DLOCAL LTD (DLO) Stock Fundamental Analysis
USA - NASDAQ:DLO - KYG290181018 - Common Stock
12.75 USD
+0.08 (+0.63%)
We assign a fundamental rating of 8 out of 10 to DLO. DLO was compared to 99 industry peers in the Financial Services industry. DLO has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. DLO is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! These ratings would make DLO suitable for growth and quality investing!
1. Profitability
1.1 Basic Checks
DLO had positive earnings in the past year.
DLO had a positive operating cash flow in the past year.
In the past 5 years DLO has always been profitable.
Of the past 5 years DLO 4 years had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 12.13%, DLO belongs to the top of the industry, outperforming 94.95% of the companies in the same industry.
DLO has a Return On Equity of 33.88%. This is amongst the best in the industry. DLO outperforms 92.93% of its industry peers.
Looking at the Return On Invested Capital, with a value of 32.24%, DLO belongs to the top of the industry, outperforming 96.97% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for DLO is significantly above the industry average of 8.14%.
The 3 year average ROIC (27.22%) for DLO is below the current ROIC(32.24%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.13% | ||
| ROE | 33.88% | ||
| ROIC | 32.24% |
ROA(3y)12.39%
ROA(5y)12.92%
ROE(3y)28.19%
ROE(5y)34.98%
ROIC(3y)27.22%
ROIC(5y)31.92%
1.3 Margins
DLO's Profit Margin of 17.80% is fine compared to the rest of the industry. DLO outperforms 69.70% of its industry peers.
In the last couple of years the Profit Margin of DLO has declined.
With a decent Operating Margin value of 21.02%, DLO is doing good in the industry, outperforming 68.69% of the companies in the same industry.
DLO's Operating Margin has declined in the last couple of years.
DLO has a Gross Margin of 38.60%. This is comparable to the rest of the industry: DLO outperforms 57.58% of its industry peers.
In the last couple of years the Gross Margin of DLO has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.02% | ||
| PM (TTM) | 17.8% | ||
| GM | 38.6% |
OM growth 3Y-18.07%
OM growth 5Y-10.68%
PM growth 3Y-20.31%
PM growth 5Y-10.57%
GM growth 3Y-9.58%
GM growth 5Y-9.45%
2. Health
2.1 Basic Checks
DLO has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for DLO has been reduced compared to 1 year ago.
Compared to 5 years ago, DLO has less shares outstanding
DLO has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 4.47 indicates that DLO is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 4.47, DLO belongs to the best of the industry, outperforming 87.88% of the companies in the same industry.
DLO has a debt to FCF ratio of 0.03. This is a very positive value and a sign of high solvency as it would only need 0.03 years to pay back of all of its debts.
DLO has a better Debt to FCF ratio (0.03) than 91.92% of its industry peers.
DLO has a Debt/Equity ratio of 0.01. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.01, DLO belongs to the top of the industry, outperforming 87.88% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.03 | ||
| Altman-Z | 4.47 |
ROIC/WACC3.66
WACC8.81%
2.3 Liquidity
A Current Ratio of 1.46 indicates that DLO should not have too much problems paying its short term obligations.
DLO has a better Current ratio (1.46) than 67.68% of its industry peers.
A Quick Ratio of 1.46 indicates that DLO should not have too much problems paying its short term obligations.
DLO has a Quick ratio of 1.46. This is in the better half of the industry: DLO outperforms 69.70% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.46 | ||
| Quick Ratio | 1.46 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 27.27% over the past year.
Measured over the past years, DLO shows a very strong growth in Earnings Per Share. The EPS has been growing by 51.16% on average per year.
Looking at the last year, DLO shows a very strong growth in Revenue. The Revenue has grown by 31.63%.
DLO shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 68.27% yearly.
EPS 1Y (TTM)27.27%
EPS 3Y16.43%
EPS 5Y51.16%
EPS Q2Q%88.89%
Revenue 1Y (TTM)31.63%
Revenue growth 3Y45.11%
Revenue growth 5Y68.27%
Sales Q2Q%52.06%
3.2 Future
DLO is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 38.29% yearly.
DLO is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 28.01% yearly.
EPS Next Y60.78%
EPS Next 2Y44.56%
EPS Next 3Y38.29%
EPS Next 5YN/A
Revenue Next Year36.33%
Revenue Next 2Y31.45%
Revenue Next 3Y28.01%
Revenue Next 5YN/A
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 22.77 indicates a rather expensive valuation of DLO.
Based on the Price/Earnings ratio, DLO is valued a bit more expensive than the industry average as 60.61% of the companies are valued more cheaply.
The average S&P500 Price/Earnings ratio is at 25.46. DLO is around the same levels.
Based on the Price/Forward Earnings ratio of 15.25, the valuation of DLO can be described as correct.
The rest of the industry has a similar Price/Forward Earnings ratio as DLO.
When comparing the Price/Forward Earnings ratio of DLO to the average of the S&P500 Index (35.39), we can say DLO is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.77 | ||
| Fwd PE | 15.25 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as DLO.
DLO's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.28 | ||
| EV/EBITDA | 13.11 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of DLO may justify a higher PE ratio.
A more expensive valuation may be justified as DLO's earnings are expected to grow with 38.29% in the coming years.
PEG (NY)0.37
PEG (5Y)0.45
EPS Next 2Y44.56%
EPS Next 3Y38.29%
5. Dividend
5.1 Amount
DLO has a Yearly Dividend Yield of 4.03%, which is a nice return.
DLO's Dividend Yield is rather good when compared to the industry average which is at 4.68. DLO pays more dividend than 80.81% of the companies in the same industry.
DLO's Dividend Yield is rather good when compared to the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.03% |
5.2 History
DLO is new to the dividend game and has less than 3 years of track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y44.56%
EPS Next 3Y38.29%
NASDAQ:DLO (11/19/2025, 2:58:05 PM)
12.75
+0.08 (+0.63%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners24.16%
Inst Owner Change-5.13%
Ins Owners5.42%
Ins Owner ChangeN/A
Market Cap3.74B
Revenue(TTM)960.19M
Net Income(TTM)170.95M
Analysts75.38
Price Target17.47 (37.02%)
Short Float %14.18%
Short Ratio5.1
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.03% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.07%
Min EPS beat(2)4.54%
Max EPS beat(2)7.59%
EPS beat(4)3
Avg EPS beat(4)1.06%
Min EPS beat(4)-32.38%
Max EPS beat(4)24.5%
EPS beat(8)4
Avg EPS beat(8)-0.93%
EPS beat(12)6
Avg EPS beat(12)-4.37%
EPS beat(16)8
Avg EPS beat(16)-3.25%
Revenue beat(2)2
Avg Revenue beat(2)8.66%
Min Revenue beat(2)6.75%
Max Revenue beat(2)10.57%
Revenue beat(4)3
Avg Revenue beat(4)4.39%
Min Revenue beat(4)-1.89%
Max Revenue beat(4)10.57%
Revenue beat(8)5
Avg Revenue beat(8)0.52%
Revenue beat(12)7
Avg Revenue beat(12)0.72%
Revenue beat(16)11
Avg Revenue beat(16)1.08%
PT rev (1m)12.93%
PT rev (3m)32.19%
EPS NQ rev (1m)1.81%
EPS NQ rev (3m)17.69%
EPS NY rev (1m)1.39%
EPS NY rev (3m)6.13%
Revenue NQ rev (1m)0.47%
Revenue NQ rev (3m)8.97%
Revenue NY rev (1m)-0.1%
Revenue NY rev (3m)5.68%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.77 | ||
| Fwd PE | 15.25 | ||
| P/S | 3.9 | ||
| P/FCF | 26.28 | ||
| P/OCF | 21.53 | ||
| P/B | 7.42 | ||
| P/tB | 8.65 | ||
| EV/EBITDA | 13.11 |
EPS(TTM)0.56
EY4.39%
EPS(NY)0.84
Fwd EY6.56%
FCF(TTM)0.49
FCFY3.81%
OCF(TTM)0.59
OCFY4.64%
SpS3.27
BVpS1.72
TBVpS1.47
PEG (NY)0.37
PEG (5Y)0.45
Graham Number4.65
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.13% | ||
| ROE | 33.88% | ||
| ROCE | 39.49% | ||
| ROIC | 32.24% | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | 21.02% | ||
| PM (TTM) | 17.8% | ||
| GM | 38.6% | ||
| FCFM | 14.84% |
ROA(3y)12.39%
ROA(5y)12.92%
ROE(3y)28.19%
ROE(5y)34.98%
ROIC(3y)27.22%
ROIC(5y)31.92%
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)33.34%
ROCE(5y)39.2%
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y-18.07%
OM growth 5Y-10.68%
PM growth 3Y-20.31%
PM growth 5Y-10.57%
GM growth 3Y-9.58%
GM growth 5Y-9.45%
F-Score7
Asset Turnover0.68
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.03 | ||
| Debt/EBITDA | 0.01 | ||
| Cap/Depr | 144.48% | ||
| Cap/Sales | 3.27% | ||
| Interest Coverage | 15.8 | ||
| Cash Conversion | 77.8% | ||
| Profit Quality | 83.35% | ||
| Current Ratio | 1.46 | ||
| Quick Ratio | 1.46 | ||
| Altman-Z | 4.47 |
F-Score7
WACC8.81%
ROIC/WACC3.66
Cap/Depr(3y)143.63%
Cap/Depr(5y)366.75%
Cap/Sales(3y)2.93%
Cap/Sales(5y)6.44%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)27.27%
EPS 3Y16.43%
EPS 5Y51.16%
EPS Q2Q%88.89%
EPS Next Y60.78%
EPS Next 2Y44.56%
EPS Next 3Y38.29%
EPS Next 5YN/A
Revenue 1Y (TTM)31.63%
Revenue growth 3Y45.11%
Revenue growth 5Y68.27%
Sales Q2Q%52.06%
Revenue Next Year36.33%
Revenue Next 2Y31.45%
Revenue Next 3Y28.01%
Revenue Next 5YN/A
EBIT growth 1Y45.72%
EBIT growth 3Y18.89%
EBIT growth 5Y50.31%
EBIT Next Year74.32%
EBIT Next 3Y39.37%
EBIT Next 5YN/A
FCF growth 1Y-17.81%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-8.78%
OCF growth 3YN/A
OCF growth 5YN/A
DLOCAL LTD / DLO FAQ
What is the fundamental rating for DLO stock?
ChartMill assigns a fundamental rating of 8 / 10 to DLO.
Can you provide the valuation status for DLOCAL LTD?
ChartMill assigns a valuation rating of 5 / 10 to DLOCAL LTD (DLO). This can be considered as Fairly Valued.
What is the profitability of DLO stock?
DLOCAL LTD (DLO) has a profitability rating of 7 / 10.
What is the valuation of DLOCAL LTD based on its PE and PB ratios?
The Price/Earnings (PE) ratio for DLOCAL LTD (DLO) is 22.77 and the Price/Book (PB) ratio is 7.42.
What is the earnings growth outlook for DLOCAL LTD?
The Earnings per Share (EPS) of DLOCAL LTD (DLO) is expected to grow by 60.78% in the next year.