PagBank upgraded to Buy from Neutral at Goldman Sachs

Goldman Sachs analyst Tito Labarta upgraded PagBank to Buy from Neutral with an unchanged price target of $15. The shares have fallen 20% since April 1 despite the company’s improving fundamentals, the analyst tells investors in a research note. The firm says PagBank’s revenue growth accelerated to 15% year-over-year and earnings grew 33% in Q1. The company has been able to gain the most market share in payments over the last year, with continued gains in the more profitable small business segment, while stabilizing its market share losses in the micro merchant segment, according to Goldman. It sees an attractive entry point at current share levels.