

XP Inc. (NASDAQ:XP)’s stock price gapped down before the market opened on Tuesday . The stock had previously closed at $17.34, but opened at $16.44. XP shares last traded at $16.7720, with a volume of 2,211,994 shares traded.

XP News Roundup

Here are the key news stories impacting XP this week:

• Positive Sentiment: XP’s board approved a higher annual cash dividend of $0.20 per share, up from $0.18, and authorized a new share repurchase program, which can support shareholder returns. XP Inc. Announces Cash Dividend and New Share Repurchase Program
• Positive Sentiment: The company reported solid year-over-year growth in assets, with total client assets rising to R$1,529 billion, suggesting the platform continues to gather scale. XP Inc. Reports First Quarter 2026 Results
• Neutral Sentiment: XP announced a planned CFO transition, naming Gustavo Alejo Viviani to take over on August 3, 2026, which appears orderly but is not a major near-term catalyst. XP Inc. Announces Change in the CFO Position
• Negative Sentiment: First-quarter results missed revenue expectations, and earnings also came in below consensus on some reports, reinforcing concerns about profitability and growth momentum. XP Shares Slide Following Earnings And Revenue Misses
• Negative Sentiment: XP’s quarterly revenue of about $899.9 million fell short of analyst estimates, even though revenue still increased year over year, which is pressuring shares today. XP earnings report

Analysts Set New Price Targets

XP has been the topic of a number of recent analyst reports. Zacks Research downgraded shares of XP from a “strong-buy” rating to a “hold” rating in a report on Friday, May 1st. Weiss Ratings downgraded shares of XP from a “hold (c+)” rating to a “hold (c)” rating in a report on Tuesday, May 12th. Jefferies Financial Group began coverage on XP in a research report on Monday, January 19th. They issued a “buy” rating and a $22.00 price objective on the stock. Finally, UBS Group increased their price objective on XP from $25.00 to $28.00 and gave the stock a “buy” rating in a research report on Thursday, April 2nd. Four investment analysts have rated the stock with a Buy rating and four have issued a Hold rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $22.67.

XP Price Performance

The business’s 50 day moving average is $19.17 and its two-hundred day moving average is $18.84. The firm has a market capitalization of $8.83 billion, a PE ratio of 9.54, a P/E/G ratio of 0.56 and a beta of 1.17. The company has a debt-to-equity ratio of 0.01, a current ratio of 5.36 and a quick ratio of 5.36.

XP Increases Dividend

The company also recently declared 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 is an increase from XP’s previous annual dividend of $0.18. This represents a yield of 115.0%. The ex-dividend date of this dividend is Wednesday, June 10th. XP’s payout ratio is presently 10.40%.

Hedge Funds Weigh In On XP

Several large investors have recently added to or reduced their stakes in XP. Dodge & Cox lifted its position in shares of XP by 0.5% in the third quarter. Dodge & Cox now owns 34,478,145 shares of the company’s stock valued at $647,844,000 after acquiring an additional 169,700 shares in the last quarter. ARGA Investment Management LP boosted its stake in shares of XP by 4.0% in the first quarter. ARGA Investment Management LP now owns 20,699,135 shares of the company’s stock worth $394,112,000 after acquiring an additional 799,048 shares during the period. Schroder Investment Management Group boosted its stake in shares of XP by 74.4% in the third quarter. Schroder Investment Management Group now owns 12,288,191 shares of the company’s stock worth $230,895,000 after acquiring an additional 5,240,306 shares during the period. Massachusetts Financial Services Co. MA boosted its stake in shares of XP by 11.9% in the fourth quarter. Massachusetts Financial Services Co. MA now owns 12,263,021 shares of the company’s stock worth $200,746,000 after acquiring an additional 1,300,982 shares during the period. Finally, Arrowstreet Capital Limited Partnership boosted its stake in shares of XP by 10.9% in the fourth quarter. Arrowstreet Capital Limited Partnership now owns 11,799,175 shares of the company’s stock worth $193,152,000 after acquiring an additional 1,160,977 shares during the period. Hedge funds and other institutional investors own 59.15% of the company’s stock.

XP Company Profile

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.