Is Xp Stock a Good Investment?
Xp Investment Advice | XP |
- Examine Xp's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Xp's leadership team and their track record. Good management can help Xp navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Investment Banking & Brokerage space and any emerging trends that could impact Xp's business and its evolving consumer preferences.
- Compare Xp's performance and market position to its competitors. Analyze how Xp is positioned in terms of product offerings, innovation, and market share.
- Check if Xp pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Xp's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Xp Inc stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Xp Inc is a good investment.
Sell | Buy |
Strong Buy
Market Performance | Good | Details | |
Volatility | Not too volatile | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Below Average | Details | |
Economic Sensitivity | Follows the market closely | Details | |
Investor Sentiment | Interested | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine Xp Stock
Researching Xp's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 89.0% of the company outstanding shares are owned by institutional investors. The book value of Xp was at this time reported as 37.3. The company last dividend was issued on the 10th of December 2024.
To determine if Xp is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Xp's research are outlined below:
| Over 89.0% of the company outstanding shares are owned by institutional investors | |
| Latest headline from gurufocus.com: XP Inc Shares Up 5.62 percent on Mar 17 |
Xp Quarterly Cash And Short Term Investments |
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Xp uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Xp Inc. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Xp's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 15th of February 2024 Upcoming Quarterly Report | View | |
| 20th of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 15th of February 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact Xp's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Xp's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2020-11-09 | 2020-09-30 | 0.91 | 1.02 | 0.11 | 12 | ||
2023-05-15 | 2023-03-31 | 1.37 | 1.52 | 0.15 | 10 | ||
2020-05-12 | 2020-03-31 | 0.58 | 0.75 | 0.17 | 29 | ||
2022-08-09 | 2022-06-30 | 1.62 | 1.81 | 0.19 | 11 | ||
2021-02-23 | 2020-12-31 | 1.05 | 1.27 | 0.22 | 20 | ||
2020-08-12 | 2020-06-30 | 0.73 | 1.02 | 0.29 | 39 | ||
2021-11-03 | 2021-09-30 | 1.52 | 1.82 | 0.3 | 19 | ||
2023-02-16 | 2022-12-31 | 1.93 | 1.59 | -0.34 | 17 |
Xp Target Price Consensus
Xp target price is determined by taking all analyst projections and averaging them out. There is no one specific way to measure analysts' performance other than comparing it to past results via a very sophisticated attribution analysis. Xp's target price projections below should be used in combination with other traditional price prediction techniques such as stock price forecasting, investor sentiment analysis, technical analysis, earnings estimate, and various momentum models.
| 10 | Buy |
Most Xp analysts issue ratings four times a year, at intervals of three months. Ratings are usually accompanied by a target price to help potential investors understand Xp stock's fair price compared to its market value. Analysts arrive at stock ratings after researching the public financial statements of Xp Inc, talking to its executives and customers, or listening to those companies' conference calls.
Macroaxis Advice Exposure ValuationXp Target Price Projection
Xp's current and average target prices are 15.66 and 21.94, respectively. The current price of Xp is the price at which Xp Inc is currently trading. On the other hand, Xp's target price is what analysts think the stock is worth or could sell for in the future. The more significant the discrepancy between the two prices, the more it stimulates investors to act.Target Price
Analyst Consensus On Xp Target Price
Xp Analyst Ratings
Xp's analyst stock recommendations are determined by taking an average estimate of all analysts we track and classifying them as Strong Buy, Buy, Hold, Strong Sell, or Sell. Ratings generally communicate what analysts sense about Xp stock, and they use a lot of effort and time to analyze it and arrive at a rating. That suggests that analyst recommendations are the outcome of an objective and thorough examination of Xp's financials, market performance, and future outlook by experienced professionals. Xp's historical ratings below, therefore, can serve as a valuable tool for investors.Know Xp's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Xp is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Xp Inc backward and forwards among themselves. Xp's institutional investor refers to the entity that pools money to purchase Xp's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Morgan Stanley - Brokerage Accounts | 2024-12-31 | 6 M | Canada Pension Plan Investment Board | 2024-12-31 | 5.6 M | Norges Bank | 2024-12-31 | 5 M | Sands Capital Management, Llc | 2024-12-31 | 4.9 M | Geode Capital Management, Llc | 2024-12-31 | 4.5 M | Fisher Asset Management, Llc | 2024-12-31 | 4.4 M | Seafarer Capital Partners, Llc | 2024-12-31 | 4.1 M | Voloridge Investment Management, Llc | 2024-12-31 | 3.7 M | Wellington Management Company Llp | 2024-12-31 | 3.7 M | Blackrock Inc | 2024-12-31 | 45.2 M | Dodge & Cox | 2024-12-31 | 43.2 M |
Xp's market capitalization trends
The company currently falls under 'Mid-Cap' category with a market capitalization of 8.31 B.Market Cap |
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Xp's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.01 | 0.01 | |
| Return On Capital Employed | 0.03 | 0.03 | |
| Return On Assets | 0.01 | 0.01 | |
| Return On Equity | 0.23 | 0.16 |
Determining Xp's profitability involves analyzing its financial statements and using various financial metrics to determine if Xp is a good buy. For example, gross profit margin measures Xp's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Xp's profitability and make more informed investment decisions.
Evaluate Xp's management efficiency
Xp Inc has Return on Asset (ROA) of 0.0151 % which means that for every $100 of assets, it generated a profit of $0.0151. This is way below average. Likewise, it shows a return on total equity (ROE) of 0.2286 %, which means that it produced $0.2286 on every 100 dollars invested by current stockholders. Xp's management efficiency ratios could be used to measure how well Xp manages its routine affairs as well as how well it operates its assets and liabilities. As of 03/19/2025, Return On Capital Employed is likely to grow to 0.03, while Return On Tangible Assets are likely to drop 0.01. At this time, Xp's Liabilities And Stockholders Equity is relatively stable compared to the past year. As of 03/19/2025, Non Current Liabilities Total is likely to grow to about 342.1 B, while Total Current Liabilities is likely to drop slightly above 1.5 B.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 36.56 | 38.39 | |
| Tangible Book Value Per Share | 31.76 | 33.34 | |
| Enterprise Value Over EBITDA | 18.81 | 19.75 | |
| Price Book Value Ratio | 2.00 | 1.90 | |
| Enterprise Value Multiple | 18.81 | 19.75 | |
| Price Fair Value | 2.00 | 1.90 | |
| Enterprise Value | 61.9 B | 58.5 B |
Effective leadership at Xp drives its competitive edge in the market. Our analysis focuses on how this translates to financial performance and stock value.
Basic technical analysis of Xp Stock
As of the 19th of March, Xp owns the market risk adjusted performance of 0.4075, and Standard Deviation of 2.6. In relation to fundamental indicators, the technical analysis model lets you check practical technical drivers of Xp Inc, as well as the relationship between them.Xp's Outstanding Corporate Bonds
Xp issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Xp Inc uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Xp bonds can be classified according to their maturity, which is the date when Xp Inc has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| Morgan Stanley 3971 Corp BondUS61744YAL20 | View | |
| AerCap Global Aviation Corp BondUS00773HAA59 | View |
Understand Xp's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Xp's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.1153 | |||
| Market Risk Adjusted Performance | 0.4075 | |||
| Mean Deviation | 1.87 | |||
| Semi Deviation | 2.33 | |||
| Downside Deviation | 2.66 | |||
| Coefficient Of Variation | 807.51 | |||
| Standard Deviation | 2.6 | |||
| Variance | 6.77 | |||
| Information Ratio | 0.1549 | |||
| Jensen Alpha | 0.3836 | |||
| Total Risk Alpha | 0.5816 | |||
| Sortino Ratio | 0.1515 | |||
| Treynor Ratio | 0.3975 | |||
| Maximum Drawdown | 11.53 | |||
| Value At Risk | (2.96) | |||
| Potential Upside | 5.39 | |||
| Downside Variance | 7.08 | |||
| Semi Variance | 5.42 | |||
| Expected Short fall | (1.97) | |||
| Skewness | (0.16) | |||
| Kurtosis | 1.59 |
| Risk Adjusted Performance | 0.1153 | |||
| Market Risk Adjusted Performance | 0.4075 | |||
| Mean Deviation | 1.87 | |||
| Semi Deviation | 2.33 | |||
| Downside Deviation | 2.66 | |||
| Coefficient Of Variation | 807.51 | |||
| Standard Deviation | 2.6 | |||
| Variance | 6.77 | |||
| Information Ratio | 0.1549 | |||
| Jensen Alpha | 0.3836 | |||
| Total Risk Alpha | 0.5816 | |||
| Sortino Ratio | 0.1515 | |||
| Treynor Ratio | 0.3975 | |||
| Maximum Drawdown | 11.53 | |||
| Value At Risk | (2.96) | |||
| Potential Upside | 5.39 | |||
| Downside Variance | 7.08 | |||
| Semi Variance | 5.42 | |||
| Expected Short fall | (1.97) | |||
| Skewness | (0.16) | |||
| Kurtosis | 1.59 |
Consider Xp's intraday indicators
Xp intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Xp stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Xp Corporate Filings
6K | 17th of March 2025 A report filed by foreign private issuers with SEC. A foreign private issuer is a non-U.S. company with securities traded on U.S. exchanges. | ViewVerify |
| 13th of February 2025 Other Reports | ViewVerify | |
13A | 13th of November 2024 The form used by investors holding more than 5% of a company's stock, to report their beneficial ownership pursuant to Rule 13d-1 or Rule 13d-2 under the Securities Exchange Act of 1934 | ViewVerify |
13A | 12th of November 2024 An amended filing to the original Schedule 13G | ViewVerify |
Xp Stock media impact
Far too much social signal, news, headlines, and media speculation about Xp that are available to investors today. That information is available publicly through Xp media outlets and privately through word of mouth or via Xp internal channels. However, regardless of the origin, that massive amount of Xp data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Xp news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Xp relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Xp's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Xp alpha.
Xp Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Xp can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Xp Inc Historical Investor Sentiment
Investor biases related to Xp's public news can be used to forecast risks associated with an investment in Xp. The trend in average sentiment can be used to explain how an investor holding Xp can time the market purely based on public headlines and social activities around Xp Inc. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Xp's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Xp and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Xp news discussions. The higher the estimate score, the more favorable the investor's outlook on Xp.
Xp Maximum Pain Price Across May 16th 2025 Option Contracts
Xp's options can also be used to analyze investors' bias and current market sentiment in the context of behavioral finance. For example, Max pain usually refers to a trading concept that asserts that market manipulation can cause the market price of Xp close to the expiration of its current option contract to expire worthlessly. According to most research, about 35% of options are not executed, with roughly 50% traded out before expiration. So, Max pain occurs when market makers reach a net favorable position across all options at a strike price where option holders stand to lose the most money. By contrast, option sellers may reap the most after selling more options than buying, causing them to expire worthlessly. Please continue to view the detailed analysis of Xp's options.
Xp Corporate Management
| Gabriel Santos | Head Selection | Profile | |
| Guilherme Benchimol | Founder Chairman | Profile | |
| Andr Martins | Head Relations | Profile | |
| Jose Neto | Chief SA | Profile | |
| Thiago Maffra | Chief Officer | Profile |
Already Invested in Xp Inc?
The danger of trading Xp Inc is mainly related to its market volatility and Company specific events. As an investor, you must understand the concept of risk-adjusted return before you start trading. The most common way to measure the risk of Xp is by using the Sharpe ratio. The ratio expresses how much excess return you acquire for the extra volatility you endure for holding a more risker asset than Xp. The Sharpe ratio is calculated by using standard deviation and excess return to determine reward per unit of risk. To understand how volatile Xp Inc is, you must compare it to a benchmark. Traditionally, the risk-free rate of return is the rate of return on the shortest-dated U.S. Treasury, such as a 3-year bond.
Additional Tools for Xp Stock Analysis
When running Xp's price analysis, check to measure Xp's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Xp is operating at the current time. Most of Xp's value examination focuses on studying past and present price action to predict the probability of Xp's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Xp's price. Additionally, you may evaluate how the addition of Xp to your portfolios can decrease your overall portfolio volatility.