Exploring NASDAQ:DLO's growth characteristics.

Groth investors are looking for stocks showing high revenue and EPS growth. We will have a look here to see if DLOCAL LTD (NASDAQ:DLO) is suited for growth investing. Investors should of couse do their own research, but we spotted DLOCAL LTD showing up in our CANSLIM growth screen, so it may be worth spending some more time on it.

What matters for canslim investors.

• The quarterly earnings of DLOCAL LTD have shown a 37.5% increase compared to the previous quarter, as revealed in the recent financial report. This growth signifies positive momentum in the company's financials, pointing towards a promising upward trend
• The quarter-to-quarter (Q2Q) revenue growth of 56.98% of DLOCAL LTD has been strong, reflecting the company's ability to generate consistent sales growth. This growth suggests the company's ability to meet customer needs and drive revenue growth.
• The 3-year EPS growth of DLOCAL LTD (86.79%) highlights the company's ability to consistently improve its earnings performance and suggests a positive outlook for future profitability.
• With a favorable Return on Equity (ROE) of 29.31%, DLOCAL LTD demonstrates its ability to deliver attractive returns for shareholders. This metric highlights the company's effective management of assets and its profitability.
• DLOCAL LTD has achieved an impressive Relative Strength (RS) rating of 81.12, showcasing its ability to outperform the broader market. This strong performance positions DLOCAL LTD as an attractive stock for potential price appreciation.
• With a Debt-to-Equity ratio at 0.01, DLOCAL LTD showcases its prudent financial management. The company's balanced approach between debt and equity reflects its commitment to maintaining a stable capital structure.
• DLOCAL LTD exhibits a favorable ownership structure, with an institutional shareholder ownership of 42.97%. This signifies a diverse investor base, which can contribute to a more stable and efficient market for the stock.

Technical Analysis Observations

At ChartMill, a crucial aspect of their analysis is the assignment of a Technical Rating to each stock. This rating, ranging from 0 to 10, is calculated daily by considering numerous technical indicators and properties.

Overall DLO gets a technical rating of 7 out of 10. In the last year, DLO was an average performer in the market. There are positive signs in the very recent evolution, but the medium term picture is still mixed.

• The short term trend is positive, while the long term trend is neutral. So this is evolving in the right direction.
• In the last month DLO has a been trading in the 12.34 - 24.22 range, which is quite wide. It is currently trading near the high of this range.
• Volume is considerably higher in the last couple of days, which is what you like to see during a strong movement up.
• Looking at the yearly performance, DLO did better than 81% of all other stocks. However, this relatively good performance is mostly due to a recent big move.
• DLO is part of the Financial Services industry. There are 96 other stocks in this industry, DLO did better than 58% of them.
• DLO is currently trading in the middle of its 52 week range. The S&P500 Index however is trading in the upper part of its 52 week range, so DLO is lagging the market slightly.
• Prices have been rising strongly lately, it may be a good idea to wait for a consolidation or pullback before considering an entry.

For an up to date full technical analysis you can check the technical report of DLO

A complete fundamental analysis of NASDAQ:DLO

At ChartMill, a crucial aspect of their analysis is the assignment of a Fundamental Rating to each stock. This rating, ranging from 0 to 10, is calculated daily by considering numerous fundamental indicators and properties.

We assign a fundamental rating of 6 out of 10 to DLO. DLO was compared to 96 industry peers in the Financial Services industry. While DLO has a great health rating, its profitability is only average at the moment. DLO is valued quite expensive, but it does show an excellent growth. This makes DLO very considerable for growth investing!

For an up to date full fundamental analysis you can check the fundamental report of DLO

Our CANSLIM screen will find you more ideas suited for growth investing.

Keep in mind

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.