PagSeguro DigitalPAGS +0.77%90 5-Year Yield-on-Cost % is 2.85 as of Jul. 05, 2026, which is 91% above its 10-year median of 1.49. GuruFocus rates PAGS with a GF Score™ of 90/100 and a GF Value™ of $11.91 (Modestly Undervalued). The stock has 4 warning signs investors should review. Among 1,033 Software companies, PagSeguro Digital ranks worse than 51.79% on this metric.
PagSeguro Digital's yield on cost for the quarter that ended in Mar. 2026 was 2.85.
The historical rank and industry rank for PagSeguro Digital's 5-Year Yield-on-Cost % or its related term are showing as below:
PAGS'
s 5-Year Yield-on-Cost % Range Over the Past 10 Years
Min: 1.27 Med: 1.49 Max: 2.85
Current: 2.85
During the past 12 years, PagSeguro Digital's highest Yield on Cost was 2.85. The lowest was 1.27. And the median was 1.49.
PAGS's 5-Year Yield-on-Cost % is ranked worse than 51.79% of 1033
companies
in the Software industry
Industry Median: 3.01
vs PAGS: 2.85
PagSeguro Digital (NYSE:PAGS) 5-Year Yield-on-Cost % Explanation
Of course the risk here is that the company may not raise its dividends as it did before. The key is to select the companies that can consistently raise its dividends. Usually companies with long history of raising dividends tend to do so.
PagSeguro Digital 5-Year Yield-on-Cost % Related Terms
PAGS vs ATEN, PAYO, STNE: 5-Year Yield-on-Cost % Comparison
For the Software - Infrastructure subindustry, PagSeguro Digital's 5-Year Yield-on-Cost %, along with its competitors' market caps and 5-Year Yield-on-Cost % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
PagSeguro Digital 5-Year Yield-on-Cost % vs Software Industry
For the Software industry and Technology sector, PagSeguro Digital's 5-Year Yield-on-Cost % distribution charts can be found below:
* The bar in red indicates where PagSeguro Digital's 5-Year Yield-on-Cost % falls into.
PagSeguro Digital 5-Year Yield-on-Cost % Calculation
Dividend Yield % and dividend growth of a stock is an important factor for income investors. But if company A raises its dividend constantly faster than company B, company A's future dividend yield might be much higher than Company B's even if their yields are the same now and their stock prices do not change.
Yield on Cost assumes that you buy and the stock today, and hold it for 5 years. If the company raises it dividends at the same rate as it did over the past 5 years, the dividends investors receive annually in 5 years relative to the stock price today.
PagSeguro Digital (PAGS) has a 5-Year Yield-on-Cost % of 2.85 as of Jul. 05, 2026. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on PagSeguro Digital and its competitors. This is 91% above median its historical median of 1.49. Over the past decade, PagSeguro Digital's 5-Year Yield-on-Cost % has ranged from 1.27 to 2.85. According to the industry distribution chart, PagSeguro Digital ranks #535 out of 1033 companies in the Software industry, placing it in the top 51.8%.
Is PagSeguro Digital's 5-Year Yield-on-Cost % too high?
PagSeguro Digital's current 5-Year Yield-on-Cost % of 2.85 is 91% above median its 10-year median of 1.49. Over the past 10 years, this metric has ranged from a low of 1.27 to a high of 2.85. The Software industry median 5-Year Yield-on-Cost % is 3.01. PagSeguro Digital's value of 2.85 is 5.3% below this industry median. Based on the distribution chart, PagSeguro Digital ranks #535 out of 1033 companies in the Software industry, which is below the industry midpoint. Overall, PagSeguro Digital has a GF Score™ of 90/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does PagSeguro Digital's 5-Year Yield-on-Cost % compare to ATEN and PAYO?
According to the Software industry distribution chart, PagSeguro Digital ranks #535 out of 1033 companies for 5-Year Yield-on-Cost %. This places PagSeguro Digital in the lower half of its industry. The industry median 5-Year Yield-on-Cost % is 3.01. PagSeguro Digital's value of 2.85 is 5.3% below this benchmark. Historically, PagSeguro Digital's own 5-Year Yield-on-Cost % has ranged from 1.27 to 2.85 over the past decade. While the company's 10-year median is 1.49 vs. the industry median of 3.01, PagSeguro Digital has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 5-Year Yield-on-Cost % for a Software company?
The median 5-Year Yield-on-Cost % among Software companies is 3.01, based on 1,033 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year Yield-on-Cost % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year Yield-on-Cost % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. PagSeguro Digital's current 5-Year Yield-on-Cost % of 2.85 is 5.3% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 5-Year Yield-on-Cost % mean?
A high 5-Year Yield-on-Cost % can signal that a stock is expensive relative to its fundamentals. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on PagSeguro Digital and its competitors. For the Software industry, the median 5-Year Yield-on-Cost % is 3.01 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. PagSeguro Digital's current 5-Year Yield-on-Cost % is 2.85, which is 91% above median its own 10-year median of 1.49. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is PagSeguro Digital stock overvalued right now?
Based on GuruFocus' analysis, PagSeguro Digital (PAGS) is currently considered Modestly Undervalued. The stock's GF Value™ is $11.91, compared to a current price of $9.12 — trading 23.4% below its estimated fair value. The current 5-Year Yield-on-Cost % is 2.85, which is 91% above median its 10-year median of 1.49 and 5.3% below the Software industry median of 3.01. PagSeguro Digital's overall GF Score™ is 90/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 5-Year Yield-on-Cost % calculated?
5-Year Yield-on-Cost % is calculated from a company's financial statements. For PagSeguro Digital (PAGS), the current 5-Year Yield-on-Cost % is 2.85 as of Jul. 05, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is PagSeguro Digital (PAGS) Overvalued in 2026?
Based on GuruFocus' analysis, PagSeguro Digital stock appears to be undervalued.
The current stock price of $9.12 is trading 23.4% below its estimated GF Value™ of $11.91.
GuruFocus considers PagSeguro Digital to be Modestly Undervalued.
Key valuation signals for PAGS:
5-Year Yield-on-Cost %: 2.85 (91% above median its 10-year median of 1.49)
GF Value™: $11.91 vs. price of $9.12 (23.4% below fair value)
Industry Position: 5.3% below the Software median (#535 of 1033)
No single metric tells the full story. See the PAGS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
PagSeguro Digital Ltd is a Brazilian-based company that acts as a provider of financial technology solutions focused on Micro-Merchants, Small Companies and Medium-Sized Companies (SMEs), in Brazil. The company provides a range of solutions and tools such as cash-in and cash-out options and provides access to working capital to help to manage its cash flow. It delivers an end-to-end digital ecosystem to address day-to-day financial needs, including receiving and spending funds and managing and growing businesses for clients. The company also offers the Free PagSeguro Digital Account delivering Cash-In Solutions, Online and In-Person Payment Tools, Online Payment Tools; and Web Check Outs offer tokenization, handling of shipping information, and others.
90GF Score
Get the complete analysis for PAGS
5-Year Yield-on-Cost % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
PAGS has been successfully added to your 