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DLocal initiated with a Buy at Citi

Citi analyst Arnon Shirazi initiated coverage of DLocal (DLO) with a Buy rating and $14.60 price target DLocal is a cross-border payment platform, focused on emerging market economies, with payment volume “expanding at a fast pace,” the analyst tells investors in a research note. The firm says global competition remains concentrated in developed markets, making DLocal the “certain choice” for merchant expansion towards emerging markets. Further, the company announced its dividend policy, planning to distribute 30% of free cash flow annually, starting in 2026, which should bring extra shareholder returns, contends Citi.

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