Market cap of XP Inc [XP] reaches 13.88B – now what?

XP Inc [NASDAQ: XP] closed the trading session at $25.33. The company report on February 27, 2024 at 4:11 PM that XP Inc Announces New Share Repurchase Program.

XP Inc. (Nasdaq: XP), announced today that its board of directors has approved a new share repurchase program, which aims to neutralize future shareholder dilution due to the vesting of Restricted Stock Units (RSUs) from the Company’s long-term incentive plan. The Company proposes to undertake a share repurchase program pursuant to which the Board can annually, in each calendar year, approve the repurchase by the Company of a number of Class A Common Shares equal to the number of RSUs that have vested or will vest during the current calendar year.

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Under the approved repurchase program for 2024, XP may repurchase up to 2,500,000 Class A Common Shares within the period commencing on February 28, 2024, and ending on December 27, 2024. Such purchases shall occur in the open market, based on prevailing market prices, or in privately negotiated transactions, depending upon market conditions. XP’s board of directors will review the repurchase program periodically and may authorize adjustments to its terms and size or suspend or discontinue the repurchase program. XP expects to utilize its existing cash to fund repurchases made under the repurchase program.

The stocks have a year to date performance of -2.84 percent and weekly performance of 0.88 percent. The stock has been moved at 15.35 percent over the last six months. The stock has performed 0.08 percent around the most recent 30 days and changed -3.69 percent over the most recent 3-months.

If compared to the average trading volume of 5.21M shares, XP reached to a volume of 5731450 in the most recent trading day, which is why market watchdogs consider the stock to be active.

Here’s what leading stock market gurus have to say about XP Inc [XP]:

Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for XP shares is $30.25 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on XP stock is a recommendation set at 1.20. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.

JP Morgan have made an estimate for XP Inc shares, keeping their opinion on the stock as Overweight, with their previous recommendation back on December 05, 2023. While these analysts kept the previous recommendation, Credit Suisse raised their target price from $15 to $26. The new note on the price target was released on July 20, 2023, representing the official price target for XP Inc stock. On February 17, 2023, analysts decreased their price target for XP shares from 27 to 15.

The Average True Range (ATR) for XP Inc is set at 0.65, with the Price to Sales ratio for XP stock in the period of the last 12 months amounting to 4.59. The Price to Book ratio for the last quarter was 3.47, with the Price to Cash per share for the same quarter was set at 1.48. Price to Free Cash Flow for XP in the course of the last twelve months was 3.17.

XP stock trade performance evaluation

XP Inc [XP] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 0.88. With this latest performance, XP shares gained by 0.08% in over the last four-week period, additionally plugging by 15.35% over the last 6 months – not to mention a rise of 133.89% in the past year of trading.

Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for XP stock in for the last two-week period is set at 53.16, with the RSI for the last a single of trading hit 54.85, and the three-weeks RSI is set at 52.37 for XP Inc [XP]. The present Moving Average for the last 50 days of trading for this stock 24.98, while it was recorded at 24.97 for the last single week of trading, and 24.30 for the last 200 days.

Earnings per share (EPS) analysis for XP Inc [XP] stock

With the latest financial reports released by the company, XP Inc posted 0.32/share EPS, while the average EPS was predicted by analysts to be reported at 0.28/share. When compared, the two values demonstrate that the company surpassed the estimates by a Surprise Factor of 14.30%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for XP. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for XP Inc go to 13.70%.

XP Inc [XP]: Institutional Ownership

The top three institutional holders of XP stocks are: VANGUARD GROUP INC with ownership of 1.32 billion shares, which is approximately 8.4983%. BLACKROCK INC., holding 1.04 billion shares of the stock with an approximate value of $200.69 billion in XP stocks shares; and BERKSHIRE HATHAWAY INC, currently with $174.35 billion in XP stock with ownership which is approximately 5.8386%.