Shares of StoneCo Ltd (NASDAQ: STNE) surged 10.96% in a remarkable 24-hour rally on Wednesday, following the release of the Brazilian fintech company's impressive fourth-quarter 2024 financial results and optimistic forecast for 2025.

StoneCo reported an adjusted net profit of 665.6 million reais ($133 million) for Q4 2024, significantly surpassing the analyst consensus estimate of 585.1 million reais. The company's quarterly adjusted earnings per share reached R$2.26 ($0.45), beating expectations of R$1.95 by 15.9% and representing a substantial 25.56% increase compared to the same period last year.

Revenue growth also exceeded expectations, with total revenue and income for the quarter standing at 3.609 billion reais ($720 million), slightly above the forecasted 3.591 billion reais and marking an 11.10% year-over-year increase. This strong performance across key financial metrics demonstrates StoneCo's ability to execute its strategy effectively in a challenging economic environment.

Adding fuel to investor enthusiasm, StoneCo provided an upbeat outlook for 2025. The company anticipates its adjusted basic earnings per share to exceed 8.6 reais ($1.72) in the coming year, while projecting adjusted gross profit to surpass 7.05 billion reais ($1.41 billion). These forward-looking statements suggest continued strong performance and growth potential, which likely contributed to the significant stock price increase.

As StoneCo continues to solidify its position as a leading financial technology provider in Brazil, investors appear optimistic about the company's future prospects and ability to capitalize on the growing digital payments market. The strong Q4 results and positive 2025 guidance have reinforced confidence in StoneCo's business model and growth strategy, driving the impressive 10.96% stock surge.