TIP834: DLOCAL (DLO): MULTIBAGGER POTENTIAL WITH DECADE-LONG RUNWAY

W/ DANIEL MAHNCKE & SHAWN O’MALLEY

TIP834: DLOCAL (DLO): MULTIBAGGER POTENTIAL WITH DECADE-LONG RUNWAY W/ DANIEL MAHNCKE & SHAWN O’MALLEY

29 July 2026

Daniel Mahncke and Shawn O’Malley take a deep dive into DLocal (NASDAQ: DLO), the first Uruguayan unicorn and the emerging markets payment provider for companies like Amazon, Uber, Spotify, Netflix, and many more. DLocal is trading at attractive multiples while growing payment volumes at over 70% and printing cash due to high operating leverage and a high-margin business model. That cash is given back to shareholders in the form of dividends and buybacks.

Daniel and Shawn discuss whether the high customer concentration and the declining take rate justify the cheap valuation or whether the market is not understanding the full potential of this emerging market jewel. In the end, Daniel values the business and decides whether DLO deserves a spot in The Intrinsic Value Portfolio.

SUBSCRIBE

IN THIS EPISODE, YOU’LL LEARN:

  • How DLO became the leading player in emerging markets
  • What makes DLO’s business model stand out
  • How DLO compares to Western competition
  • What two megatrends DLO benefits from
  • Whether there is a race to the bottom with take rates
  • How DLocal distributes cash to shareholders
  • Whether DLO is valued attractively
  • Whether Shawn and Daniel add DLO to the Intrinsic Value Portfolio
  • And much, much more!

Disclosure: This episode and the resources on this page are for informational and educational purposes only and do not constitute financial, investment, tax, or legal advice. For full disclosures, see link.

TRANSCRIPT

Disclaimer: The transcript that follows has been generated using artificial intelligence. We strive to be as accurate as possible, but minor errors and slightly off timestamps may be present due to platform differences.

[00:00:03] Daniel Mahncke: Welcome back, folks to The Investor’s Podcast episode 834. And the last stock I pitched to you, Shawn, was Pinduoduo. By many measures, the largest e-commerce company in the world, trading at a low single digit earnings multiple and with about sixty percent of the market cap in cash.

[00:00:21] Shawn O’Malley: Fascinating company and opportunity. One of the most surprising things to me was the connection to Buffett and Berkshire. And today’s company, I don’t think, has any surprise connections to Buffett that I’m not aware of.

[00:00:33] Daniel Mahncke: I wish it would, but unfortunately, I cannot offer that today. But it’s yet another name with lots of growth, high margins, trading at a mid-teen multiple. So slightly more expensive, but still relatively cheap, I would say. And also with a lot of cash on the balance sheet, although it’s not 60 percent of the market cap this time.

[00:00:51] Shawn O’Malley: And it’s earlier in its life cycle. So we could have a company here that generates exceptional returns for maybe decades to come.

[00:00:58] Daniel Mahncke: That’s the idea.

[00:01:02] Intro: Since 2014, with more than 200 million downloads. We have interviewed the world’s best investors, studied deeply the principles of value investing, and uncovered many compelling investment opportunities. We focus on understanding businesses and intrinsic value, investing accordingly and sharing everything we learn with you. This show is not investment advice. It’s intended for informational and entertainment purposes only. All opinions expressed by hosts and guests are solely their own, and they may have investments in the securities discussed. Now for your host, Shawn O’Malley and Daniel Mahncke.

[00:01:49] Shawn O’Malley: For those who have followed along with the investors podcast, you might know that Daniel and Kyle alternate on pitching me their favorite new stock idea each week so we can find opportunities for our intrinsic value portfolio of stocks that we manage, which I should mention if you want to check out the portfolio, it’s linked in the show notes below and updated weekly. You can also get updates on our portfolio for free by signing up for our Intrinsic Value newsletter, and you can find that in the show notes too, or just by going to theinvestorspodcast.com.

[00:02:22] Daniel Mahncke: I should mention that more often. I got a lot of questions all the time about where to actually find the portfolio that we always talk about, but there’s one more thing that we could say. So maybe you want to complete our little advertising campaign here in the beginning and bring up our New York City conference.

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