Chemistry Wealth Management LLC Invests $1.35 Million in MercadoLibre, Inc. $MELI

Key Points

• Chemistry Wealth Management purchased a new $1.35 million stake in MercadoLibre during the second quarter, acquiring 798 shares. Institutional investors collectively own 87.62% of the company.
• MercadoLibre’s latest quarter exceeded expectations, with revenue rising 49.8% year over year to $10.17 billion and earnings of $9.19 per share beating consensus estimates. However, net profit declined for a third consecutive quarter amid margin pressure, higher costs and rising nonperforming loans.
• Analysts remain generally positive, with 11 Buy ratings and six Holds producing a consensus “Moderate Buy” rating and an average price target of $2,255.33, despite several firms recently lowering their targets.

Chemistry Wealth Management LLC purchased a new stake in shares of MercadoLibre, Inc. (NASDAQ:MELI - Free Report) during the 2nd quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The fund purchased 798 shares of the company's stock, valued at approximately $1,355,000.

Other institutional investors also recently bought and sold shares of the company. Baillie Gifford & Co. lifted its holdings in shares of MercadoLibre by 4.9% during the fourth quarter. Baillie Gifford & Co. now owns 3,481,563 shares of the company's stock valued at $7,012,773,000 after purchasing an additional 164,120 shares in the last quarter. Capital Research Global Investors raised its position in MercadoLibre by 22.5% in the 4th quarter. Capital Research Global Investors now owns 2,225,031 shares of the company's stock worth $4,481,812,000 after buying an additional 408,939 shares during the last quarter. Capital International Investors raised its position in MercadoLibre by 7.3% in the 4th quarter. Capital International Investors now owns 1,725,125 shares of the company's stock worth $3,474,880,000 after buying an additional 118,018 shares during the last quarter. Price T Rowe Associates Inc. MD lifted its stake in MercadoLibre by 9.5% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 1,583,071 shares of the company's stock valued at $3,188,718,000 after acquiring an additional 137,100 shares during the period. Finally, Janus Henderson Group PLC lifted its stake in MercadoLibre by 1.7% during the 1st quarter. Janus Henderson Group PLC now owns 614,238 shares of the company's stock valued at $1,062,019,000 after acquiring an additional 10,142 shares during the period. 87.62% of the stock is owned by institutional investors.

Insider Transactions at MercadoLibre

In related news, Director Alejandro Nicolas Aguzin bought 600 shares of the business's stock in a transaction dated Friday, May 22nd. The shares were purchased at an average price of $1,655.93 per share, with a total value of $993,558.00. Following the transaction, the director owned 5,355 shares in the company, valued at $8,867,505.15. This trade represents a 12.62% increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 0.26% of the stock is currently owned by company insiders.

Wall Street Analyst Weigh In

A number of research analysts recently weighed in on MELI shares. Scotiabank lowered 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 research report on Thursday, May 7th. BTIG Research reaffirmed a "buy" rating and issued a $2,150.00 target price on shares of MercadoLibre in a research report on Thursday. Barclays decreased their target price on shares of MercadoLibre from $2,500.00 to $2,300.00 and set an "overweight" rating for the company in a research note on Monday, May 11th. Weiss Ratings reissued a "hold (c)" rating on shares of MercadoLibre in a report on Thursday, July 2nd. Finally, UBS Group dropped their price target on MercadoLibre from $2,050.00 to $1,750.00 and set a "neutral" rating on the stock 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 stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $2,255.33.

MercadoLibre News Summary

Here are the key news stories impacting MercadoLibre this week:

• Positive Sentiment: Q2 results exceeded expectations. Revenue increased 49.8% year over year to $10.17 billion, surpassing estimates of $9.79 billion, while earnings of $9.19 per share beat consensus. Growth was broad-based across commerce, fintech and advertising. MercadoLibre's Q2 Earnings Beat Estimates, Revenues Rise Y/Y
• Positive Sentiment: Engagement and ecosystem momentum remain strong. MercadoLibre surpassed $10 billion in quarterly revenue for the first time, with record payment volumes, increased unique buyers and stronger interaction between its marketplace and financial-services products. Lowering Brazil’s free-shipping threshold reportedly converted monthly shoppers into more frequent users. Mercado Libre Free Shipping Converts Monthly Shoppers Into Daily Active Users
• Positive Sentiment: Analysts remain 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. Analyst Rating and Price Target Updates
• Neutral Sentiment: Management is prioritizing long-term scale over near-term margins. Spending on free shipping, first-party inventory, credit-card issuance, artificial intelligence and lower-end customer acquisition is intended to deepen loyalty and expand MercadoLibre’s competitive moat. MercadoLibre Q2 Earnings Call Focuses on Engagement Over Margin
• Negative Sentiment: Profitability is the central concern. Margin compression, higher costs and rising nonperforming loans caused net profit to decline for a third consecutive quarter. Although management characterizes the pressure as strategic and temporary, investors appear concerned that reinvestment may take longer to translate into earnings and cash flow. MercadoLibre's Net Profit Beats Estimates Despite Third Straight Decline

MercadoLibre Trading Down 0.5%

MELI stock opened at $1,820.69 on Friday. The company has a debt-to-equity ratio of 0.63, a current ratio of 1.16 and a quick ratio of 1.14. MercadoLibre, Inc. has a 1-year low of $1,495.00 and a 1-year high of $2,548.50. The business has a 50 day simple moving average of $1,747.86 and a two-hundred day simple moving average of $1,797.03. The company has a market capitalization of $92.31 billion, a price-to-earnings ratio of 49.52, a PEG ratio of 1.12 and a beta of 1.34.

MercadoLibre (NASDAQ:MELI - Get Free Report) last issued its quarterly earnings data on Wednesday, August 5th. The company reported $9.19 earnings per share for the quarter, beating analysts' consensus estimates of $8.65 by $0.54. MercadoLibre had a return on equity of 27.60% and a net margin of 5.30%.The firm had revenue of $10.17 billion during the quarter, compared to analyst estimates of $9.79 billion. During the same quarter last year, the business posted $10.31 earnings per share. The business's quarterly revenue was up 49.8% compared to the same quarter last year. Research analysts anticipate that MercadoLibre, Inc. will post 40.69 EPS for the current fiscal year.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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