Patria Investments (PAX) AI Stock Analysis

• Market Cap: $2.30B
• Dividend Yield: 4.07%
• Average Volume (3M): 478.89K
• Price to Earnings (P/E): 26.6
• Beta (1Y): 0.88
• Revenue Growth: 26.65%
• EPS Growth: -1.26%
• Country: US
• Employees: 577
• Sector: Financial
• Sector Strength: 70
• Industry: Asset Management
• EPS (TTM): 0.30
• Shares Outstanding: 66,521,570
• 10 Day Avg. Volume: 437,773
• 30 Day Avg. Volume: 478,888
• PEG Ratio: -0.60
• Price to Book (P/B): 3.72
• Price to Sales (P/S): 4.77
• P/FCF Ratio: 12.98
• Enterprise Value/Market Cap: 0.00
• Enterprise Value/Revenue: 0.00
• Enterprise Value/Gross Profit: 0.00
• Enterprise Value/Ebitda: 0.00
• 1Y Price Target: $16.00
• Price Target Upside: 10.96% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 3
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 74 Outperform
• Price Target: $16.00 ▲(10.96% Upside)

Patria Investments receives a strong overall score driven by robust financial performance and positive earnings call highlights. The company's impressive fundraising achievements and asset growth, along with a healthy balance sheet and strong cash flow, contribute significantly to the score. While the stock's valuation is relatively high, the positive technical indicators and dividend yield provide additional support.

Positive Factors

Revenue Growth

Consistent revenue growth indicates robust market demand and effective business strategies, supporting long-term financial health.

Asset Growth

Surpassing $50 billion in AUM reflects strong fundraising capabilities and market confidence, enhancing the firm's competitive position.

Cash Flow Performance

Strong cash flow growth supports operational flexibility and investment capacity, crucial for sustaining long-term growth.

Negative Factors

Operational Efficiency

A decline in operational efficiency could impact profitability, suggesting the need for cost management improvements.

Cash and Cash Equivalents

Reduced cash reserves may limit liquidity and flexibility, potentially affecting the company's ability to respond to market opportunities.

Performance-Related Earnings

Lack of performance-related earnings could indicate challenges in achieving investment benchmarks, affecting fee income potential.

Patria Investments Business Overview & Revenue Model

Company Description

Patria Investments Limited operates as a private market investment firm focused on investing in Latin America. The company offers asset management services to investors focusing on private equity funds, infrastructure development funds, co-investments funds, constructivist equity funds, and real estate and credit funds. Patria Investments Limited was founded in 1994 and is headquartered in Grand Cayman, the Cayman Islands.

How the Company Makes Money

Patria Investments generates revenue primarily through management fees and performance fees associated with its investment funds. Management fees are typically a percentage of the assets under management (AUM) and provide a steady income stream regardless of fund performance. Performance fees, on the other hand, are earned when the funds exceed specified return benchmarks, aligning the company's interests with those of its investors. Additionally, Patria may earn advisory fees from investment banking services and transactions involving mergers and acquisitions. Strategic partnerships with local and international investors, along with a strong track record of successful investments, further contribute to its earnings by attracting new capital and enhancing investment performance.

Patria Investments Financial Statement Overview

Summary

Patria Investments demonstrates strong revenue growth and profitability with a solid gross profit margin of 63.47% and a net profit margin of 20.68%. The company maintains a healthy balance sheet with a low debt-to-equity ratio of 0.28. Cash flow performance is impressive with a free cash flow growth rate of 32.92% TTM. However, there is a slight decline in operational efficiency as indicated by a decrease in EBIT margin.

Income Statement

Patria Investments demonstrates strong revenue growth with a TTM increase of 1.92% and consistent profitability, as evidenced by a solid gross profit margin of 63.47% and a net profit margin of 20.68%. However, the EBIT margin has slightly decreased to 39.24% from 40.88% in the previous year, indicating some pressure on operational efficiency.

Balance Sheet

The company maintains a healthy balance sheet with a low debt-to-equity ratio of 0.28, reflecting prudent financial management. Return on equity is strong at 15.78%, although it has decreased from previous levels. The equity ratio remains robust at 43.87%, suggesting a stable capital structure.

Cash Flow

Patria Investments shows impressive cash flow performance with a free cash flow growth rate of 32.92% TTM. The operating cash flow to net income ratio is 0.72, indicating efficient cash generation relative to earnings. The free cash flow to net income ratio is high at 0.97, highlighting strong cash conversion.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	405.83M	374.20M	327.62M	258.88M	235.51M	115.02M
Gross Profit	326.84M	323.72M	288.88M	224.05M	220.88M	104.39M
EBITDA	164.47M	133.22M	146.36M	125.46M	131.35M	73.53M
Net Income	106.27M	71.88M	118.40M	92.96M	122.48M	62.21M
Balance Sheet
Total Assets	1.33B	1.21B	1.01B	976.24M	761.32M	107.20M
Cash, Cash Equivalents and Short-Term Investments	52.30M	38.37M	33.20M	72.06M	167.13M	23.98M
Total Debt	146.30M	250.41M	15.84M	16.09M	7.86M	1.58M
Total Liabilities	723.00M	715.17M	490.24M	462.78M	197.04M	48.13M
Stockholders Equity	586.80M	481.08M	542.49M	552.79M	564.28M	57.31M
Cash Flow
Free Cash Flow	195.31M	137.66M	141.71M	74.34M	105.72M	52.03M
Operating Cash Flow	202.89M	145.95M	156.72M	81.05M	107.56M	52.70M
Investing Cash Flow	-39.29M	25.31M	62.17M	-189.35M	-284.23M	23.51M
Financing Cash Flow	-174.49M	-151.65M	-229.63M	118.55M	177.89M	-66.24M

Patria Investments Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 14.42
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PAX, the sentiment is Positive. The current price of 14.42 is below the 20-day moving average (MA) of 14.65, below the 50-day MA of 14.51, and above the 200-day MA of 12.84, indicating a bullish trend. The MACD of 0.01 indicates Positive momentum. The RSI at 54.06 is Neutral, neither overbought nor oversold. The STOCH value of 36.24 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PAX.

Patria Investments Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PAX	74 Outperform	$2.30B	26.59	15.46%	4.07%	26.65%	-1.26%
VINP	73 Outperform	$753.24M	24.66	10.40%	5.04%	81.45%	-26.75%
GSBD	71 Outperform	$1.12B	8.58	8.75%	16.85%	-16.58%	65.24%
APAM	69 Neutral	$3.36B	11.58	62.04%	8.68%	5.46%	2.10%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
BCSF	63 Neutral	$925.67M	9.92	8.18%	12.61%	-26.08%	-27.65%
GCMG	59 Neutral	$2.12B	39.51	―	4.12%	18.33%	109.57%

Patria Investments Corporate Events

Patria Investments Surpasses $50 Billion in Assets Under Management

On November 4, 2025, Patria Investments announced its third-quarter earnings results, highlighting significant growth in assets under management, which surpassed $50 billion, marking a milestone since its IPO in 2021. The firm reported $46.9 million in distributable earnings for the quarter, a 31% increase from the previous year, and declared a quarterly dividend of $0.15 per share, payable on December 12, 2025. This growth reflects Patria’s strong fundraising momentum and its ability to exceed its full-year fundraising target, reinforcing its confidence in achieving its 2025 and future objectives.

Patria Investments Releases Mid-2025 Financial Statements

Patria Investments Limited released its unaudited condensed consolidated interim financial statements for the six-month period ending June 30, 2025. The report highlights a decrease in cash and cash equivalents from $33,418,000 at the end of 2024 to $28,539,000 by mid-2025, alongside an increase in short-term investments and client funds on deposit. These financial shifts indicate strategic adjustments in asset management, which could impact the company’s liquidity and investment strategies. The financial statements provide stakeholders with insights into the company’s operational adjustments and financial health during the first half of 2025.

Patria Investments Announces AGM Results and Board Appointment

On September 10, 2025, Patria Investments Limited held its annual general meeting where shareholders approved the financial statements and auditor’s report for the fiscal year ending December 31, 2024. Additionally, Daniel Rizardi Sorrentino was appointed as a new member of the Board of Directors, reflecting a strategic move to strengthen the company’s governance and leadership.

Patria Investments Announces 2025 AGM and Board Appointment

Patria Investments Limited has announced its Annual General Meeting (AGM) scheduled for September 10, 2025. The meeting will be held virtually and at their offices in Grand Cayman. Key resolutions to be voted on include the approval of the company’s financial statements for the fiscal year ending December 31, 2024, and the appointment of Daniel Rizardi Sorrentino to the Board of Directors. The AGM is significant for stakeholders as it will determine the company’s financial direction and leadership structure.

Patria Investments Announces Board Changes with New Interim Appointment

On August 20, 2025, Patria Investments announced a change in its Board of Directors with the resignation of Peter Paul Lorenço Estermann and the appointment of Daniel Rizardi Sorrentino as an interim Board member. Sorrentino, who has been with Patria since 2001 and currently serves as the Global Head of Commercial, will maintain his existing role while serving on the Board. This change reflects Patria’s ongoing strategic adjustments to strengthen its leadership and operational capabilities.