{"id":528087,"date":"2023-09-07T09:11:20","date_gmt":"2023-09-07T13:11:20","guid":{"rendered":"https:\/\/financhill.com\/blog\/?p=528087"},"modified":"2023-09-07T09:53:15","modified_gmt":"2023-09-07T13:53:15","slug":"is-stoneco-stock-a-good-investment","status":"publish","type":"post","link":"https:\/\/financhill.com\/blog\/investing\/is-stoneco-stock-a-good-investment","title":{"rendered":"1 Warren Buffett Stock Wall Street Is Sleeping On"},"content":{"rendered":"

When it comes to Brazilian fintech powerhouse StoneCo (NASDAQ:STNE<\/a>)<\/strong>, the word “unpredictable” is a bit of an understatement. This is a company that’s been on a bit of a roller coaster, but boy, if you love a growth story with jaw-dropping numbers, StoneCo’s financials read like a thriller.<\/p>\n

Revenues are more than just promising\u2014they shot up by 32.5% in 2020, soared by an eye-watering 85.8% in 2021, and still climbed at a respectable rate of 58.8% in 2022.<\/p>\n

And it didn’t stop there: StoneCo posted a 31% uptick in year-over-year revenue growth for Q1 2023 and 28.4% in Q2 2023. Got your attention yet?<\/p>\n

Operational Efficiency to Marvel At<\/h2>\n

But here’s the kicker\u2014StoneCo isn’t just hauling in cash; it’s doing so with a level of efficiency that would make a German manufacturer proud.<\/p>\n

How do we know?<\/p>\n

Well, just look at the company’s Return on Invested Capital (ROIC)\u2014a whopping 23%.<\/p>\n

These aren’t just numbers; they’re signals of a company that’s got its act together. And it’s translating to the bottom line, which is a thing of beauty. For the last 8 quarters in a row, operating income has been positive, and growing nicely.<\/p>\n

Over the past 4 quarters alone, operating income has popped from $188 million to $283 million.<\/p>\n