dLocal's diversified model makes its sharp selloff look unwarranted. x.com 

dLocal's business is materially better than in 2021, yet its valuation is far lower. It now generates nearly as much gross profit in one quarter as it did in all of 2021, while its market cap is $4B against a $20B peak in 2021. x.com 

dLocal faces stronger competitors and margins that will keep falling. Many of its regions are a constant uphill battle; even if it does well long term, payments stocks are uninvestable. x.com 

dLocal still looks very early because it holds only about 10% wallet share with its merchants, versus 50-80% in a mature relationship, per dLocal's Pedro at the Goldman Sachs conference. The average merchant uses dLocal in about 12 of its 60-plus markets, up from 8. Take-rate compression is the key issue; if it slows as Pedro expects while TPV keeps growing, gross profit and free cash flow should improve sharply. Only about half of today's top 10 customers were there two years ago. x.com  x.com 

dLocal remains one of the highest-conviction long-term holdings, a hated moat whose great results drew only a 5% after-hours gain. Per @mvcinvesting, Q4 revenue was $337.9M versus $296.1M expected, free cash flow doubled to $64.7M and payment volume grew 70%. For 2026 dLocal guides 50-60% volume growth and 27.5-32.5% operating profit growth, and it announced a $300M buyback. x.com 

dLocal sits in payment processing, a sector that 30 years of data show to be dead because margins are low. Fintech is just software, without the asset leverage that banks have. dLocal fell about 11% after EPS of $0.14 missed the $0.15 estimate, per TrendSpider. x.com  x.com  x.com 

dLocal could be the Adyen of emerging markets, quietly building payment rails for the next billion consumers. It combines 25-30%+ growth, expanding margins and solid 2026 guidance with a surprisingly low valuation. x.com 

dLocal is growing nearly as fast as an LLM company yet trades at just 2x, so the dip is worth buying. x.com  x.com 

dLocal's take rates face merciless, structural pressure from regional competition and market structure. Management, by contrast, expects only an asymptotic take-rate decline and nothing structural. The stock fell 8% after Q1 earnings. x.com  x.com  x.com  x.com 

dLocal is an overlooked picks-and-shovels play on emerging-market digital payments, combining real growth, real profitability and a huge runway outside the US. In the fourth quarter, payment volume grew 70%, revenue 65%, gross profit 38% and net income 87%. Full-year 2025 revenue crossed $1B for the first time, and adjusted free cash flow rose 110%. x.com