Cantor Fitzgerald Predicts Reduced Earnings for MercadoLibre

Key Points

• Cantor Fitzgerald has revised its FY2025 earnings per share (EPS) estimate for MercadoLibre down to $42.72, from a previous estimate of $44.67, while maintaining an "Overweight" rating and a price target of $2,700.00.
• MercadoLibre recently reported quarterly earnings of $10.31 EPS, missing the consensus estimate of $12.01 but achieved revenue of $6.79 billion, surpassing expectations.
• The company's stock has seen significant institutional investment, with 87.62% of its shares owned by large investors, indicating a strong interest in its growth potential.

MercadoLibre, Inc. (NASDAQ:MELI - Free Report) - Equities researchers at Cantor Fitzgerald cut their FY2025 earnings per share (EPS) estimates for shares of MercadoLibre in a report issued on Tuesday, August 5th. Cantor Fitzgerald analyst D. Mathivanan now anticipates that the company will post earnings of $42.72 per share for the year, down from their previous forecast of $44.67. Cantor Fitzgerald has a "Overweight" rating and a $2,700.00 price objective on the stock. The consensus estimate for MercadoLibre's current full-year earnings is $43.96 per share.

Several other brokerages have also weighed in on MELI. Barclays decreased their target price on shares of MercadoLibre from $3,100.00 to $3,000.00 and set an "overweight" rating on the stock in a research report on Wednesday, July 23rd. Benchmark reaffirmed a "buy" rating and set a $2,875.00 price objective on shares of MercadoLibre in a report on Tuesday. Scotiabank initiated coverage on MercadoLibre in a report on Monday, July 28th. They issued a "sector outperform" rating and a $3,500.00 target price for the company. Susquehanna restated a "positive" rating and set a $2,975.00 target price (up previously from $2,840.00) on shares of MercadoLibre in a research report on Thursday, June 26th. Finally, Jefferies Financial Group reaffirmed a "hold" rating and issued a $2,800.00 price target on shares of MercadoLibre in a research note on Tuesday. Three equities research analysts have rated the stock with a hold rating, fourteen have issued a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $2,795.00.

MercadoLibre Stock Performance

MercadoLibre stock traded up $18.88 on Wednesday, hitting $2,353.70. The company's stock had a trading volume of 303,477 shares, compared to its average volume of 345,695. MercadoLibre has a one year low of $1,646.00 and a one year high of $2,645.22. The firm has a market cap of $119.33 billion, a P/E ratio of 58.13, a price-to-earnings-growth ratio of 1.43 and a beta of 1.46. The company has a quick ratio of 1.18, a current ratio of 1.20 and a debt-to-equity ratio of 0.61. The company has a fifty day moving average price of $2,437.60 and a 200-day moving average price of $2,241.91.

MercadoLibre (NASDAQ:MELI - Get Free Report) last issued its earnings results on Monday, August 4th. The company reported $10.31 EPS for the quarter, missing the consensus estimate of $12.01 by ($1.70). MercadoLibre had a return on equity of 43.06% and a net margin of 8.52%. The firm had revenue of $6.79 billion during the quarter, compared to the consensus estimate of $6.57 billion. During the same period last year, the business earned $10.48 earnings per share. The firm's revenue for the quarter was up 33.8% compared to the same quarter last year.

Institutional Trading of MercadoLibre

Several hedge funds have recently modified their holdings of the stock. Summitry LLC boosted its holdings in MercadoLibre by 19.3% in the second quarter. Summitry LLC now owns 192 shares of the company's stock valued at $502,000 after acquiring an additional 31 shares during the last quarter. Kingsview Wealth Management LLC lifted its position in MercadoLibre by 6.3% during the 2nd quarter. Kingsview Wealth Management LLC now owns 504 shares of the company's stock valued at $1,317,000 after purchasing an additional 30 shares during the period. Citizens Financial Group Inc. RI lifted its position in MercadoLibre by 20.0% during the 2nd quarter. Citizens Financial Group Inc. RI now owns 144 shares of the company's stock valued at $377,000 after purchasing an additional 24 shares during the period. Cercano Management LLC bought a new position in shares of MercadoLibre in the 2nd quarter valued at about $15,217,000. Finally, Avantax Advisory Services Inc. grew its position in shares of MercadoLibre by 3.7% during the 2nd quarter. Avantax Advisory Services Inc. now owns 2,233 shares of the company's stock worth $5,835,000 after buying an additional 79 shares during the period. 87.62% of the stock is owned by institutional investors.

About MercadoLibre

MercadoLibre, Inc operates online commerce platforms in the United States. It operates Mercado Libre Marketplace, an automated online commerce platform that enables businesses, merchants, and individuals to list merchandise and conduct sales and purchases digitally; and Mercado Pago FinTech platform, a financial technology solution platform, which facilitates transactions on and off its marketplaces by providing a mechanism that allows its users to send and receive payments online, as well as allows users to transfer money through their websites or on the apps.