Head to Head Comparison: Pax Global Tech (OTCMKTS:PXGYF) and DLocal (NASDAQ:DLO)

Pax Global Tech (OTCMKTS:PXGYF) and DLocal (NASDAQ:DLO) are both business services companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, valuation, dividends, profitability, analyst recommendations, institutional ownership and risk.

Profitability

This table compares Pax Global Tech and DLocal’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Pax Global Tech	N/A	N/A	N/A
DLocal	16.90%	36.85%	14.87%

Earnings & Valuation

This table compares Pax Global Tech and DLocal”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Pax Global Tech	$774.67 million	0.96	$91.46 million	N/A	N/A
DLocal	$745.97 million	6.27	$120.42 million	$0.48	31.17

DLocal has lower revenue, but higher earnings than Pax Global Tech.

Insider & Institutional Ownership

90.1% of DLocal shares are owned by institutional investors. 45.4% of DLocal shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Analyst Ratings

This is a breakdown of current ratings for Pax Global Tech and DLocal, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Pax Global Tech	0	0	0	0	0.00
DLocal	0	5	5	1	2.64

DLocal has a consensus price target of $15.67, suggesting a potential upside of 4.72%. Given DLocal’s stronger consensus rating and higher probable upside, analysts clearly believe DLocal is more favorable than Pax Global Tech.

Risk and Volatility

Pax Global Tech has a beta of 0.45, meaning that its share price is 55% less volatile than the S&P 500. Comparatively, DLocal has a beta of 1.13, meaning that its share price is 13% more volatile than the S&P 500.

Summary

DLocal beats Pax Global Tech on 12 of the 13 factors compared between the two stocks.

About Pax Global Tech

PAX Global Technology Limited, an investment holding company, develops and sells electronic funds transfer point-of-sale products in Hong Kong, the People's Republic of China, the United States, and Italy. Its E-payment terminal products include smart E-payment solutions; and android smartPOS, android smart tablet, unattended payment products, PINpad, and Minipigs and mPOS. The company also develops MAXSTORE, a cloud-based Software as a Service platform that provides one-stop terminal management and valu-added services; paxRhino, a key injection service; and CyberLab, a payment application cloud test platform that provides professional one-stop online debugging and testing service. In addition, it offers payment solutions services, and maintenance and installation services. PAX Global Technology Limited was founded in 2000 and is headquartered in Wan Chai, Hong Kong.

About DLocal

DLocal Limited operates a payment processing platform worldwide. The company offers pay-in solution which the business and get paid for their products and services through various payment methods, including international and local cards, online bank transfers and direct debit, cash, and alternative payment methods. It also provides pay-out solution used for merchants to scale pay-out operations. In addition, the company offers dLocal for Platforms, an end-to-end payment solution that offers a range of services to help platforms manage payments. It serves its products to commerce, streaming, ride-hailing, financial services, advertising, SaaS, travel, e-learning, on-demand delivery, and gaming and crypto industries. DLocal Limited was founded in 2016 and is headquartered in Montevideo, Uruguay.