Market Pulse50Neutral

DLocal LimitedOpportunity Rank #56(DLO) Intrinsic Value & DCF Analysis (2026)

Sector: Technology

Current Price

$12.92

Last updated: Mar 24, 2026

Price vs Intrinsic Value

$12.92
Price
$46.82
Intrinsic Value
Undervalued by 262%MOS: $37.46

Fundamental Score

86/100
Bullish

Weighted across 6 signals

Narrative Score

66/100
Improving

No change vs previous

The intrinsic value of DLocal Limited (DLO) is estimated at $46.82 per share based on a 10-year discounted cash flow (DCF) analysis. At the current price of $12.92, the stock appears undervalued relative to its projected cash flow fundamentals. This estimate assumes a 15.00% long-term growth rate and a 10.00% discount rate (calculated: 9.85%), reflecting expected future free cash flow and cost of capital.

The intrinsic value of DLocal Limited (DLO) is estimated at $46.82 per share based on a 10-year discounted cash flow (DCF) analysis. At the current price of $12.92, the stock appears undervalued relative to its projected cash flow fundamentals. This estimate assumes a 15.00% long-term growth rate and a 10.00% discount rate (calculated: 9.85%), reflecting expected future free cash flow and cost of capital.

Valuation Details

$46.82
▲ 262.38% upside
20% margin of safety: $37.46
Years: 10Growth Rate: 15.00%
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Fundamental Details

86/100
BullishWeighted across 6 signals
DCF Discount
262.4% discount to price
100
FCF Yield
11.6% trailing FCF yield
100
ROIC vs WACC
ROIC vs WACC unavailable
50
Net Debt / FCF
Net cash position
100
Buybacks
Share count shrinking
80
FCF CAGR (5Y)
36.5% 5Y FCF CAGR
100
Strengths lead the score: DCF Discount, FCF Yield.

Narrative Details

66/100
Improving
Vs 6-Month Baseline:High (94th pct)Weighted across 3 recent drivers
Trend: Improving upConfidence: 71%Updated: 1h ago
Sources: 24 (22 News · 2 Analyst)
Drivers(last 30 days)
20 news sentiment+1.7
2 regulatory scrutiny-0.1
2 analyst reiterations0.0

Investment Coach

Updated 11h ago
BUYConfidence: 72%
Thesis
DLocal Limited is significantly undervalued with an estimated fair value 69.1% above its current price, supported by strong fundamentals and an improving narrative. Despite trailing returns relative to its cost of capital, the company shows robust free cash flow growth and effective buybacks.
Key Risk
The key risk is the company's return on invested capital (ROIC) remaining substantially below its weighted average cost of capital (WACC), which may pressure valuation.
Signals To Watch
  • Monitor whether valuation discount remains above 10%.
  • Track ROIC vs WACC spread for sustained improvement.
  • Follow narrative trend for meaningful shifts in the score direction.
Ask the Coach - Available with
Historical Growth Rates
Free Cash Flow- - -Trend CAGR: 22.67%5 Year CAGR: 22.85%

Free Cash Flow (in millions)

TTM2025202420232022202120202019
$438$426-$10$312$169$157$92$32

How Intrinziq Estimates Fair Value

Intrinziq estimates DLocal Limited's intrinsic value using a discounted cash flow (DCF) model based on free cash flow trends and a market-based discount rate. The model projects future cash flows over ten years and discounts them using a market return assumption to estimate fair value.

DLocal LimitedTechnology

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. DLocal Limited was founded in 2016 and is headquartered in Montevideo, Uruguay.