ARGA Investment Management LP Purchases 799,048 Shares of XP Inc. $XP

ARGA Investment Management LP grew its position in shares of XP Inc. (NASDAQ:XP) by 4.0% in the first quarter, according to the company in its most recent 13F filing with the SEC. The fund owned 20,699,135 shares of the company’s stock after buying an additional 799,048 shares during the quarter. XP accounts for 12.9% of ARGA Investment Management LP’s investment portfolio, making the stock its largest holding. ARGA Investment Management LP’s holdings in XP were worth $394,112,000 at the end of the most recent reporting period.

Several other hedge funds also recently made changes to their positions in XP. EverSource Wealth Advisors LLC boosted its holdings in shares of XP by 65.4% in the second quarter. EverSource Wealth Advisors LLC now owns 1,634 shares of the company’s stock valued at $33,000 after acquiring an additional 646 shares in the last quarter. FNY Investment Advisers LLC purchased a new position in XP during the fourth quarter worth about $34,000. Caitong International Asset Management Co. Ltd raised its holdings in XP by 1,783.3% during the third quarter. Caitong International Asset Management Co. Ltd now owns 2,825 shares of the company’s stock worth $53,000 after purchasing an additional 2,675 shares in the last quarter. Aster Capital Management DIFC Ltd purchased a new position in XP during the fourth quarter worth about $55,000. Finally, Vestcor Inc acquired a new stake in XP in the third quarter valued at about $64,000. Institutional investors and hedge funds own 59.15% of the company’s stock.

XP Stock Up 3.1%

XP opened at $16.92 on Friday. The company has a debt-to-equity ratio of 0.02, a quick ratio of 6.66 and a current ratio of 6.66. The company has a market cap of $9.09 billion, a price-to-earnings ratio of 9.35, a PEG ratio of 0.58 and a beta of 1.10. XP Inc. has a one year low of $14.80 and a one year high of $23.13. The business’s fifty day moving average is $16.64 and its two-hundred day moving average is $18.26.

XP announced that its Board of Directors has approved a share buyback plan on Tuesday, May 19th that allows the company to repurchase $0.00 in outstanding shares. This repurchase authorization allows the company to repurchase shares of its stock through open market purchases. Shares repurchase plans are often an indication that the company’s management believes its shares are undervalued.

XP Increases Dividend

The company also recently declared an annual dividend, which was paid on Thursday, June 18th. Stockholders of record on Wednesday, June 10th were paid a dividend of $0.20 per share. This is a boost from XP’s previous annual dividend of $0.18. The ex-dividend date of this dividend was Wednesday, June 10th. This represents a dividend yield of 268.0%. XP’s dividend payout ratio is presently 22.10%.

Wall Street Analyst Weigh In

XP has been the topic of a number of analyst reports. Zacks Research lowered XP from a “strong-buy” rating to a “hold” rating in a report on Friday, May 1st. Weiss Ratings raised XP from a “hold (c)” rating to a “hold (c+)” rating in a report on Tuesday, May 26th. Finally, UBS Group decreased their price target on XP from $28.00 to $25.00 and set a “buy” rating on the stock in a research note on Wednesday, June 3rd. Three investment analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the stock. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average target price of $23.33.

About XP

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.