StoneCo to Distribute $967M to Shareholders; Misses Q4 Profit, Guides 2026 EPS
Summary
Brazilian payments firm StoneCo announced a substantial capital distribution plan totaling 5 billion reais (approximately $967 million USD), comprising a 2 billion reais share buyback program for 2026 and an extraordinary 3 billion reais distribution from the recent Linx software unit sale. This follows the 6-K filing on February 27, 2026, which confirmed the closing of the Linx sale. The company also provided 2026 adjusted EPS guidance of $2.09 to $2.20 and 2027 adjusted EPS guidance of 11.8 to 13.4 reais. However, StoneCo reported Q4 adjusted net profit of 707 million reais and revenue of 3.7 billion reais, both missing analyst estimates. The significant capital return, representing a material portion of the company's market capitalization, is a strong positive for shareholders, potentially offsetting the Q4 operational miss. Investors will be watching for further details on the Linx distribution mechanisms, expected in April.
At the time of this announcement, STNE was trading at $16.23 on NASDAQ in the Finance sector, with a market capitalization of approximately $4.6B. The 52-week trading range was $8.64 to $19.95. This news item was assessed with positive market sentiment and an importance score of 9 out of 10. Source: Reuters.