Assenagon Asset Management S.A. Cuts Stock Position in MercadoLibre, Inc. $MELI

Key Points

• Assenagon Asset Management cut its MercadoLibre position by 71.4% in the second quarter, selling 236,866 shares and retaining 94,687 shares valued at approximately $160.7 million.
• Other major institutions increased their holdings, and institutional investors collectively own 87.62% of MercadoLibre. Analysts maintain a “Moderate Buy” consensus, with an average price target of $2,255.33.
• MercadoLibre reported strong quarterly growth, with revenue up 49.8% to $10.17 billion and EPS of $9.19, but margin compression, elevated spending and credit-risk concerns remain key challenges for investors.

Assenagon Asset Management S.A. decreased its holdings in shares of MercadoLibre, Inc. (NASDAQ:MELI - Free Report) by 71.4% during the 2nd quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 94,687 shares of the company's stock after selling 236,866 shares during the quarter. Assenagon Asset Management S.A. owned about 0.19% of MercadoLibre worth $160,721,000 as of its most recent filing with the Securities and Exchange Commission.

Other hedge funds and other institutional investors have also made changes to their positions in the company. Capital Research Global Investors raised its position in 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 purchasing an additional 408,939 shares during the period. Norges Bank acquired a new position in shares of MercadoLibre during the fourth quarter worth about $597,045,000. Royal Bank of Canada boosted its position in shares of MercadoLibre by 114.2% in the first quarter. Royal Bank of Canada now owns 444,603 shares of the company's stock worth $768,728,000 after buying an additional 237,008 shares during the period. Marshall Wace LLP boosted 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 worth $628,083,000 after buying an additional 202,322 shares during the period. Finally, Baillie Gifford & Co. grew its stake in shares of MercadoLibre by 4.9% in the fourth quarter. Baillie Gifford & Co. now owns 3,481,563 shares of the company's stock valued at $7,012,773,000 after buying an additional 164,120 shares in the last quarter. Institutional investors and hedge funds own 87.62% of the company's stock.

Wall Street Analyst Weigh In

Several brokerages recently commented on MELI. UBS Group dropped their target price on MercadoLibre from $2,050.00 to $1,750.00 and set a "neutral" rating on the stock in a report on Wednesday, May 13th. Citigroup upped their price target on MercadoLibre from $1,950.00 to $2,000.00 and gave the stock a "neutral" rating in a report on Wednesday, July 15th. Morgan Stanley lowered their price objective on shares of MercadoLibre from $2,600.00 to $2,450.00 and set an "overweight" rating for the company in a research report on Monday, May 11th. Zacks Research raised shares of MercadoLibre from a "strong sell" rating to a "hold" rating in a research report on Monday, July 13th. Finally, JPMorgan Chase & Co. decreased their target price on shares of MercadoLibre from $2,100.00 to $1,900.00 and set a "neutral" rating for the company in a research note on Wednesday, May 13th. Eleven research analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company's stock. Based on data from MarketBeat, MercadoLibre currently has a consensus rating of "Moderate Buy" and an average target price of $2,255.33.

Trending Headlines about MercadoLibre

Here are the key news stories impacting MercadoLibre this week:

• Positive Sentiment: Q2 revenue rose 49.8% year over year to $10.17 billion, exceeding the $9.79 billion consensus estimate, while GAAP EPS of $9.19 also topped expectations. The quarter marked MercadoLibre’s first time surpassing $10 billion in quarterly revenue. Mercado Libre Q2 2026 Revenue Surpasses $10 Billion
• Positive Sentiment: Commerce and fintech engagement continued to strengthen. Lowering Brazil’s free-shipping threshold reportedly converted more monthly shoppers into daily active users, while advertising revenue climbed 73%, supporting customer acquisition and expansion into lower-income markets. Mercado Libre Free Shipping Converts Monthly Shoppers Into Daily Active Users
• Positive Sentiment: Analysts remained constructive: Cantor Fitzgerald raised its price target to $2,300 and maintained an overweight rating, while BTIG reaffirmed its buy rating with a $2,150 target.
• Neutral Sentiment: Management is prioritizing ecosystem scale and user engagement over near-term profitability, investing in free shipping, first-party inventory, credit, card issuance and artificial intelligence. The strategy could deepen MercadoLibre’s competitive moat, but its payoff depends on sustained future growth. MercadoLibre Q2 Earnings Call Focuses on Engagement Over Margin
• Negative Sentiment: Investors focused on profitability concerns: operating margin was 6.7%, and net margin was 4.6%, with reports citing roughly 550 basis points of margin contraction. Strategic spending is also pressuring cash flow, while the expanding credit portfolio brings exposure to rising nonperforming loans and regional economic headwinds.
• Negative Sentiment: Although EPS beat estimates, it declined from $10.31 a year earlier. The combination of margin compression, increased credit risk and a premium valuation has outweighed the otherwise impressive revenue growth, contributing to the stock’s decrease.

MercadoLibre Price Performance

Shares of NASDAQ MELI opened at $1,830.00 on Friday. The company has a quick ratio of 1.14, a current ratio of 1.16 and a debt-to-equity ratio of 0.63. MercadoLibre, Inc. has a fifty-two week low of $1,495.00 and a fifty-two week high of $2,548.50. The business has a 50 day moving average price of $1,745.36 and a two-hundred day moving average price of $1,796.86. The firm has a market cap of $92.78 billion, a PE ratio of 49.77, a price-to-earnings-growth ratio of 1.18 and a beta of 1.34.

MercadoLibre (NASDAQ:MELI - Get Free Report) last announced its earnings results on Wednesday, August 5th. The company reported $9.19 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $8.65 by $0.54. The company had revenue of $10.17 billion for the quarter, compared to analyst estimates of $9.79 billion. MercadoLibre had a return on equity of 27.60% and a net margin of 5.30%.MercadoLibre's quarterly revenue was up 49.8% on a year-over-year basis. During the same period in the prior year, the company posted $10.31 EPS. Sell-side analysts expect that MercadoLibre, Inc. will post 41 earnings per share for the current fiscal year.

Insider Transactions at MercadoLibre

In related news, Director Alejandro Nicolas Aguzin purchased 600 shares of the business's stock in a transaction that occurred on Friday, May 22nd. The shares were purchased at an average cost of $1,655.93 per share, with a total value of $993,558.00. Following the completion of the acquisition, the director directly owned 5,355 shares of the company's stock, valued at approximately $8,867,505.15. The trade was a 12.62% increase in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. 0.26% of the stock is owned by corporate insiders.

About MercadoLibre

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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