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Cielo

OTCPK:CIOX.Y
Snowflake Description

Excellent balance sheet average dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
CIOX.Y
OTCPK
R$29B
Market Cap
  1. Home
  2. US
  3. Software
Company description

Cielo S.A., through its subsidiaries, provides payment services in Brazil. The last earnings update was 50 days ago. More info.


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CIOX.Y Share Price and Events
7 Day Returns
-0.3%
OTCPK:CIOX.Y
3%
US IT
2.4%
US Market
1 Year Returns
-57.7%
OTCPK:CIOX.Y
15.5%
US IT
1.9%
US Market
CIOX.Y Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Cielo (CIOX.Y) -0.3% -4.3% 22.2% -57.7% -57.3% -67.7%
US IT 3% 4.7% 19.4% 15.5% 79.7% 94.9%
US Market 2.4% 1.7% 11.9% 1.9% 38.2% 42.4%
1 Year Return vs Industry and Market
  • CIOX.Y underperformed the IT industry which returned 15.5% over the past year.
  • CIOX.Y underperformed the Market in United States of America which returned 1.9% over the past year.
Price Volatility
CIOX.Y
Industry
5yr Volatility vs Market
Related Companies

CIOX.Y Value

 Is Cielo undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Cielo to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data    Our intrinsic value calculation method has changed recently, learn more here.

Below are the data sources, inputs and calculation used to determine the intrinsic value for Cielo.

OTCPK:CIOX.Y Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 12 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 9.7%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for OTCPK:CIOX.Y
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
IT Unlevered Beta Simply Wall St/ S&P Global 1.06
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.063 (1 + (1- 34%) (27.08%))
1.17
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.17
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.17 * 5.96%)
9.7%

Discounted Cash Flow Calculation for OTCPK:CIOX.Y using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Cielo is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

OTCPK:CIOX.Y DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (BRL, Millions) Source Present Value
Discounted (@ 9.7%)
2019 2,501.00 Analyst x2 2,279.80
2020 3,014.00 Analyst x1 2,504.44
2021 2,636.99 Est @ -12.51% 1,997.37
2022 2,427.69 Est @ -7.94% 1,676.21
2023 2,312.69 Est @ -4.74% 1,455.58
2024 2,254.95 Est @ -2.5% 1,293.71
2025 2,234.00 Est @ -0.93% 1,168.34
2026 2,237.77 Est @ 0.17% 1,066.80
2027 2,258.74 Est @ 0.94% 981.57
2028 2,292.06 Est @ 1.48% 907.95
Present value of next 10 years cash flows R$15,331.77
OTCPK:CIOX.Y DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= R$2,292.06 × (1 + 2.73%) ÷ (9.7% – 2.73%)
R$33,770.50
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= R$33,770.50 ÷ (1 + 9.7%)10
R$13,377.46
OTCPK:CIOX.Y Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= R$15,331.77 + R$13,377.46
R$28,709.24
Equity Value per Share
(BRL)
= Total value / Shares Outstanding
= R$28,709.24 / 2,714.23
R$2.9
OTCPK:CIOX.Y Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in OTCPK:CIOX.Y represents 0.27445x of BOVESPA:CIEL3
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.27445x
Value per Share
(Listing Adjusted, USD)
= Value per Share (BRL) x Listing Adjustment Factor
= R$ 10.58 x 0.27445
$2.90
Value per share (USD) From above. $2.90
Current discount Discount to share price of $2.89
= -1 x ($2.89 - $2.90) / $2.90
0.4%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Cielo is available for.
Intrinsic value
0%
Share price is $2.89 vs Future cash flow value of $2.9
Current Discount Checks
For Cielo to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Cielo's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • Cielo's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Cielo's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Cielo's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
OTCPK:CIOX.Y PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in BRL R$1.23
BOVESPA:CIEL3 Share Price ** BOVESPA (2019-03-18) in BRL R$10.53
United States of America IT Industry PE Ratio Median Figure of 78 Publicly-Listed IT Companies 30.16x
United States of America Market PE Ratio Median Figure of 3,055 Publicly-Listed Companies 17.61x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Cielo.

OTCPK:CIOX.Y PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= BOVESPA:CIEL3 Share Price ÷ EPS (both in BRL)

= 10.53 ÷ 1.23

8.55x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Cielo is good value based on earnings compared to the US IT industry average.
  • Cielo is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does Cielo's expected growth come at a high price?
Raw Data
OTCPK:CIOX.Y PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 8.55x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 12 Analysts
-8.2%per year
United States of America IT Industry PEG Ratio Median Figure of 64 Publicly-Listed IT Companies 2.43x
United States of America Market PEG Ratio Median Figure of 2,109 Publicly-Listed Companies 1.48x

*Line of best fit is calculated by linear regression .

OTCPK:CIOX.Y PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 8.55x ÷ -8.2%

-1.05x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Cielo earnings are not expected to grow next year, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Cielo's assets?
Raw Data
OTCPK:CIOX.Y PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in BRL R$4.13
BOVESPA:CIEL3 Share Price * BOVESPA (2019-03-18) in BRL R$10.53
United States of America IT Industry PB Ratio Median Figure of 122 Publicly-Listed IT Companies 4.33x
United States of America Market PB Ratio Median Figure of 5,152 Publicly-Listed Companies 1.87x
OTCPK:CIOX.Y PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= BOVESPA:CIEL3 Share Price ÷ Book Value per Share (both in BRL)

= 10.53 ÷ 4.13

2.55x

* Primary Listing of Cielo.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Cielo is good value based on assets compared to the US IT industry average.
X
Value checks
We assess Cielo's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the IT industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the IT industry average (and greater than 0)? (1 check)
  5. Cielo has a total score of 3/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

CIOX.Y Future Performance

 How is Cielo expected to perform in the next 1 to 3 years based on estimates from 12 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
-8.2%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Cielo expected to grow at an attractive rate?
  • Cielo's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Cielo's earnings are expected to decrease over the next 1-3 years, this is below the United States of America market average.
  • Cielo's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
OTCPK:CIOX.Y Future Growth Rates Data Sources
Data Point Source Value (per year)
OTCPK:CIOX.Y Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 12 Analysts -8.2%
OTCPK:CIOX.Y Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 12 Analysts 1.8%
United States of America IT Industry Earnings Growth Rate Market Cap Weighted Average 15.7%
United States of America IT Industry Revenue Growth Rate Market Cap Weighted Average 9%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14.3%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.1%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
OTCPK:CIOX.Y Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 12 Analyst Estimates (S&P Global) See Below
All numbers in BRL Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
OTCPK:CIOX.Y Future Estimates Data
Date (Data in BRL Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2022-12-31 13,509 2,717 1
2021-12-31 12,062 2,628 2
2020-12-31 11,704 3,028 2,612 8
2019-12-31 11,016 2,877 2,589 4
OTCPK:CIOX.Y Past Financials Data
Date (Data in BRL Millions) Revenue Cash Flow Net Income *
2018-12-31 11,686 3,575 3,342
2018-09-30 11,711 4,971 3,661
2018-06-30 11,680 3,388 3,885
2018-03-31 11,584 4,577 4,061
2017-12-31 11,600 5,520 4,056
2017-09-30 11,684 5,046 4,025
2017-06-30 11,816 6,341 4,017
2017-03-31 12,054 6,366 4,012
2016-12-31 12,301 5,129 4,005
2016-09-30 12,237 4,565 3,847
2016-06-30 12,092 3,034 3,715
2016-03-31 11,818 1,464 3,595

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Cielo's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.
  • Cielo's revenue is expected to grow by 1.8% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
OTCPK:CIOX.Y Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 12 Analyst Estimates (S&P Global) See Below

All data from Cielo Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

OTCPK:CIOX.Y Future Estimates Data
Date (Data in BRL Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2022-12-31 1.00 1.00 1.00 1.00
2021-12-31 1.10 1.23 0.97 2.00
2020-12-31 1.07 1.22 0.96 7.00
2019-12-31 0.99 1.07 0.90 4.00
OTCPK:CIOX.Y Past Financials Data
Date (Data in BRL Millions) EPS *
2018-12-31 1.23
2018-09-30 1.35
2018-06-30 1.43
2018-03-31 1.50
2017-12-31 1.50
2017-09-30 1.48
2017-06-30 1.48
2017-03-31 1.48
2016-12-31 1.48
2016-09-30 1.42
2016-06-30 1.37
2016-03-31 1.33

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Cielo is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
X
Future performance checks
We assess Cielo's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Cielo has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

CIOX.Y Past Performance

  How has Cielo performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Cielo's growth in the last year to its industry (IT).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Cielo's year on year earnings growth rate has been positive over the past 5 years.
  • Cielo's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Cielo's 1-year earnings growth is negative, it can't be compared to the US IT industry average.
Earnings and Revenue History
Cielo's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Cielo Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

OTCPK:CIOX.Y Past Revenue, Cash Flow and Net Income Data
Date (Data in BRL Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 11,685.84 3,341.91 1,427.02
2018-09-30 11,711.47 3,660.70 1,337.95
2018-06-30 11,680.02 3,884.62 1,309.11
2018-03-31 11,583.72 4,061.36 1,261.66
2017-12-31 11,600.34 4,056.08 1,258.00
2017-09-30 11,683.60 4,024.71 1,323.62
2017-06-30 11,816.18 4,016.91 1,340.95
2017-03-31 12,054.19 4,011.83 1,373.91
2016-12-31 12,300.78 4,005.45 1,408.50
2016-09-30 12,237.00 3,846.58 1,382.41
2016-06-30 12,091.69 3,714.70 1,340.92
2016-03-31 11,818.45 3,594.98 1,286.07
2015-12-31 11,122.31 3,511.44 1,228.45
2015-09-30 10,194.30 3,461.76 1,210.08
2015-06-30 9,214.71 3,401.68 1,164.68
2015-03-31 8,259.65 3,329.02 1,094.35
2014-12-31 7,725.58 3,219.85 1,042.04
2014-09-30 7,450.33 3,137.58 987.15
2014-06-30 7,249.38 3,009.71 919.36
2014-03-31 7,028.41 2,846.01 868.91
2013-12-31 6,734.24 2,673.60 812.90
2013-09-30 6,495.34 2,574.66 753.37
2013-06-30 6,079.15 2,474.08 716.84
2013-03-31 5,704.44 2,389.84 717.93
2012-12-31 5,385.25 2,326.17 670.34
2012-09-30 4,975.02 2,208.91 640.29
2012-06-30 4,709.96 2,077.54 624.34
2012-03-31 4,448.05 1,952.27 546.85

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Cielo has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
  • Cielo used its assets less efficiently than the US IT industry average last year based on Return on Assets.
  • Cielo's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Cielo's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the IT industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Cielo has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

CIOX.Y Health

 How is Cielo's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Cielo's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Cielo is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Cielo's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Cielo's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 8.3x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Cielo Company Filings, last reported 2 months ago.

OTCPK:CIOX.Y Past Debt and Equity Data
Date (Data in BRL Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 14,870.10 7,938.67 2,874.42
2018-09-30 15,021.49 8,035.98 4,282.66
2018-06-30 15,604.40 8,155.24 4,658.94
2018-03-31 15,162.28 9,062.20 6,022.87
2017-12-31 15,360.95 9,245.35 6,063.66
2017-09-30 14,460.13 9,123.09 5,218.74
2017-06-30 14,329.09 8,256.08 2,755.71
2017-03-31 13,750.61 10,771.49 4,396.04
2016-12-31 12,902.99 10,828.77 2,658.96
2016-09-30 12,353.99 10,848.72 2,206.69
2016-06-30 11,546.28 10,815.27 1,228.55
2016-03-31 11,069.45 12,927.43 1,771.19
2015-12-31 10,163.97 13,299.49 1,462.84
2015-09-30 9,783.08 13,395.52 1,273.52
2015-06-30 8,956.63 12,011.73 1,208.28
2015-03-31 8,514.71 11,396.05 1,080.59
2014-12-31 4,324.40 7,339.74 3,998.72
2014-09-30 3,962.92 2,508.71 462.83
2014-06-30 3,497.12 2,344.35 431.44
2014-03-31 3,466.69 2,397.63 376.24
2013-12-31 3,331.88 2,488.49 423.06
2013-09-30 2,957.12 2,374.85 469.24
2013-06-30 2,468.10 2,315.89 429.67
2013-03-31 2,445.50 2,155.80 420.07
2012-12-31 2,413.16 2,114.14 404.34
2012-09-30 2,072.46 1,121.33 393.23
2012-06-30 2,177.19 311.22 301.25
2012-03-31 1,649.84 246.75 284.42
  • Cielo's level of debt (53.4%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (74.6% vs 53.4% today).
  • Debt is well covered by operating cash flow (45%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 24.8x coverage).
X
Financial health checks
We assess Cielo's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Cielo has a total score of 5/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

CIOX.Y Dividends

 What is Cielo's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
9.46%
Current annual income from Cielo dividends. Estimated to be 8.47% next year.
If you bought $2,000 of Cielo shares you are expected to receive $189 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Cielo's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.45%).
  • Cielo's dividend is above the markets top 25% of dividend payers in United States of America (3.64%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
OTCPK:CIOX.Y Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 12 Analyst Estimates (S&P Global) See Below
United States of America IT Industry Average Dividend Yield Market Cap Weighted Average of 33 Stocks 1.4%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2004 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.6%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

OTCPK:CIOX.Y Future Dividends Estimate Data
Date (Data in R$) Dividend per Share (annual) Avg. No. Analysts
2022-12-31 0.95 1.00
2021-12-31 0.87 3.00
2020-12-31 0.86 7.00
2019-12-31 0.92 8.00
OTCPK:CIOX.Y Past Annualized Dividends Data
Date (Data in R$) Dividend per share (annual) Avg. Yield (%)
2018-02-01 0.996 7.180
2017-01-30 0.456 1.947
2016-05-02 0.393 1.494
2016-02-01 0.393 1.643
2015-01-29 0.677 2.544
2015-01-28 0.677 2.951
2014-01-28 0.664 2.935
2013-02-07 0.583 3.543
2013-02-06 0.588 4.371
2012-02-09 0.492 3.708
2011-02-16 0.600 7.272
2011-02-09 0.600 10.344
2010-02-04 0.505 6.743
2009-09-23 0.823 10.216
2009-06-29 0.823 9.535

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Cielo's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Cielo has not reported any payouts.
Future Payout to shareholders
  • Dividends after 3 years are expected to be covered by earnings (1.2x coverage).
X
Income/ dividend checks
We assess Cielo's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Cielo afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Cielo has a total score of 4/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

CIOX.Y Management

 What is the CEO of Cielo's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Paulo Caffarelli
AGE 53
TENURE AS CEO 0.3 years
CEO Bio

Mr. Paulo Rogério Caffarelli, also known as Rog, has been the Chief Executive Officer at Cielo SA since November 05, 2018. Mr. Caffarelli had been the President of the Board of Banco do Brasil S.A. since May 2016 and was its Member of Executive Board until November 2018. He was Chairman of the Board of Directors at Banco do Brasil SA from October 2018 until November 01, 2018. He serves as the President of board at Banco Votorantim SA. Mr. Caffarelli served as an Investor Relations Officer and Member of Board of Executive Officers at Companhia Siderúrgica Nacional since March 1, 2016 until May 30, 2016 and also served as its Principal Financial Officer until May 30, 2016. Mr. Caffarelli served as Executive Director of Corporate Affairs at Companhia Siderurgica Nacional since March 10, 2015 until May 30, 2016. Mr. Caffarelli served as Vice President of Banco Patagonia S.A. He served as a Vice President of Wholesale, International Business & Private Bank and Member of the Executive Board at Banco do Brasil S.A. He served as Vice President of Retailing, Private Banking & International Business at Banco do Brasil S.A. since December 2011. He served as Vice President of Retail Services at Banco do Brasil S.A. He serves as a Vice President of ABECIP. He served as a Vice President of New Retail Business & Cards at Banco do Brasil S.A. since April 2009. He serves as Director of Banco do Brasil S.A. He served as Director of New Retail Business of Banco do Brasil S.A. He served as Executive Manager of the Distribution Division and Director of Marketing and Communications and Logistics of Banco do Brasil S.A. In the last five years, he was Executive Secretary of the Ministry of Finance, between 2014 and 2014, CEO of BB Banco de Investimentos (BB-BI) and BB Leasing between 2012 and 2014 and a member of the Board of Directors of Vale S.A., between 2014 and the beginning of 2015, BB Gestão de Recursos (BB DTVM) between 2010 and 2014, BB Mapfre SH1 Participações, between 2011 and 2012 and Mapfre BB SH2 Participações, between 2011 and 2012, Chairman of the Board of Directors of Brasilprev, between 2009 and 2012, IRB Brasil Resseguros, between 2010 and 2012 and CBSS Visavale (Alelo), between 2010 and 2012, Vice Chairman of the Board of Directors of Visanet (Cielo), between 2009 and 2012, President of Fenacap - National Capitalization Federation, between 2011 and 2012, BB Seguros Participações, between 2009 and 2012, BB Administradora de Cartões de Crédito, between 2009 and 2012, BB ELO Participações, between 2010 and 2012 and ABECS - Brazilian Association of Credit Card and Service Companies, between 2009 and 2012, Vice President of CNseg - National Confederation of Insurance Companies, between 2011 and 2012, a member of the Self-Regulating Board of Febraban - Brazilian Federation of Banks, between 2010 and 2011, a member of the Advisory Board of BBTUR, between 2009 and 2011 and a member of the Fiscal Council of Neoenergia between 2009 and 2010. He began his career at Banco do Brasil in 1981 and has worked in various divisions of the institution, including the distribution logistics, marketing and new business department of retail. He was the Head of investments of PREVI for two years. In addition, he was a Business Advisor to Vale do Rio Doce, Tupy Fundações Ltda., Cobra Tecnologia, Companhia Energética de Pernambuco and BB Turismo. He worked for more than 30 years at Banco do Brasil, in the last five years of which in the following areas: wholesale, international business, private bank, capital market, insurance, private pension plans, capitalization, credit cards and individual loans. He has been a member of the Board of Directors of CBSS Visavale (Alelo) since 2014 and Chairman of the Board of Directors of Brasilcap Capitalização since 2010. He is Nato Adviser of the Board of Trustees of Fundação Banco do Brazil-FBB, Vice-Chairman of the Board of Directors of Link Pair and member of the Board of Directors of Brasilprev. He was Vice Chairman at Banco Votorantim. He served as the Chairman of IRB-Brasil Resseguros S.A. since May 1, 2010. He served as the Chairman of Banco do Brasil S.A. since March 2014. He has been a Director of Votorantim Participações S.A. He served as a Director at Banco Votorantim S.A. since March 2010. He served as Director of Vale S.A. since 2014 until March 13, 2015. He served as a Director of Cielo SA since May 2009. He served as a Director and Member of Statutory Board at Banco Do Brasil S.A. Mr. Caffarelli holds a Degree in Law from Pontifical Catholic University of Curitiba in 1988, a Master's Degree in Economic Business Management from Universidade de Brasília - UNB in 2004, a Post-Graduate Degree in Foreign Trade from FAE/CDE Curitiba in 1996 and International Trade Law from IBEJ Curitiba in 1997 and an MBA in Corporate and Finance Law from Fundação Getúlio Vargas - FGV/RJ in 2000.

CEO Compensation
  • Insufficient data for Paulo to compare compensation growth.
  • Insufficient data for Paulo to establish whether their remuneration is reasonable compared to companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Cielo management team in years:

1.6
Average Tenure
47
Average Age
  • The average tenure for the Cielo management team is less than 2 years, this suggests a new team.
Management Team

Paulo Caffarelli

TITLE
Chief Executive Officer
AGE
53
TENURE
0.3 yrs

Clovis Poggetti

TITLE
CFO & IRO
AGE
46
TENURE
8.2 yrs

Renata De Paiva Greco

TITLE
Executive VP - Commercial Large Accounts & Member of the Board of Executive Officers
AGE
48

Danilo Caffaro

TITLE
Executive VP - Products & Business and Member of the Board of Executive Officers
AGE
35

Sérgio Saraiva Castelo de Pontes

TITLE
Executive VP of Organizational Development and Member of the Board of Executive Officers
TENURE
1.6 yrs

Danilo Ricardo Zimmermann

TITLE
Member of the Board of Executive Officers

Gabriel Mariotto

TITLE
Head of Business Analytics

Carlos César Righetti

TITLE
Logistics Officer
AGE
51

Victor Schabbel

TITLE
Investor Relations Director
AGE
33
Board of Directors Tenure

Average tenure and age of the Cielo board of directors in years:

2.9
Average Tenure
54
Average Age
  • The average tenure for the Cielo board of directors is less than 3 years, this suggests a new board.
Board of Directors

Marcelo de Noronha

TITLE
Chairman of the Board
AGE
53
TENURE
0.8 yrs

Marcelo Dutra Labuto

TITLE
Vice Chairman of the Board
AGE
47
TENURE
0.8 yrs

Francisco da Costa e Silva

TITLE
Independent Director
AGE
70
TENURE
9.8 yrs

Gilberto Mifano

TITLE
Independent Director
AGE
69
TENURE
8.9 yrs

Marcelo Dall’Occo

TITLE
Chairman of Fiscal Council
AGE
52
TENURE
2.9 yrs

Aldo Mendes

TITLE
Independent Director
AGE
60
TENURE
1.1 yrs

Francisco José Terra

TITLE
Director
AGE
48
TENURE
1 yrs

Rogério Panca

TITLE
Director
AGE
48
TENURE
3.9 yrs

Antônio Maurano

TITLE
Director
AGE
56
TENURE
3.1 yrs

Casario Nakamura

TITLE
Director
AGE
55
TENURE
2.9 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
X
Management checks
We assess Cielo's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Cielo has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

CIOX.Y News

Simply Wall St News

CIOX.Y Company Info

Description

Cielo S.A., through its subsidiaries, provides payment services in Brazil. The company is involved in the provision of services related to credit and debit cards, and other payment methods, including signing up of merchants and service providers; rental, installation, and maintenance of point of sale terminals; and data capture and processing of electronic and manual transactions. It also offers services related in the processing means of payments that involve cards, maintenance services, and contacts with merchants for acceptance of credit and debit cards; data transmission services to load fixed or mobile phone credits; software development and licensing of computer programs; electronic transactions processing; IT services for collection and management of accounts payable and receivable; and data processing services and support services to medical companies. The company was formerly known as Companhia Brasileira de Meios de Pagamento and changed its name to Cielo S.A. in December 2009. Cielo S.A. was founded in 1995 and is headquartered in Barueri, Brazil.

Details
Name: Cielo S.A.
CIOX.Y
Exchange: OTCPK
Founded: 1995
R$7,704,000,830
2,714,233,626
Website: http://www.cielo.com.br
Address: Cielo S.A.
Alameda Xingu, 512,
Alphaville,
Barueri,
São Paulo, 06455-030,
Brazil
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
BOVESPA CIEL3 Common Shares Bolsa de Valores de Sao Paulo BR BRL 29. Jun 2009
OTCPK CIOX.Y SPONSORED ADR Pink Sheets LLC US USD 02. Mar 2010
Number of employees
Current staff
Staff numbers
0
Cielo employees.
Industry
Data Processing and Outsourced Services
Software
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/03/19 00:16
End of day share price update: 2019/03/18 00:00
Last estimates confirmation: 2019/02/06
Last earnings filing: 2019/01/28
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.