Credit Suisse downgrades XP to Underperform, calls for strategy shift

Credit Suisse analyst Marcelo Telles downgraded XP Inc. to Underperform from Neutral with a price target of $15, down from $27, after the company’s Q4 results missed expectations. The analyst believes it is time for a shift in strategy shift at the company, saying the results are "very negative" for shares given the large earnings decline and significant miss to consensus. With revenues reducing across the board, XP’s results were impacted by negative operating leverage, despite its drive to cut costs, the analyst tells investors in a research note.