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StoneCo underperformance ‘likely to continue,’ says Morgan Stanley

StoneCo underperformance ‘likely to continue,’ says Morgan Stanley

After StoneCo (STNE) reported a net loss of R$2.92B due to the recognition of a R$3.56B impairment loss for the software business unit, Morgan Stanley said that most of the company’s key performance indicators are “moving in the wrong direction” and argues that underperformance is “likely to continue.” The firm maintains an Underweight rating and $5.70 price target on the shares.

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