Report
Soomit Datta
EUR 9605.00 For Business Accounts Only

ADYEN (Neutral, TP: EUR1,250, +12%) DLO US (Buy, TP: $24, +35%) Payments: EM vs DM - Upgrade dLocal to Buy / Stay Neutral on Adyen

Following a rollercoaster 2023 for Adyen we have reviewed our estimates (margins up in the mid-term) and valuation (not so cheap), seeing the stock as supported at these levels but lacking catalysts for the foreseeable future; earnings upgrades could come in 2025/26. By way of comparison we line up an Emerging Market counterpart, dLocal, to compare with Adyen's largely DM model.
Underlyings
Adyen NV

Adyen NV, formerly Adyen BV, is provider of mobile, online and point-of-sale (POS) payment solutions based in the Netherlands. It operates an online platform enabling merchants to accept payments internationally and from all sales channels, such as online shops, mobile payments from applications and Websites, and POS, such as countertops, mobile terminals, tablets and cash registers, among others. The platform covers the entire payment chain, including technical, contractual, reconciliation and settlement processes. The platform is available in the form of ready-to-use payment pages (HPP), application programming interface (API), and client-side encryption solution (EE). The Company's customers include Mango, KLM, Netflix, Superdry, Uber, Groupon and Crocs, among others. It has offices in the Netherlands, the United Kingdom, France, Germany, Belgium, Brazil, China, Australia, Mexico, Singapore, Spain, Sweden and the United States.

DLOCAL LTD

Provider
New Street Research
New Street Research

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Analysts
Soomit Datta

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