HSBC analyst Neha Agarwala lowered the firm’s price target on DLocal to $19 from $32 and keeps a Buy rating on the shares. After management refuted allegations made by Muddy Waters following an internal investigation, the analyst said conversations with investors suggested that the lack of an issuance of a public rebuttal had frustrated most investors, so the company’s statement "should pacify some of those concerns." In addition, the share buyback program should instill confidence, but "regaining market trust will take time and consistent performance," Agarwala added.
Published first on TheFly
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