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Stock impact report

Jefferies Initiates XP Inc (XP) With a Buy [Yahoo! Finance]

XP Inc. - Class A (XP) 
Company Research Source: Yahoo! Finance
Earlier, on December 16, Thiago Batista from UBS also reiterated a Buy rating on the stock and raised the price target from $23 to $25. Analysts at Jefferies noted that the stock's positive outlook is based on XP Inc.'s strong competitive position in the Brazilian market. The firm noted that XP operates through its multi-brand ecosystem, which allows investors to access digital platforms along with personalized advisory services. The investment bank views XP Inc. as a broker that is democratizing investments in Brazil through its multi-brand ecosystem that combines a digital platform with personalized advisory services. Jefferies noted that some key strengths of the bank include its 26% return on equity, a solid CET1 capital ratio of about 18.5%, and its control over distribution, where roughly 50% of Brazil's independent financial advisors partner with XP. The firm also finds the company to be attractively placed due to its cheap valuation, particularly due to peak interest rat Show less Read more
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