13.46 USD
-0.58 (-4.13%)
At close: Jan 30, 2026
13.38 USD
-0.08 (-0.59%)
After Hours: 1/30/2026, 8:00:01 PM
We assign a fundamental rating of 7 out of 10 to DLO. DLO was compared to 97 industry peers in the Financial Services industry. DLO gets an excellent profitability rating and is at the same time showing great financial health properties. DLO is growing strongly while it is still valued neutral. This is a good combination! These ratings could make DLO a good candidate 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.
- DLO had positive earnings in each of the past 5 years.
- DLO had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
- DLO's Return On Assets of 12.13% is amongst the best of the industry. DLO outperforms 93.81% of its industry peers.
- DLO's Return On Equity of 33.88% is amongst the best of the industry. DLO outperforms 93.81% 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 96.91% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for DLO is significantly above the industry average of 8.46%.
- 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 69.07% of its industry peers.
- In the last couple of years the Profit Margin of DLO has declined.
- DLO has a better Operating Margin (21.02%) than 70.10% of its industry peers.
- DLO's Operating Margin has declined in the last couple of years.
- The Gross Margin of DLO (38.60%) is comparable to the rest of the industry.
- DLO's Gross Margin has declined in the last couple of years.
| 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
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), DLO is creating value.
- The number of shares outstanding for DLO has been reduced compared to 1 year ago.
- DLO has less shares outstanding than it did 5 years ago.
- The debt/assets ratio for DLO has been reduced compared to a year ago.
2.2 Solvency
- DLO has an Altman-Z score of 4.75. This indicates that DLO is financially healthy and has little risk of bankruptcy at the moment.
- DLO has a Altman-Z score of 4.75. This is amongst the best in the industry. DLO outperforms 88.66% of its industry peers.
- The Debt to FCF ratio of DLO is 0.03, which is an excellent value as it means it would take DLO, only 0.03 years of fcf income to pay off all of its debts.
- With an excellent Debt to FCF ratio value of 0.03, DLO belongs to the best of the industry, outperforming 91.75% of the companies in the same industry.
- DLO has a Debt/Equity ratio of 0.01. This is a healthy value indicating a solid balance between debt and equity.
- With an excellent Debt to Equity ratio value of 0.01, DLO belongs to the best of the industry, outperforming 88.66% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.03 | ||
| Altman-Z | 4.75 |
ROIC/WACC3.61
WACC8.93%
2.3 Liquidity
- DLO has a Current Ratio of 1.46. This is a normal value and indicates that DLO is financially healthy and should not expect problems in meeting its short term obligations.
- Looking at the Current ratio, with a value of 1.46, DLO is in the better half of the industry, outperforming 68.04% of the companies in the same industry.
- 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 69.07% 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%.
- The Revenue has been growing by 68.27% on average over the past years. This is a very strong growth!
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 40.00% yearly.
- DLO is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 31.92% yearly.
EPS Next Y65.98%
EPS Next 2Y47.37%
EPS Next 3Y40%
EPS Next 5YN/A
Revenue Next Year40.16%
Revenue Next 2Y35.65%
Revenue Next 3Y31.92%
Revenue Next 5YN/A
3.3 Evolution
- Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of 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
- With a Price/Earnings ratio of 24.04, DLO is valued on the expensive side.
- Compared to the rest of the industry, the Price/Earnings ratio of DLO is on the same level as its industry peers.
- Compared to an average S&P500 Price/Earnings ratio of 28.30, DLO is valued at the same level.
- DLO is valuated correctly with a Price/Forward Earnings ratio of 15.49.
- The rest of the industry has a similar Price/Forward Earnings ratio as DLO.
- DLO is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 25.57, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.04 | ||
| Fwd PE | 15.49 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of DLO is on the same level as its industry peers.
- DLO's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.84 | ||
| EV/EBITDA | 14.97 |
4.3 Compensation for Growth
- DLO's 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.
- DLO's earnings are expected to grow with 40.00% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.36
PEG (5Y)0.47
EPS Next 2Y47.37%
EPS Next 3Y40%
5. Dividend
5.1 Amount
- DLO has a Yearly Dividend Yield of 3.55%. Purely for dividend investing, there may be better candidates out there.
- DLO's Dividend Yield is rather good when compared to the industry average which is at 2.10. DLO pays more dividend than 82.47% of the companies in the same industry.
- DLO's Dividend Yield is rather good when compared to the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.55% |
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 2Y47.37%
EPS Next 3Y40%
DLOCAL LTD / DLO FAQ
What is the fundamental rating for DLO stock?
ChartMill assigns a fundamental rating of 7 / 10 to DLO.
What is the valuation status of DLOCAL LTD (DLO) stock?
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 are the PE and PB ratios of DLOCAL LTD (DLO) stock?
The Price/Earnings (PE) ratio for DLOCAL LTD (DLO) is 24.04 and the Price/Book (PB) ratio is 7.86.
Can you provide the expected EPS growth for DLO stock?
The Earnings per Share (EPS) of DLOCAL LTD (DLO) is expected to grow by 65.98% in the next year.