MercadoLibre Inc

MercadoLibre Inc

MELI

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Market Cap$85.96B
Close$

Compare to Similar Companies

P/E RatioDividendsReturn on EquityPrice-to-SalesDebt-to-Equity
MercadoLibre IncMercadoLibre Inc44.8-26%2.70.5

Earnings Call Q1 2026

May 7, 2026 - AI Summary

Strong Q1 2026 growth + clear “invest-to-grow” margin posture - Net revenue +49% YoY (management calls it the strongest growth since Q2 2022). - Income from operations: $611m, 6.9% margin; CFO/IR emphasize this margin level is a *deliberate* outcome of investing in commerce + fintech rather than optimizing short-term profitability. - Near-term outlook on margin: they explicitly said the “dial”/margin level is unlikely to materially change in the near term because investment intensity is expected to remain broadly similar.
Brazil commerce engine: free shipping threshold + logistics efficiency driving accelerating demand - Brazil delivered standout commerce: GMV +38% YoY, items sold +56% YoY (seller/consumer engagement improving; items growth “more than double” prior to the free-shipping change). - Free shipping penetration hit a record, and cost per shipment down 17% YoY (local currency)—management frames this as demand-driven unit cost improvement. - Challenges/risks acknowledged: potential macro/logistics cost pressures (energy, labor, oil); so far they did not see material P&L impact in Q1, but said energy-related logistics costs may be passed through more in Q2 and will be monitored month-by-month.
Brazil & broader marketplaces: targeted take-rate cuts for sellers to protect buyer value - They lowered take rates only in specific categories/price ranges (not platform-wide), tied to merchants maintaining competitive pricing—aim: improve seller supply + buyer value consistency. - Rationale: prior targeted take-rate reductions already correlated with stronger outcomes (e.g., unique buyers +62%, GMV even faster; listings/sellers at record levels). - Timing note: these seller take-rate changes were implemented toward end of Q1, so they didn’t flow through Q1 P&L; effects expected in Q2.

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$2220.83

Target Price by Analysts

35.5% upsideMercadoLibre Target Price DetailsTarget Price
$5141.72

Current Fair Value

213.8% upside

Undervalued by 213.8% based on the discounted cash flow analysis.

Share Statistics

Market cap$85.96 Billion
Enterprise Value$74.54 Billion
Dividend Yield$- (-)
Earnings per Share$39.39
Beta1.41
Outstanding Shares50,697,000

Return

Return on Equity26.37%ROE
Return on Assets4.09%
Return on Invested Capital14.94%

Valuation & Multiples

P/E Ratio44.77P/E Ratio
PEG-287.25PEG
Price to Sales2.71Price to Sales
Price to Book Ratio11.46Price to Book Ratio
Enterprise Value to Revenue2.43
Enterprise Value to EBIT33.34
Enterprise Value to Net Income38
Total Debt to Enterprise0.05
Debt to Equity0.51Debt to Equity

Revenue Sources

No data

Insider Trades

Last Earnings Call

Report Date
May 7, 2026
EPS Estimate
$8.75
Average shareholder expectation
Revenue Estimate
$8.29 B
Average shareholder expectation

Next Earnings Call

Expected Date
August 3, 2026
EPS Estimate
$11.17
Average shareholder expectation
Revenue Estimate
$9.27 B
Average shareholder expectation

Institutional Put/Call Ratio

Market sentiment based on institutional option activity.

Put/Call Ratio0.9449 19.68%
Total Calls1,458,026 23.07%
Total Puts1,377,701 1.85%

Institutional Ownership

Holdings and activity of institutional investors.

Ownership %74.76% 4.29%
Total Invested$92.07B 17.88%
Investors Holding1,494 92.00%

ESG Score

No data

About MercadoLibre Inc

15,500 employees
CEO: Marcos Galperin

Founded in 1999, MercadoLibre is the largest online commerce ecosystem in Latin America, serving as an integrated regional platform and as a provider of the necessary online and technology-based tools that allow businesses and individual...

Relevant Senate Committees

Joint Committee on Taxation

This committee directly influences US corporate tax structures and capital investment policies through its expert analysis and 'scoring' of tax legislation, which can significantly impact MercadoLibre's financial planning and profitability, especially concerning international tax considerations.

Finance

This committee's control over US taxation, trade policy, and international economic relations directly impacts the corporate tax burden, cross-border commerce rules, and overall economic environment for a global company like MercadoLibre.

Agriculture, Nutrition, and Forestry

This committee's oversight of the CFTC and its role in defining cryptocurrencies as digital commodities is highly relevant to MercadoLibre's fintech operations, particularly Mercado Pago, and its potential involvement with digital assets.

Judiciary

This committee's oversight of antitrust laws and intellectual property, especially concerning large technology companies, could directly impact MercadoLibre's potential M&A activities, competitive practices, and software IP protections globally.

Banking, Housing, and Urban Affairs

This committee's direct regulation of the financial system, including payment systems, cryptocurrency, and overall banking, is highly relevant to MercadoLibre's significant fintech operations (Mercado Pago) and could influence global regulatory standards.

Commerce, Science, and Transportation

This committee's jurisdiction over interstate commerce, technology, data privacy, and antitrust laws directly impacts 'Big Tech' companies, including e-commerce and software platforms like MercadoLibre, potentially influencing global regulatory trends and US market access.