Capital Market

DLocal (NASDAQ:DLO) Shares Gap Down After Analyst Downgrade

DLocal (NASDAQ:DLO) Shares Gap Down on Analyst Downgrade

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Feb 3, 2023 • 3 min read

DLocal Limited (NASDAQ:DLO - Get Rating)'s share price gapped down before the market opened on Wednesday after New Street Research downgraded the stock from a buy rating to a neutral rating. The stock had previously closed at $14.60, but opened at $14.30. New Street Research now has a $25.00 price target on the stock. DLocal shares last traded at $14.71, with a volume of 5,212 shares traded.

Several other research firms have also issued reports on DLO. The Goldman Sachs Group dropped their price target on shares of DLocal from $43.00 to $25.00 and set a "buy" rating for the company in a research report on Thursday, December 1st. Sumitomo Mitsui Financial Group lowered shares of DLocal from a "neutral" rating to an "underperform" rating and dropped their price objective for the stock from $28.00 to $22.00 in a report on Monday, September 26th. HSBC dropped their price objective on shares of DLocal from $32.00 to $19.00 in a report on Wednesday. JPMorgan Chase & Co. dropped their price objective on shares of DLocal from $30.00 to $15.00 and set a "neutral" rating for the company in a report on Monday, December 12th. Finally, Citigroup lowered their price target on shares of DLocal from $28.00 to $16.00 and set a "neutral" rating for the company in a report on Tuesday, November 29th. One research analyst has rated the stock with a sell rating, three have given a hold rating and four have given a buy rating to the stock. According to MarketBeat, DLocal presently has an average rating of "Hold" and an average price target of $25.00.

Institutional Investors Weigh In On DLocal

Several institutional investors have recently added to or reduced their stakes in DLO. Sands Capital Management LLC bought a new stake in DLocal in the 2nd quarter valued at $74,004,000. Tiger Global Management LLC increased its stake in DLocal by 132.1% in the 3rd quarter. Tiger Global Management LLC now owns 4,292,759 shares of the company's stock valued at $88,087,000 after buying an additional 2,443,100 shares during the last quarter. Frontier Capital Management Co. LLC increased its stake in DLocal by 138.3% in the 2nd quarter. Frontier Capital Management Co. LLC now owns 2,934,909 shares of the company's stock valued at $77,041,000 after buying an additional 1,703,103 shares during the last quarter. Wasatch Advisors Inc. increased its stake in DLocal by 53.0% in the 1st quarter. Wasatch Advisors Inc. now owns 4,086,240 shares of the company's stock valued at $127,736,000 after buying an additional 1,415,016 shares during the last quarter. Finally, Artisan Partners Limited Partnership acquired a new stake in DLocal in the 3rd quarter valued at $25,257,000. 47.89% of the stock is owned by institutional investors.

DLocal Stock Up 0.9 %

The company has a current ratio of 1.72, a quick ratio of 1.72 and a debt-to-equity ratio of 0.01. The firm's 50 day simple moving average is $17.17 and its 200-day simple moving average is $23.07. The stock has a market capitalization of $4.35 billion, a price-to-earnings ratio of 40.56 and a beta of 1.09.

DLocal Company Profile

DLocal Limited operates a payments platform in the United States, Europe, China, and internationally. Its payments platform enables merchants to get paid and to make payments online. The company serves commerce, streaming, ride-hailing, financial services, advertising, software as a service, travel, e-learning, on-demand delivery, gaming, and crypto industries.