PagSeguro Digital downgraded to Neutral from Overweight at JPMorgan

JPMorgan analyst Domingos Falavina downgraded PagSeguro Digital to Neutral from Overweight with a price target of $12, down from $16. With the Selic rate curve "oscillating as much, it is harder to have a more constructive view on payments companies and other levered plays," Falavina tells investors in a research note. Additionally, persistent asset quality deterioration is weighing on banks’ risk appetite and should drive credit card growth down, says the analyst. He anticipates large payment volume deceleration for the industry as a whole.