Sure. Iāve heard of āStoneCoā, I saw they were a meme. I then looked into what the business were doing and saw that it was pretty innovative. Then I moved apartment twice. Then briefly checked the stock price again and a few news articles. Then moved my entire life to The Netherlands. Then checked a few more news articles. At the moment Iām 7 pints in and in a hotel room but things are going well.
In all seriousness, my research has been extremely high level at this point as Iām in the process of moving country, but this does look like an exciting and promising company to me. I will report back. Edit: 8 pints.
Haha, Iāve done a lot worse, as long as itās long term, donāt worry.
This is why they say never try to catch a falling knife. Itās an attractive stock and naturally people want to jump in at a good spot
You know people keep saying ābuy the dipā like itās the wisest thing, the problem is no1 knows where the dip is.
Iāve seen @Vedran write in another thread (BABA?) something like āthe dip keeps dippingā
edit: to set the expectations on this, I donāt think thereāll be a massive jump until the politics in Brazil settle down, and new legislation about credits. so probably not soon
Stone co looks like an interesting stock. But in your opinion how does it compare to Mercadolibreās MercadoPago payment system? Are they competitors or complimentary to each other?
Sidenote: I also own some MELI (not as much as STNE but still) I have the answer to your question down, but I want to reiterate and stress how raw and virgin payment market in South America is. There is room for quite a few companies.
Answer: They can be considered competitors in some manners but not really. Iād let MELI head of investor relations, Federico Sandler answer this and Iāll just write down some quotes:
āThey are a company we admire very muchā
āThey are much faster, better technology, their sales force is very capableā
āWhen you look at the payment spectrum, we are actually customers to Stone by the wayā
I rarely share details which involves monetary amounts, but this one is a bit for āputting my money where my mouth isā (hopefully Iām not putting my foot in my mouth)
So yeah after telling Vedran, āIām not buying anymoreā I got baited and bought more Iām only human and despite reading in every source, I still struggle to āact without emotionsā
Full disclosure I also have MELI stock (but opposite to you in terms of having more than Stone). I have also seen that Motley Fool article and describing StoneCo as a āNeo-merchant acquirerā geared to "sophisticated merchants "with āthousands of storeā. But looking at their website their products seemed to include/marketing to small businesses and microbusinesses. The area that MELI are targeting!
But like you I think S.America is big enough for both providers. But not as confident for Pagseguro Digital (PAGS) who is stuck in the middle of them.
I would be interested to see how Sea Limited (SEA) fare in S.America!
Whats gone wrong with STNE recently, just checked price after this post, $31 ouch, I only had a very small position but glad exited at $77 in hindsight, this has dropped more than BABA
Iām only human and despite reading in every source, I still struggle to āact without emotionsā
