Hi Traders and Investors,
It’s been six months since Trump returned to the White House—and the impact on markets is already taking shape.
From new policy rollouts to shifting economic priorities, we’re entering a new phase of opportunity for investors who know where to look.
That’s why we’ve just released a brand-new report:
"5 Best Stocks to Buy Under Trump’s Presidency"
[Download Your Free Report Here]
Inside, you’ll discover:
-
Which sectors are showing early momentum under the new administration
-
5 stocks uniquely positioned for potential long-term gains
-
Strategic insights to help align your portfolio with today’s evolving landscape
The market doesn’t wait—and neither should you.
Now’s the time to get positioned while many investors are still adjusting.
[Access the Report: 5 Stocks for Trump’s America]
Best regards,
The Investment News Daily Team
(By following any of the links above, you're choosing to opt in to receive insightful updates from The Investment News Daily + 2 free bonus subscriptions! Your privacy is important to us. You can unsubscribe anytime. See our privacy policy for details.)
dLocal Falls Despite Blowout Q3 Results—What Investors Are Missing
Written by Ryan Hasson. Published 11/13/2025.
Key Points
- dLocal reported Q3 earnings that beat expectations, with revenue up 52% year-over-year and Total Payment Volume reaching a record $10.4 billion.
- Shares fell over 5% post-earnings as the company’s net take rate declined from 1.07% to 0.99% QoQ.
- With strong growth and an attractive valuation, the pullback toward the $13 support zone might offer a compelling entry point for long-term investors.
Uruguayan-based fintech leader dLocal (NASDAQ: DLO) posted strong Q3 2025 results that beat expectations across nearly every metric. The company continued to build on momentum from a stellar Q2, reinforcing its position as one of Latin America's most dynamic fintechs.
Despite the upbeat report, shares fell more than 7% in after-hours trading as investors reacted to a slight decline in the company's net take rate. The key question is whether the pullback reflects short-term market jitters, a longer-term concern, or a buying opportunity for long-term investors.
Earnings Beat Across All Major Metrics
48-Hour Alert: This Signal Just Flashed on (TICKER) (Ad)
Years before it became a household name, Shopify showed an early momentum pattern that experienced traders used to catch a 120% move — and that same repeatable signal has just appeared on a new small-cap ticker that hasn't hit the mainstream yet. Our free Momentum Trading Report breaks down how to spot these stealth setups and reveals which names are flashing right now.
Get early access to the free Momentum Trading Report heredLocal reported Q3 earnings on Nov. 12, once again exceeding Wall Street estimates. Earnings per share were $0.17, a penny ahead of the $0.16 consensus. Revenue rose 52% year over year to $282.5 million, well above the $260.8 million forecast. The company's Total Payment Volume (TPV) reached a record $10.4 billion, up nearly 60% year over year, marking its fourth consecutive quarter of growth above 50%.
Profitability metrics were strong as well. Net income jumped 93% year over year to $51.8 million, Adjusted EBITDA climbed 37% to $71.7 million, and free cash flow rose 28% to $37.6 million. CEO Pedro Arnt, formerly the CFO of MercadoLibre (NASDAQ: MELI), highlighted the company's momentum, noting, "We delivered another record quarter, the first time with TPV above $10 billion and gross profit surpassing $100 million, one more example of our strong growth and diversification."
Why the Stock Fell Despite Strong Results
The one blemish in dLocal's results was a decline in its net take rate, which fell from 1.07% in Q2 to 0.99% in Q3. This metric, which measures gross profit as a percentage of TPV, is closely watched as an indicator of pricing power and margin trends. The drop prompted concerns about competitive pressures and regional mix shifts, particularly in Egypt, where gross profit fell from $16.3 million in Q1 to $7.3 million in Q3.
Management said the weakness in Egypt reflected the full-quarter effect of wallet-share losses that were already disclosed last quarter (Q2). Meanwhile, performance across Latin America remained robust, with revenue from the region rising to $234.3 million, led by strong gains in Argentina, Mexico, and Brazil. Excluding Egypt, other areas across Africa and Asia also showed sequential growth, with revenue increasing from $36.1 million to $40.2 million.
Overall, the decline in the take rate appears to be an isolated issue rather than a structural problem. The company's underlying growth, geographic diversification, and expanding scale continue to support its business model.
Valuation, Technical Setup, and Investor Sentiment
After the post-earnings pullback, dLocal shares trade near $13, hovering just above a key support zone that has held multiple times over the past year. Maintaining this level is important to preserve the stock's bullish technical structure; a decisive break below could invite further near-term pressure, though it would likely deepen the stock's value proposition from a valuation perspective.
As of Wednesday's close, DLO was trading at an attractive forward P/E of about 17.4 — a reasonable valuation for a fintech with double-digit revenue and earnings growth in emerging markets. The company's fundamentals remain solid, and a stronger balance sheet gives it flexibility to reinvest in growth while maintaining profitability.
Analysts remain broadly optimistic, assigning a consensus Moderate Buy rating and an average price target of $15.67 — still implying meaningful upside from current levels. Those targets will likely be updated as analysts digest the new data, but sentiment around dLocal's execution and leadership remains constructive.
The Underlying Story Remains Strong
dLocal continues to deliver outstanding growth and has now posted four straight quarters of strong execution. While the drop in take rate temporarily dampened sentiment, the underlying narrative is one of high-margin, high-growth fintech expansion across emerging markets.
For investors on the sidelines, the post-earnings dip toward support around $13 could present an attractive entry point into a structurally sound business.
This email message is a sponsored message sent on behalf of Darwin, a third-party advertiser of Earnings360 and MarketBeat.
If you have questions or concerns about your subscription, please email our U.S. based support team at contact@marketbeat.com.
If you no longer wish to receive email from Earnings360, you can unsubscribe.
© 2006-2025 MarketBeat Media, LLC.
345 North Reid Place #620, Sioux Falls, S.D. 57103-7078. United States of America..
Post a Comment
Post a Comment