Summary
- MercadoLibre remains a ‘Buy’ after a 20% pullback, supported by robust revenue growth and strong fintech momentum.
- MELI posted Q3 revenue up 39% YoY, with record active buyers and expanding fintech engagement, despite margin pressures and FX headwinds.
- Valuation supports a fair price near $2,800, with a favorable risk/reward profile at current levels and a compelling growth-adjusted valuation.
- Key risks include Latin American macro volatility, FX changes, and competition, but MELI’s long-term technical uptrend signals a buying opportunity.
VioletaStoimenova/E+ via Getty Images
All eyes are on the consumer as Christmas approaches. The National Retail Federation expects YoY collecti…
Summary
- MercadoLibre remains a ‘Buy’ after a 20% pullback, supported by robust revenue growth and strong fintech momentum.
- MELI posted Q3 revenue up 39% YoY, with record active buyers and expanding fintech engagement, despite margin pressures and FX headwinds.
- Valuation supports a fair price near $2,800, with a favorable risk/reward profile at current levels and a compelling growth-adjusted valuation.
- Key risks include Latin American macro volatility, FX changes, and competition, but MELI’s long-term technical uptrend signals a buying opportunity.
VioletaStoimenova/E+ via Getty Images
All eyes are on the consumer as Christmas approaches. The National Retail Federation expects YoY collective spending to increase by between 3.7% and 4.2%, and it could be a global story. Last month, South America’s MercadoLibre (
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