Stock Traders Buy High Volume of DLocal Put Options (NASDAQ:DLO)

Key Points

• Unusual bearish options activity: Traders bought 11,141 put options on DLocal, about 219% above normal volume, suggesting some market participants are betting on further downside.
• Strong revenue growth, but profit pressure: DLocal reported first-quarter revenue of $335.9 million, up about 55% year over year and slightly above estimates, but net profit fell 10% due to a one-time tax charge and higher expenses.
• Stock sold off after earnings: Shares dropped $1.56 to $11.11 on heavy trading volume, reflecting investor concern over weaker margins, lower cash flow, and earnings results that were mixed despite strong top-line growth.

DLocal Limited (NASDAQ:DLO - Get Free Report) saw some unusual options trading activity on Friday. Investors purchased 11,141 put options on the stock. This is an increase of approximately 219% compared to the typical volume of 3,493 put options.

More DLocal News

Here are the key news stories impacting DLocal this week:

• Positive Sentiment: dLocal reported first-quarter revenue of $335.9 million, up about 55% year over year and slightly above estimates, while TPV topped $14 billion for the first time, showing continued strong business expansion. dLocal Reports First Quarter 2026 Financial Results
• Positive Sentiment: The company also highlighted record gross profit of about $119 million and said guidance was unchanged, which may reassure investors that growth is still intact. dLocal Reports First Quarter 2026 Financial Results
• Neutral Sentiment: The earnings call and transcript suggest management is pointing to operating leverage improving later in 2026, which could support sentiment if margins recover. DLocal (DLO) Q1 2026 Earnings Transcript
• Negative Sentiment: Despite growth, profit fell short of expectations: Reuters reported first-quarter net profit declined 10% as a one-time tax charge and higher expenses offset strong payment volume growth. Fintech dLocal posts first-quarter profit down 10%
• Negative Sentiment: Margins and cash generation also looked less impressive, with reports noting cost of sales grew faster than revenue, diluted EPS came in below estimates, and operating cash flow weakened, which likely contributed to the stock’s decline. DLocal Limited (DLO) Stock Falls on Q1 2026 Earnings
• Negative Sentiment: Unusually heavy put option buying also signals that some traders are positioning for more downside in DLO after earnings.

DLocal Stock Performance

NASDAQ DLO traded down $1.56 on Friday, reaching $11.11. The company had a trading volume of 6,526,113 shares, compared to its average volume of 1,580,494. The firm has a market capitalization of $3.28 billion, a price-to-earnings ratio of 17.36 and a beta of 1.04. DLocal has a 1-year low of $9.75 and a 1-year high of $16.78. The company's fifty day moving average is $12.81 and its 200-day moving average is $13.37.

DLocal (NASDAQ:DLO - Get Free Report) last announced its earnings results on Thursday, May 14th. The company reported $0.17 earnings per share for the quarter, topping analysts' consensus estimates of $0.16 by $0.01. The firm had revenue of $335.86 million during the quarter, compared to analyst estimates of $331.20 million. DLocal had a net margin of 18.00% and a return on equity of 40.40%. The company's revenue for the quarter was up 54.9% compared to the same quarter last year. During the same period in the prior year, the business earned $0.15 EPS. On average, research analysts forecast that DLocal will post 0.85 earnings per share for the current year.

DLocal Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, June 10th. Shareholders of record on Wednesday, May 27th will be given a dividend of $0.1939 per share. The ex-dividend date of this dividend is Wednesday, May 27th. This represents a $0.78 annualized dividend and a yield of 7.0%.

Analyst Ratings Changes

Several equities analysts have recently issued reports on the stock. Weiss Ratings reissued a "hold (c)" rating on shares of DLocal in a report on Monday, April 20th. The Goldman Sachs Group reissued a "buy" rating and issued a $17.00 price target on shares of DLocal in a report on Thursday, April 30th. JPMorgan Chase & Co. reduced their target price on shares of DLocal from $18.50 to $18.00 and set an "overweight" rating for the company in a research note on Monday, February 2nd. Wall Street Zen raised shares of DLocal from a "hold" rating to a "buy" rating in a research note on Sunday, May 10th. Finally, Truist Financial reduced their target price on shares of DLocal from $17.00 to $15.00 and set a "buy" rating for the company in a research note on Tuesday, March 17th. One research analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating and two have given a Hold rating to the company. Based on data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and an average target price of $16.63.

Institutional Investors Weigh In On DLocal

Several institutional investors and hedge funds have recently added to or reduced their stakes in the business. Mitsubishi UFJ Asset Management Co. Ltd. lifted its position in DLocal by 3.5% during the 3rd quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 24,793 shares of the company's stock worth $354,000 after buying an additional 837 shares in the last quarter. Caitong International Asset Management Co. Ltd lifted its position in DLocal by 114.6% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 1,826 shares of the company's stock worth $26,000 after buying an additional 975 shares in the last quarter. Geode Capital Management LLC lifted its position in DLocal by 0.8% during the 2nd quarter. Geode Capital Management LLC now owns 142,677 shares of the company's stock worth $1,618,000 after buying an additional 1,130 shares in the last quarter. Empowered Funds LLC lifted its position in DLocal by 2.7% during the 1st quarter. Empowered Funds LLC now owns 48,688 shares of the company's stock worth $406,000 after buying an additional 1,281 shares in the last quarter. Finally, Osaic Holdings Inc. lifted its position in DLocal by 17.1% during the 2nd quarter. Osaic Holdings Inc. now owns 9,108 shares of the company's stock worth $103,000 after buying an additional 1,329 shares in the last quarter. 90.13% of the stock is owned by institutional investors.

About DLocal

dLocal is a fintech company specializing in cross-border payments and payouts for global merchants operating in emerging markets. Headquartered in Montevideo, Uruguay, the company offers a technology platform that simplifies complex payment flows, enabling businesses to connect with local payment methods through a single integration.

The dLocal platform supports a wide range of local payment options, including credit and debit cards, bank transfers, e-wallets and cash-based methods. It incorporates risk-management tools, compliance services and anti-fraud solutions to help clients navigate regulatory requirements and minimize payment failures across diverse jurisdictions.

dLocal serves merchants in sectors such as e-commerce, online marketplaces, digital content and gig economy platforms.

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