(MELI) MercadoLibre - Overview
Sector: Consumer Cyclical | Industry: Internet Retail | Exchange: NASDAQ (USA) | Market Cap: 85.065m USD | Total Return: -34.9% in 12m
Avg Turnover: 858M
EPS Trend: 92.3%
Qual. Beats: -1
Rev. Trend: 100.0%
Qual. Beats: 2
Warnings
No concerns identified
Tailwinds
No distinct edge detected
MercadoLibre, Inc. operates the dominant e-commerce and fintech ecosystem in Latin America, primarily serving Brazil, Mexico, and Argentina. The company’s business model integrates a third-party marketplace with a proprietary logistics network, Mercado Envios, and a comprehensive financial services suite under the Mercado Pago brand.
The company functions as a diversified digital platform, providing credit facilities through Mercado Credito and advertising solutions via Mercado Ads. In the Broadline Retail sector, this integrated flywheel approach is designed to increase user retention by linking online shopping directly with digital payment processing and asset management.
Investors can further evaluate these operational segments and valuation metrics on ValueRay. MercadoLibre remains a central infrastructure provider for the digital economy in emerging markets, benefiting from increasing internet penetration and the shift away from cash-based transactions in its core geographic regions.
- Mercado Pago fintech volume growth drives ecosystem monetization and margin expansion
- Logistics infrastructure investments enhance shipping speed and lower fulfillment costs
- Brazilian and Mexican consumer spending levels dictate regional e-commerce revenue growth
- Higher interest rates in Latin America impact Mercado Credito loan performance
- Currency devaluation in Argentina and Brazil creates significant foreign exchange headwinds
| Net Income: 1.92b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.23 > 0.02 and ΔFCF/TA -0.18 > 1.0 |
| NWC/Revenue: 16.21% < 20% (prev 16.42%; Δ -0.22% < -1%) |
| CFO/TA 0.25 > 3% & CFO 11.9b > Net Income 1.92b |
| Net Debt (-9.56b) to EBITDA (3.35b): -2.85 < 3 |
| Current Ratio: 1.16 > 1.5 & < 3 |
| Outstanding Shares: last quarter (50.7m) vs 12m ago -0.00% < -2% |
| Gross Margin: 43.86% > 18% (prev 0.46%; Δ 4.34k% > 0.5%) |
| Asset Turnover: 85.24% > 50% (prev 80.84%; Δ 4.40% > 0%) |
| Interest Coverage Ratio: 14.14 > 6 (EBITDA TTM 3.35b / Interest Expense TTM 174.0m) |
| A: 0.11 (Total Current Assets 37.1b - Total Current Liabilities 32.0b) / Total Assets 46.9b |
| B: 0.13 (Retained Earnings 6.23b / Total Assets 46.9b) |
| C: 0.07 (EBIT TTM 2.46b / Avg Total Assets 37.3b) |
| D: 0.15 (Book Value of Equity 5.82b / Total Liabilities 39.7b) |
| Altman-Z'' = 1.75 = BBB |
| DSRI: 0.02 (Receivables 370.0m/11.3b, Revenue 31.8b/22.4b) |
| GMI: 1.05 (GM 43.86% / 46.13%) |
| AQI: 0.95 (AQ_t 0.11 / AQ_t-1 0.11) |
| SGI: 1.42 (Revenue 31.8b / 22.4b) |
| TATA: -0.21 (NI 1.92b - CFO 11.9b) / TA 46.9b) |
| Beneish M = -3.73 (Cap -4..+1) = AAA |
As of May 25, 2026, the stock is trading at USD 1664.42 with a total of 399,385 shares traded.
Over the past week, the price has changed by +7.60%,
over one month by -9.31%,
over three months by -13.43% and
over the past year by -34.86%.
MercadoLibre has received a consensus analysts rating of 4.40. Therefore, it is recommended to buy MELI.
- StrongBuy: 15
- Buy: 6
- Hold: 3
- Sell: 1
- StrongSell: 0
| Analysts Target Price | 2230.3 | 34% |
P/E Trailing = 44.2484
P/E Forward = 32.5733
P/S = 2.6747
P/B = 11.6831
P/EG = 1.0342
Revenue TTM = 31.8b USD
EBIT TTM = 2.46b USD
EBITDA TTM = 3.35b USD
Long Term Debt = 4.54b USD (from longTermDebt, last quarter)
Short Term Debt = 472.0m USD (from shortTermDebt, last quarter)
Debt = 7.55b USD (corrected: LT Debt 4.54b + ST Debt 472.0m) + Leases 2.54b
Net Debt = -9.56b USD (calculated: Debt 7.55b - CCE 17.1b)
Enterprise Value = 75.5b USD (85.1b + Debt 7.55b - CCE 17.1b)
Interest Coverage Ratio = 14.14 (Ebit TTM 2.46b / Interest Expense TTM 174.0m)
EV/FCF = 7.05x (Enterprise Value 75.5b / FCF TTM 10.7b)
FCF Yield = 14.18% (FCF TTM 10.7b / Enterprise Value 75.5b)
FCF Margin = 33.67% (FCF TTM 10.7b / Revenue TTM 31.8b)
Net Margin = 6.04% (Net Income TTM 1.92b / Revenue TTM 31.8b)
Gross Margin = 43.86% ((Revenue TTM 31.8b - Cost of Revenue TTM 17.9b) / Revenue TTM)
Gross Margin QoQ = 43.66% (prev 43.20%)
Tobins Q-Ratio = 1.61 (Enterprise Value 75.5b / Total Assets 46.9b)
Interest Expense / Debt = 2.30% (Interest Expense 174.0m / Debt 7.55b)
Taxrate = 27.98% (162.0m / 579.0m)
NOPAT = 1.77b (EBIT 2.46b * (1 - 27.98%))
Current Ratio = 1.16 (Total Current Assets 37.1b / Total Current Liabilities 32.0b)
Debt / Equity = 1.04 (Debt 7.55b / totalStockholderEquity, last quarter 7.28b)
Debt / EBITDA = -2.85 (Net Debt -9.56b / EBITDA 3.35b)
Debt / FCF = -0.89 (Net Debt -9.56b / FCF TTM 10.7b)
Total Stockholder Equity = 6.49b (last 4 quarters mean from totalStockholderEquity)
RoA = 5.15% (Net Income 1.92b / Total Assets 46.9b)
RoE = 29.58% (Net Income TTM 1.92b / Total Stockholder Equity 6.49b)
RoCE = 22.31% (EBIT 2.46b / Capital Employed (Equity 6.49b + L.T.Debt 4.54b))
RoIC = 11.56% (NOPAT 1.77b / Invested Capital 15.3b)
WACC = 7.58% (E(85.1b)/V(92.6b) * Re(8.11%) + D(7.55b)/V(92.6b) * Rd(2.30%) * (1-Tc(0.28)))
Discount Rate = 8.11% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -17.16 | Cagr: -0.00%
[DCF] Terminal Value 77.97% ; FCFF base≈8.97b ; Y1≈10.3b ; Y5≈15.1b
[DCF] Fair Price = 4.68k (EV 228b - Net Debt -9.56b = Equity 237b / Shares 50.7m; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 92.35 | EPS CAGR: 44.15% | SUE: -1.31 | # QB: -1
Revenue Correlation: 99.96 | Revenue CAGR: 39.43% | SUE: 2.22 | # QB: 2
EPS current Quarter (2026-06-30): EPS=9.01 | Chg30d=-24.89% | Revisions=-67% | Analysts=9
EPS next Quarter (2026-09-30): EPS=9.54 | Chg30d=-28.11% | Revisions=-67% | Analysts=9
EPS current Year (2026-12-31): EPS=41.08 | Chg30d=-17.76% | Revisions=-78% | GrowthEPS=+4.3% | GrowthRev=+39.5%
EPS next Year (2027-12-31): EPS=58.63 | Chg30d=-16.11% | Revisions=-68% | GrowthEPS=+42.7% | GrowthRev=+25.5%
[Analyst] Revisions Ratio: -78%