Overview

• XP Inc. Q3 gross revenue grows 9% YoY, driven by Corporate & Issuer Services

• Net income for Q3 rises 12% YoY

• Company announces R$1 bln share buyback and R$500 mln dividends

Outlook

• XP Inc. did not provide specific guidance for future quarters or the full year in its press release

Result Drivers

• CORPORATE & ISSUER SERVICES - Significant growth in segment drove a 32% YoY and 33% QoQ increase in revenue

• LOAN PORTFOLIO EXPANSION - Expanded loan portfolio grew 33% YoY, contributing to financial performance

• RETIREMENT PLANS GROWTH - Retirement plans client assets increased 15% YoY, supporting revenue growth

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 8 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the investment banking & brokerage services peer group is "buy"

• Wall Street's median 12-month price target for XP Inc is $22.00, about 15.2% above its November 14 closing price of $18.66

• The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 9 three months ago

Press Release: ID:nBwHGCz7a

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)