10 Best Under-the-Radar Stocks to Buy Now

5. DLocal Limited (NASDAQ:DLO)

Institutional Ownership: 12.62%

No. of Hedge Funds: 19

DLocal Limited (NASDAQ:DLO), located in Uruguay, provides cross-border payment solutions connecting global merchants to emerging market consumers. The company serves digital platforms; hence, its customer base comprises sectors like e-commerce, travel, and streaming. It offers a single API for collections and disbursements across Latin America, Asia, and Africa. The company distinguishes itself from its competitors using its local payment network coverage and rapid integration capabilities. With a scalable infrastructure, the company’s growth continues to increase in underbanked regions alongside emerging digital commerce users.

DLocal Limited (NASDAQ:DLO) recorded a 45% year-over-year increase in its total payment volume in 2024. However, this was followed by a decline in gross profit in its largest markets, Brazil and Mexico. Currency devaluations in some regions, like Nigeria, further made an impact on the company’s revenue growth. On the other hand, there is a notable expansion in the team, with 194 new talents recruited into the company. Technology and product development are receiving increased attention from this expansion, as the company sees them as necessary to move forward. Twenty new payment methods for pay-ins and seven for payouts were introduced by the company, and securing nine new licenses globally has increased projections for 2025 revenue to $1 billion.

Institutional ownership for DLocal Limited (NASDAQ:DLO) stands at 12.62%, with 19 hedge funds showing interest in the stock, as per Insider Monkey’s Q4 2024 database. Such low visibility suggests that the stock could be one of the more promising quiet picks for investors today.