Return on equity of 35%, free cash flow converting at 206% of net income, a wide economic moat, and 55% revenue growth year-over-year combine to describe a high-quality, fast-growing business trading at a forward earnings multiple of roughly 11.5x with a price-to-earnings-growth ratio of 0.16 — a combination that screens attractively valued; the stock sits below its 200-day moving average in a near-term pullback, but the long-term average is still rising, and the 19% headroom to the analyst target offers favorable risk/reward, with an elevated put/call ratio as the primary sentiment overhang.
Thesis pillars
- Strong Revenue Growth Leadership→Stable
- Attractive Valuation For Growth↑Improving
- High Quality Business Fundamentals→Stable
- +2 more pillars — see the Why tab for full reasoning
Pillars as of Jul 3, 2026
DLocal Limited (DLO) Stock Analysis
Technology · Software - Infrastructure
Hold if already holding. Not a fresh buy at $13.77, but acceptable to hold if already in. Reasons: Sector modifier (Technology): -0.8; Negative momentum.
DLocal Limited, together with its subsidiaries, provides payment processing services worldwide. The company offers a robust pay-in solution to help global merchants expand their online presence and receive payments, including international and local cards, online bank transfers,... Read more
Hold if already holding. Not a fresh buy at $13.77, but acceptable to hold if already in. Reasons: Sector modifier (Technology): -0.8; Negative momentum. Chart setup: No clear chart pattern; technical signals are mixed. Maintain position. Not compelling to add more. Score 7.0/10, moderate confidence.
Passes 6/8 gates (favorable risk/reward ratio, clean insider activity, no SEC red flags, news events none recent, semi cycle peak clear, materials cycle peak clear). Fails on weak momentum. Suitability: aggressive.
Recent developments
updated 2026-10-29Recent Developments — DLocal Limited
Latest news
- NEWS Bond Capital Management LP Takes Position in DLocal Limited $DLO - MarketBeat — MarketBeat positive
- NEWS A Look at DLocal Ltd (DLO) After 3.5% Decline -- GF Value $20.57 vs Price $14.26 - GuruFocus — GuruFocus negative
- NEWS Hsbc Holdings PLC Makes New Investment in DLocal Limited $DLO - MarketBeat — MarketBeat neutral
- NEWS dLocal (DLO) Set to Release Q1 Earnings with Strong Revenue Expe - GuruFocus — GuruFocus positive
- NEWS DLocal Q1 2026 earnings preview - MSN — MSN neutral
Generated 2026-10-29T11:14:31Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. How we score · Editorial policy
Show full disclosure ▾Hide full disclosure ▴
About TrendMatrix. TrendMatrix is a publisher of general securities research and market commentary. We publish on a regular schedule. All content is the same for every subscriber in a tier — we do not provide personalized investment advice and we do not take into account any individual subscriber's financial situation, investment objectives, risk tolerance, tax situation, or holdings.
Not investment advice. TrendMatrix is not a registered investment adviser. Our content is for informational and educational purposes only. Consult your own licensed investment adviser, broker, or tax professional before making any investment decision.
Conflicts and positions. People who build TrendMatrix, or entities they control, may hold positions, long or short, in securities it covers, and may trade them at any time. Positions are not disclosed individually. Verdicts are generated by an automated model applied by the same rules to every covered stock, and are not adjusted for any position held by the people who build TrendMatrix. We do not accept payment from issuers for coverage.
No paid promotion. TrendMatrix does not accept payment from any issuer, broker, or third party in exchange for coverage of any security.
No fiduciary duty. No fiduciary, advisory, or agency relationship is created between you and TrendMatrix by reading our content or subscribing to our service.
Performance. Past performance is not indicative of future results. Performance figures reflect the published model only and do not reflect any individual subscriber's actual results.
Rating Breakdown
1 floor-breaker·1 ceiling hit
Momentum below the gate floor. Component breakdown shows what dragged the score down.static
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Hold if already holding. Not a fresh buy at $13.77, but acceptable to hold if already in. Reasons: Sector modifier (Technology): -0.8; Negative momentum. Chart setup: No clear chart pattern; technical signals are mixed. Maintain position. Not compelling to add more. Analyst target $16.27 (+18.1%), stop $12.99 (−6.0%), A.R:R 2.0:1. Score 7.0/10, moderate confidence.
Analyst target: $16.27 (+18.1% upside). Analyst target $16.27 (+18.1%), stop $12.99 (−6.0%), A.R:R 2.0:1. Stop-loss: $12.99.
Sector modifier (Technology): -0.8; Negative momentum; Elevated risk factors.
DLocal Limited trades at a P/E of 20.3 (forward 12.1). TrendMatrix value score: 7.8/10. Verdict: Hold.
15 analysts cover DLO with a consensus score of 4.0/5. Average price target: $19.
What does DLocal Limited do?DLocal Limited, together with its subsidiaries, provides payment processing services worldwide. The company offers a...
DLocal Limited, together with its subsidiaries, provides payment processing services worldwide. The company offers a robust pay-in solution to help global merchants expand their online presence and receive payments, including international and local cards, online bank transfers, direct debit, cash, and hundreds of alternative payment methods (APMs). It also provides pay-in solutions for cross-border and local-to-local transactions, as well as pay-out solutions. In addition, the company offers dLocal for Platforms to manage global platform payments. It serves its products to commerce, streaming, ride-hailing, financial services, remittances, advertising, SaaS, travel, e-learning, on-demand delivery, gaming, and crypto industries. The company was founded in 2016 and is headquartered in Montevideo, Uruguay.