DLocal (NASDAQ:DLO) Raised to "Strong-Buy" at Wall Street Zen

Key Points

• DLocal's stock rating has been upgraded from "buy" to "strong-buy" by Wall Street Zen, reflecting increased confidence in the company's performance.
• As of now, the average target price for DLocal is $13.73, with a mix of ratings among analysts—one strong buy, four buy, and five hold ratings.
• DLocal reported a quarterly earnings beat with an EPS of $0.14 and revenue of $256.50 million, surpassing analyst expectations and showing a 49.7% year-over-year revenue increase.

DLocal (NASDAQ:DLO - Get Free Report) was upgraded by equities researchers at Wall Street Zen from a "buy" rating to a "strong-buy" rating in a note issued to investors on Sunday.

Other equities research analysts have also recently issued reports about the company. Truist Financial increased their target price on DLocal from $12.00 to $14.00 and gave the company a "hold" rating in a report on Friday, August 22nd. HSBC upgraded DLocal from a "hold" rating to a "buy" rating and increased their target price for the company from $11.50 to $15.00 in a report on Thursday, August 14th. Citigroup initiated coverage on DLocal in a report on Tuesday, May 27th. They issued a "buy" rating and a $14.60 price objective for the company. Morgan Stanley set a $15.00 price objective on DLocal in a report on Thursday, August 14th. Finally, Hsbc Global Res upgraded DLocal from a "hold" rating to a "strong-buy" rating in a report on Thursday, August 14th. One research analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating and five have assigned a Hold rating to the company's stock. According to data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average price target of $14.00.

DLocal Trading Up 2.2%

DLO stock traded up $0.32 during trading on Friday, hitting $14.89. 2,863,595 shares of the company traded hands, compared to its average volume of 2,855,529. The firm has a market capitalization of $4.65 billion, a PE ratio of 31.02 and a beta of 1.13. DLocal has a 1 year low of $7.61 and a 1 year high of $16.44. The company has a 50-day moving average of $12.62 and a 200-day moving average of $10.75. The company has a debt-to-equity ratio of 0.01, a quick ratio of 1.46 and a current ratio of 1.46.

DLocal (NASDAQ:DLO - Get Free Report) last issued its earnings results on Wednesday, August 13th. The company reported $0.14 earnings per share for the quarter, beating the consensus estimate of $0.13 by $0.01. The company had revenue of $256.50 million during the quarter, compared to analysts' expectations of $226.71 million. DLocal had a return on equity of 36.85% and a net margin of 16.90%.DLocal's quarterly revenue was up 49.7% compared to the same quarter last year. During the same period in the prior year, the business posted $0.15 EPS. DLocal has set its FY 2025 guidance at EPS. Analysts predict that DLocal will post 0.47 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Marshall Wace LLP increased its position in DLocal by 64.0% during the 2nd quarter. Marshall Wace LLP now owns 2,683,988 shares of the company's stock valued at $30,436,000 after buying an additional 1,047,692 shares in the last quarter. Fourth Sail Capital LP increased its position in DLocal by 33.7% during the 2nd quarter. Fourth Sail Capital LP now owns 1,546,639 shares of the company's stock valued at $17,539,000 after buying an additional 390,270 shares in the last quarter. Tikvah Management LLC increased its position in DLocal by 16.9% during the 1st quarter. Tikvah Management LLC now owns 1,054,499 shares of the company's stock valued at $8,795,000 after buying an additional 152,699 shares in the last quarter. Goldman Sachs Group Inc. increased its position in DLocal by 4.1% during the 1st quarter. Goldman Sachs Group Inc. now owns 575,111 shares of the company's stock valued at $4,796,000 after buying an additional 22,803 shares in the last quarter. Finally, Ameriprise Financial Inc. increased its position in DLocal by 6.9% during the 2nd quarter. Ameriprise Financial Inc. now owns 563,990 shares of the company's stock valued at $6,396,000 after buying an additional 36,319 shares in the last quarter. Institutional investors own 90.13% of the company's stock.

About DLocal

DLocal Limited operates a payment processing platform worldwide. The company offers pay-in solution which the business and get paid for their products and services through various payment methods, including international and local cards, online bank transfers and direct debit, cash, and alternative payment methods.