Stock Traders Buy High Volume of Call Options on DLocal (NASDAQ:DLO)

DLocal Limited (NASDAQ:DLO) saw unusually large options trading activity on Wednesday. Investors bought 25,648 call options on the stock. This is an increase of approximately 292% compared to the typical volume of 6,546 call options.

DLocal Stock Down 2.1%

Shares of DLocal stock opened at $14.59 on Friday. DLocal has a 52 week low of $9.81 and a 52 week high of $16.78. The business has a 50 day moving average price of $12.82 and a 200-day moving average price of $13.05. The company has a market cap of $4.30 billion, a PE ratio of 23.16 and a beta of 0.97.

DLocal (NASDAQ:DLO) last announced its earnings results on Thursday, May 14th. The company reported $0.17 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.16 by $0.01. DLocal had a return on equity of 41.22% and a net margin of 15.85%.The company had revenue of $335.86 million for the quarter, compared to analysts’ expectations of $331.20 million. During the same quarter in the previous year, the firm earned $0.15 earnings per share. DLocal’s quarterly revenue was up 54.9% on a year-over-year basis. As a group, research analysts anticipate that DLocal will post 0.81 EPS for the current year.

Insider Activity at DLocal

In other news, Director Sebastian Kanovich sold 25,700 shares of DLocal stock in a transaction on Tuesday, July 7th. The shares were sold at an average price of $15.50, for a total value of $398,350.00. Following the completion of the sale, the director owned 25,700 shares in the company, valued at $398,350. The trade was a 50.00% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director William Rodney Pruett bought 20,000 shares of the company’s stock in a transaction that occurred on Friday, May 29th. The shares were bought at an average price of $11.85 per share, for a total transaction of $237,000.00. Following the transaction, the director directly owned 108,043 shares in the company, valued at $1,280,309.55. This trade represents a 22.72% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Company insiders own 45.44% of the company’s stock.

Hedge Funds Weigh In On DLocal

A number of hedge funds have recently bought and sold shares of DLO. Bank of America Corp DE raised its holdings in shares of DLocal by 0.3% in the first quarter. Bank of America Corp DE now owns 4,073,358 shares of the company’s stock valued at $52,831,000 after purchasing an additional 13,536 shares during the last quarter. Cria Inc. purchased a new position in DLocal during the fourth quarter worth about $56,560,000. Atmos Capital Gestao DE Recursos LTDA. bought a new stake in DLocal in the 4th quarter worth about $54,128,000. Marshall Wace LLP grew its position in DLocal by 18.9% in the 4th quarter. Marshall Wace LLP now owns 3,662,772 shares of the company’s stock worth $51,792,000 after purchasing an additional 582,718 shares in the last quarter. Finally, Baillie Gifford & Co. grew its position in DLocal by 12.2% in the 4th quarter. Baillie Gifford & Co. now owns 2,996,660 shares of the company’s stock worth $42,373,000 after purchasing an additional 326,537 shares in the last quarter. 90.13% of the stock is owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

DLO has been the subject of several research analyst reports. Weiss Ratings reaffirmed a “hold (c)” rating on shares of DLocal in a research note on Monday, April 20th. The Goldman Sachs Group restated a “buy” rating and issued a $17.00 target price on shares of DLocal in a research note on Thursday, April 30th. UBS Group upgraded DLocal from a “neutral” rating to a “buy” rating and raised their target price for the company from $16.00 to $20.00 in a research note on Wednesday, July 1st. Truist Financial decreased their target price on DLocal from $16.00 to $15.00 and set a “buy” rating for the company in a research report on Wednesday, May 27th. Finally, Wall Street Zen lowered DLocal from a “buy” rating to a “hold” rating in a report on Monday, May 18th. One analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating and one has issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Buy” and an average target price of $17.25.

About DLocal

dLocal is a fintech company specializing in cross-border payments and payouts for global merchants operating in emerging markets. Headquartered in Montevideo, Uruguay, the company offers a technology platform that simplifies complex payment flows, enabling businesses to connect with local payment methods through a single integration.

The dLocal platform supports a wide range of local payment options, including credit and debit cards, bank transfers, e-wallets and cash-based methods. It incorporates risk-management tools, compliance services and anti-fraud solutions to help clients navigate regulatory requirements and minimize payment failures across diverse jurisdictions.

dLocal serves merchants in sectors such as e-commerce, online marketplaces, digital content and gig economy platforms.