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DLO

DLocalNasdaqGS:DLO Stock Report

Market Cap

US$19.5b

7D

2.1%

1Y

n/a

Updated

25 Sep, 2021

Data

Company Financials +
DLO fundamental analysis
Snowflake Score
Valuation0/6
Future Growth6/6
Past Performance4/6
Financial Health6/6
Dividends0/6

DLO Overview

DLocal Limited operates a payments platform worldwide.

Price History & Performance

Summary of all time highs, changes and price drops for DLocal
Historical stock prices
Current Share PriceUS$66.51
52 Week HighUS$29.57
52 Week LowUS$73.43
Beta0
1 Month Change5.37%
3 Month Change39.17%
1 Year Changen/a
3 Year Changen/a
5 Year Changen/a
Change since IPO105.34%

Recent News & Updates

Aug 13

dLocal: Solid Story, Steep Valuation

dLocal is a fintech company that offers large enterprises a simple solution to expanding their core businesses to emerging markets. The company is offering a unique solution that is drawing some of the largest companies to its platform, as Amazon, Google, and Microsoft are customers. DLO generated $104 million in Q1 of 2021, representing 88% year-over-year growth. In this article, I will provide a deep dive on dLocal's business, illustrating the stock's intrinsic value is ~$30.

Shareholder Returns

DLOUS ITUS Market
7D2.1%1.4%0.1%
1Yn/a27.9%35.3%

Return vs Industry: Insufficient data to determine how DLO performed against the US IT industry.

Return vs Market: Insufficient data to determine how DLO performed against the US Market.

Price Volatility

Is DLO's price volatile compared to industry and market?
DLO volatility
DLO Beta0
Industry Beta1.18
Market Beta1

Stable Share Price: DLO is more volatile than 75% of US stocks over the past 3 months, typically moving +/- 13% a week.

Volatility Over Time: Insufficient data to determine DLO's volatility change over the past year.

About the Company

FoundedEmployeesCEOWebsite
2016365Sebastian Kanovichhttps://www.dlocal.com

DLocal Limited operates a payments platform worldwide. Its platform enables enterprise merchants to connect with consumers in emerging markets, accept payments, send payouts, and settle funds. The company serves customers in various industries, such as SaaS, shared economy and marketplaces, online retail, digital media, financial services, and travel and tourism.

DLocal Fundamentals Summary

How do DLocal's earnings and revenue compare to its market cap?
DLO fundamental statistics
Market CapUS$19.48b
Earnings (TTM)US$54.85m
Revenue (TTM)US$164.72m

355.2x

P/E Ratio

118.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
DLO income statement (TTM)
RevenueUS$164.72m
Cost of RevenueUS$70.11m
Gross ProfitUS$94.61m
ExpensesUS$39.76m
EarningsUS$54.85m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.19
Gross Margin57.44%
Net Profit Margin33.30%
Debt/Equity Ratio0%

How did DLO perform over the long term?

See historical performance and comparison

Valuation

Is DLocal undervalued compared to its fair value and its price relative to the market?

355.21x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate DLO's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate DLO's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: DLO is poor value based on its PE Ratio (355.2x) compared to the US IT industry average (34.9x).

PE vs Market: DLO is poor value based on its PE Ratio (355.2x) compared to the US market (17.9x).


Price to Earnings Growth Ratio

PEG Ratio: DLO is poor value based on its PEG Ratio (6.6x)


Price to Book Ratio

PB vs Industry: DLO is overvalued based on its PB Ratio (83.6x) compared to the US IT industry average (5.2x).


Future Growth

How is DLocal forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

53.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: DLO's forecast earnings growth (53.6% per year) is above the savings rate (2%).

Earnings vs Market: DLO's earnings (53.6% per year) are forecast to grow faster than the US market (14.8% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: DLO's revenue (36.2% per year) is forecast to grow faster than the US market (9.8% per year).

High Growth Revenue: DLO's revenue (36.2% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: DLO's Return on Equity is forecast to be very high in 3 years time (41.5%).


Past Performance

How has DLocal performed over the past 5 years?

150.9%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: DLO has high quality earnings.

Growing Profit Margin: DLO's current net profit margins (33.3%) are higher than last year (27.5%).


Past Earnings Growth Analysis

Earnings Trend: Unable to establish if DLO's year-on-year earnings growth rate was positive over the past 5 years as it has been trading publicly for less than 3 years.

Accelerating Growth: Unable to compare DLO's past year earnings growth to its 5-year average as it has been trading publicly for less than 3 years.

Earnings vs Industry: DLO earnings growth over the past year (150.9%) exceeded the IT industry 28%.


Return on Equity

High ROE: DLO's Return on Equity (23.6%) is considered high.


Financial Health

How is DLocal's financial position?


Financial Position Analysis

Short Term Liabilities: DLO's short term assets ($443.0M) exceed its short term liabilities ($256.4M).

Long Term Liabilities: DLO's short term assets ($443.0M) exceed its long term liabilities ($4.3M).


Debt to Equity History and Analysis

Debt Level: DLO is debt free.

Reducing Debt: DLO has not had any debt for past 5 years.

Debt Coverage: DLO has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: DLO has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is DLocal current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate DLO's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate DLO's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if DLO's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if DLO's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of DLO's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?


CEO

Sebastian Kanovich (30 yo)

no data

Tenure

Mr. Sebastian Kanovich has been the Chief Executive Officer of Dlocal Llp since its inception in January 2016 and serves as its Director. Mr. Kanovich serves as Chief Executive Officer at Dlocal Limited an...


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: DLO only recently listed within the past 12 months.


Top Shareholders

Company Information

DLocal Limited's employee growth, exchange listings and data sources


Key Information

  • Name: DLocal Limited
  • Ticker: DLO
  • Exchange: NasdaqGS
  • Founded: 2016
  • Industry: Data Processing and Outsourced Services
  • Sector: Software
  • Market Cap: US$19.482b
  • Shares outstanding: 292.92m
  • Website: https://www.dlocal.com

Number of Employees


Location

  • DLocal Limited
  • Dr. Luis Bonavita 1294
  • Suite 1294
  • Montevideo
  • 11300
  • Uruguay

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/25 22:07
End of Day Share Price2021/09/24 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.