Forecasting The Future: 8 Analyst Projections For MercadoLibre
MercadoLibre (NASDAQ:MELI) has been analyzed by 8 analysts in the last three months, revealing a diverse range of perspectives from bullish to bearish.
The table below offers a condensed view of their recent ratings, showcasing the changing sentiments over the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 1 | 5 | 2 | 0 | 0 |
| Last 30D | 0 | 1 | 0 | 0 | 0 |
| 1M Ago | 0 | 1 | 0 | 0 | 0 |
| 2M Ago | 0 | 1 | 1 | 0 | 0 |
| 3M Ago | 1 | 2 | 1 | 0 | 0 |
In the assessment of 12-month price targets, analysts unveil insights for MercadoLibre, presenting an average target of $2884.38, a high estimate of $3100.00, and a low estimate of $2600.00. This upward trend is evident, with the current average reflecting a 9.46% increase from the previous average price target of $2635.00.
Interpreting Analyst Ratings: A Closer Look
The standing of MercadoLibre among financial experts becomes clear with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Trevor Young | Barclays | Lowers | Overweight | $3000.00 | $3100.00 |
| James Friedman | Susquehanna | Raises | Positive | $2975.00 | $2840.00 |
| Deepak Mathivanan | Cantor Fitzgerald | Lowers | Overweight | $2700.00 | $2900.00 |
| Alex Wright | Jefferies | Raises | Hold | $2800.00 | $2450.00 |
| Marcelo Santos | JP Morgan | Raises | Neutral | $2600.00 | $2250.00 |
| Irma Sgarz | Goldman Sachs | Raises | Buy | $3000.00 | $2640.00 |
| Deepak Mathivanan | Cantor Fitzgerald | Raises | Overweight | $2900.00 | $2400.00 |
| Trevor Young | Barclays | Raises | Overweight | $3100.00 | $2500.00 |
Key Insights:
- Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to MercadoLibre. This information offers a snapshot of how analysts perceive the current state of the company.
- Rating: Offering a comprehensive view, analysts assess stocks qualitatively, spanning from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of MercadoLibre compared to the broader market.
- Price Targets: Analysts explore the dynamics of price targets, providing estimates for the future value of MercadoLibre's stock. This examination reveals shifts in analysts' expectations over time.
Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of MercadoLibre's market standing. Stay informed and make data-driven decisions with our Ratings Table.
Stay up to date on MercadoLibre analyst ratings.
Delving into MercadoLibre's Background
MercadoLibre runs the largest e-commerce marketplace in Latin America, with more than 218 million active users and 1 million active sellers across 18 countries stitching into its commerce network or fintech solutions when last reported. The company operates a host of complementary businesses to its core online shop, with shipping solutions (Mercado Envios), a payment and financing operation (Mercado Pago and Mercado Credito), advertisements (Mercado Clics), classifieds, and a turnkey e-commerce solution (Mercado Shops) rounding out its arsenal. MercadoLibre generates revenue from final value fees, advertising royalties, payment processing, insertion fees, subscription fees, and interest income from consumer and small-business lending.
Financial Insights: MercadoLibre
Market Capitalization Perspectives: The company's market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.
Positive Revenue Trend: Examining MercadoLibre's financials over 3M reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 36.97% as of 31 March, 2025, showcasing a substantial increase in top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Consumer Discretionary sector.
Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 8.32%, the company showcases strong profitability and effective cost control.
Return on Equity (ROE): MercadoLibre's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 10.56% ROE, the company effectively utilizes shareholder equity capital.
Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 1.87%, the company showcases effective utilization of assets.
Debt Management: MercadoLibre's debt-to-equity ratio is notably higher than the industry average. With a ratio of 1.54, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.
The Basics of Analyst Ratings
Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.
Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.
In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.
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This article was generated by Benzinga's automated content engine and reviewed by an editor.