BTIG Research Has Lowered Expectations for MercadoLibre (NASDAQ:MELI) Stock Price

Key Points

• BTIG Research cut its price target on MercadoLibre from $2,400 to $2,150, while keeping a buy rating. The new target still implies about 32% upside from the stock’s recent price.
• Other analysts have also turned more cautious, with several firms trimming targets and some downgrading the stock. MarketBeat says the overall consensus remains a “Moderate Buy,” with an average target price of $2,542.
• MercadoLibre’s latest earnings were mixed: revenue jumped 49% year over year to $8.85 billion, but EPS of $8.23 missed estimates. Shares fell sharply on the results and traded near their 1-year low.

MercadoLibre (NASDAQ:MELI - Get Free Report) had its price target decreased by analysts at BTIG Research from $2,400.00 to $2,150.00 in a report issued on Friday,Benzinga reports. The brokerage currently has a "buy" rating on the stock. BTIG Research's target price would suggest a potential upside of 32.03% from the company's current price.

Several other brokerages also recently weighed in on MELI. UBS Group lowered their target price on shares of MercadoLibre from $2,900.00 to $2,700.00 and set a "buy" rating on the stock in a report on Friday, February 27th. Wedbush decreased their price objective on shares of MercadoLibre from $2,600.00 to $2,400.00 and set an "outperform" rating on the stock in a report on Wednesday, February 25th. Zacks Research downgraded shares of MercadoLibre from a "hold" rating to a "strong sell" rating in a report on Wednesday, April 22nd. JPMorgan Chase & Co. downgraded shares of MercadoLibre from an "overweight" rating to a "neutral" rating and decreased their price objective for the stock from $2,650.00 to $2,100.00 in a report on Thursday, March 12th. Finally, Scotiabank decreased their price objective on shares of MercadoLibre from $3,500.00 to $2,800.00 and set a "sector outperform" rating on the stock in a report on Thursday. One investment analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, MercadoLibre currently has an average rating of "Moderate Buy" and an average target price of $2,542.00.

MercadoLibre Stock Performance

Shares of NASDAQ:MELI traded down $241.55 during midday trading on Friday, hitting $1,628.46. The stock had a trading volume of 1,921,967 shares, compared to its average volume of 547,365. The company has a market capitalization of $82.56 billion, a PE ratio of 41.28, a P/E/G ratio of 0.93 and a beta of 1.41. The stock has a 50 day moving average price of $1,755.81 and a two-hundred day moving average price of $1,967.33. The company has a current ratio of 1.17, a quick ratio of 1.15 and a debt-to-equity ratio of 0.68. MercadoLibre has a 1 year low of $1,593.21 and a 1 year high of $2,645.22.

MercadoLibre (NASDAQ:MELI - Get Free Report) last issued its earnings results on Thursday, May 7th. The company reported $8.23 earnings per share for the quarter, missing the consensus estimate of $8.75 by ($0.52). The firm had revenue of $8.85 billion during the quarter, compared to analysts' expectations of $8.29 billion. MercadoLibre had a net margin of 6.91% and a return on equity of 33.73%. The firm's revenue was up 49.0% on a year-over-year basis. During the same period in the previous year, the firm earned $9.74 EPS. As a group, equities analysts predict that MercadoLibre will post 47.84 earnings per share for the current fiscal year.

Hedge Funds Weigh In On MercadoLibre

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Capital Research Global Investors raised its position in shares of MercadoLibre by 22.5% in the fourth quarter. Capital Research Global Investors now owns 2,225,031 shares of the company's stock valued at $4,481,812,000 after buying an additional 408,939 shares during the last quarter. Assenagon Asset Management S.A. raised its position in shares of MercadoLibre by 803.4% in the fourth quarter. Assenagon Asset Management S.A. now owns 333,455 shares of the company's stock valued at $671,665,000 after buying an additional 296,543 shares during the last quarter. Norges Bank acquired a new position in shares of MercadoLibre in the fourth quarter valued at approximately $597,045,000. Marshall Wace LLP raised its position in shares of MercadoLibre by 184.8% in the fourth quarter. Marshall Wace LLP now owns 311,818 shares of the company's stock valued at $628,083,000 after buying an additional 202,322 shares during the last quarter. Finally, Flossbach Von Storch SE raised its position in shares of MercadoLibre by 1,669.4% in the third quarter. Flossbach Von Storch SE now owns 181,719 shares of the company's stock valued at $424,666,000 after buying an additional 171,449 shares during the last quarter. Institutional investors and hedge funds own 87.62% of the company's stock.

More MercadoLibre News

Here are the key news stories impacting MercadoLibre this week:

• Positive Sentiment: Q1 revenue grew 49% year‑over‑year — the fastest pace since 2022 — driven by commerce, fintech and advertising strength; that top‑line beat illustrates continuing market share gains. Business Wire Q1 Release
• Positive Sentiment: Management highlighted strategic initiatives (lowering Brazil free‑shipping threshold, Mercado Pago card rollout, first‑party selection, cross‑border trade and AI capabilities) that are already contributing to growth and could lift longer‑term revenue and margins. Seeking Alpha — AI upside
• Neutral Sentiment: Earnings call and full transcript are available for investors to parse detail on unit economics, classifications of investment spend and timing of margin recovery. Use the transcript to assess whether growth investments are translating to sustainable returns. Earnings Call Transcript
• Negative Sentiment: EPS missed expectations (reported $8.23 vs. consensus ~ $8.75), which overshadowed the revenue beat and triggered an extended trading selloff — investors penalized the miss because it signals margin pressure from ongoing investments. Yahoo Finance — Earnings Miss
• Negative Sentiment: Analyst moves: Daiwa downgraded MELI from Buy to Hold with a $1,800 target, and other houses trimmed price targets (e.g., Scotiabank lowered its target), reflecting increased near‑term uncertainty around profit recovery — these notes can weigh on sentiment until investors see margin improvement. (Daiwa/Scotiabank updates cited in media coverage.)

MercadoLibre Company Profile

MercadoLibre, Inc operates an integrated e-commerce and fintech ecosystem serving consumers and businesses across Latin America. The company provides an online marketplace that connects buyers and sellers for a wide range of goods and services, supported by tools for merchants, advertising, and classifieds. Over time MercadoLibre has expanded beyond its marketplace roots into complementary areas that support digital commerce end to end.

Key offerings include its marketplace platform and a suite of logistics and payment services.

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