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MercadoLibre, Inc. (MELI) Stock Analysis

SellModerate Confidence

Consumer Cyclical · Internet Retail

MercadoLibre, Inc. operates online commerce platforms in Brazil, Mexico, Argentina, and internationally. The company operates Mercado Libre Marketplace, an online commerce platform that can be accessed through mobile app or website; and Mercado Pago, a financial technology... Read more

$1639.47+34.6% upside
Score 5.4/10Target $2206.47Reward/Risk 6.9:1

TrendMatrix rates MercadoLibre, Inc. (MELI) as Sell with moderate confidence. The stock trades at $1639.47 with +34.6% upside to the $2206.47 price target. Overall score: 5.4/10 across 10 analysis dimensions. Reward/risk ratio: 6.9:1.

Passes 3/5 gates (favorable risk/reward ratio, clean insider activity, no SEC red flags). Fails on weak momentum and death cross (50MA < 200MA). Suitability: aggressive.

Val6.2Qual4.5Grw5.0Mom3.3Sent8.0Ins6.7Peer4.7Tech6.1Risk6.25.4OVERALL

Investment Thesis

+ Sector modifier (): +1.2
+ Analyst upside: 35%
- V7 low-quality RISK_OFF penalty: -0.5 (Q=4.5)
- Leverage penalty (D/E 1.7): -1.0
- Consecutive earnings misses (3)

Fundamentals

P/E (TTM)41.4
P/E (Fwd)21.5
Mkt Cap$82.4B
EV/EBITDA22.3
Profit Mgn6.9%
ROE36.0%
Rev Growth44.6%
Beta1.53
DividendNone
Analysts31
Frequently Asked Questions
Is MELI stock a buy right now?

TrendMatrix rates MercadoLibre, Inc. (MELI) as Sell with moderate confidence. Score 5.4/10.

What is the MELI stock price target?

Take-profit target: $2206.47 (+34.6% upside). Reward/risk ratio: 6.9:1. Stop-loss: $1558.02.

What are the risks of investing in MELI?

V7 low-quality RISK_OFF penalty: -0.5 (Q=4.5); Leverage penalty (D/E 1.7): -1.0; Consecutive earnings misses (3).

Is MELI overvalued or undervalued?

MercadoLibre, Inc. trades at a P/E of 41.4 (forward 21.5). TrendMatrix value score: 6.2/10. Verdict: Sell.

What do analysts say about MELI?

31 analysts cover MELI with a consensus score of 4.2/5. Average price target: $2596.

What does MercadoLibre, Inc. do?MercadoLibre, Inc. operates online commerce platforms in Brazil, Mexico, Argentina, and internationally. The company...

MercadoLibre, Inc. operates online commerce platforms in Brazil, Mexico, Argentina, and internationally. The company operates Mercado Libre Marketplace, an online commerce platform that can be accessed through mobile app or website; and Mercado Pago, a financial technology solution platform, which offers comprehensive set of financial technology services to users and other users of its e-commerce platform. It also provides Mercado Fondo that allows users to invest funds deposited in their Mercado Pago accounts; Mercado Credito, which grants loans and obtains better funding alternatives; and Mercado Mercado Envios that facilitates the shipping of goods from the Company and sellers to buyers. In addition, the company provides Mercado Libre Classifieds, where users can list vehicles, properties, and services; Mercado Ads, an advertising platform, which enables retailers and brands to promote their products and services on the platform. MercadoLibre, Inc. was incorporated in 1999 and is headquartered in Montevideo, Uruguay.

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34 NEUTRAL
<20d<50d<200dDEATH CROSSSupp $1606.21Res $1810.62

Price Targets

$1558
$2206
Upside+34.6%
Reward/Risk6.9:1

Position Sizing

ConvictionNONE
Suggested %0.5%
Max %1%
RegimeRISK_OFF

Risk Alerts

! MOMENTUM:3.3<5.0
! DEATH_CROSS:HARD_BLOCK
Suitability: Aggressive
Risk/Reward 6.9>=2.0
Insider activity: OK
No SEC red flags
Momentum 3.3<5.0
Death cross (50MA < 200MA)