StoneCo's stock plummeted 14.80% during intraday trading on Tuesday, extending losses from earlier sessions.

The sharp decline follows the Brazilian payments and banking firm's release of its fourth-quarter and full-year 2025 financial results, which missed key analyst estimates. StoneCo reported Q4 recurring revenue of 3.7 billion reais, falling short of the Ibes estimate of 3.8 billion reais. Additionally, its adjusted net profit for the quarter was 707 million reais, missing the analyst consensus of 743 million reais.

In U.S. dollar terms, quarterly sales of $690.086 million also missed market expectations of $717.930 million. While the company posted year-over-year increases in both revenue and adjusted earnings per share, the misses on these key top-line and profit metrics drove negative investor sentiment, resulting in the significant stock price decline.