Dala Group LLC Purchases New Position in MercadoLibre, Inc. $MELI

Key Points

• Dala Group LLC purchased 1,700 MercadoLibre shares valued at approximately $2.99 million, making the stock its ninth-largest portfolio holding at 2.5%.
• Institutional ownership remains high at 87.62%, with several major investors—including Royal Bank of Canada and Marshall Wace—recently increasing their positions.
• Analysts maintain a generally positive outlook, with MercadoLibre receiving a consensus “Moderate Buy” rating and an average price target of $2,258.67, despite the company missing quarterly EPS estimates while reporting 49% year-over-year revenue growth.

Dala Group LLC purchased a new stake in MercadoLibre, Inc. (NASDAQ:MELI - Free Report) during the 1st quarter, according to its most recent Form 13F filing with the SEC. The institutional investor purchased 1,700 shares of the company's stock, valued at approximately $2,992,000. MercadoLibre accounts for about 2.5% of Dala Group LLC's portfolio, making the stock its 9th biggest position.

Several other hedge funds have also recently bought and sold shares of the stock. Capital Research Global Investors grew 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 purchasing an additional 408,939 shares during the last quarter. Norges Bank acquired a new stake in MercadoLibre during the 4th quarter worth approximately $597,045,000. Royal Bank of Canada lifted its holdings in MercadoLibre by 114.2% during the 1st quarter. Royal Bank of Canada now owns 444,603 shares of the company's stock worth $768,728,000 after purchasing an additional 237,008 shares during the last quarter. Marshall Wace LLP boosted its stake in MercadoLibre by 184.8% in the 4th quarter. Marshall Wace LLP now owns 311,818 shares of the company's stock valued at $628,083,000 after purchasing an additional 202,322 shares during the period. Finally, Baillie Gifford & Co. boosted its stake in MercadoLibre by 4.9% in the 4th 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 during the period. 87.62% of the stock is currently owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

A number of brokerages have commented on MELI. JPMorgan Chase & Co. decreased their price objective on MercadoLibre from $2,100.00 to $1,900.00 and set a "neutral" rating on the stock in a report on Wednesday, May 13th. The Goldman Sachs Group set a $2,100.00 target price on MercadoLibre in a report on Wednesday, May 13th. BTIG Research reissued a "buy" rating and issued a $2,150.00 target price on shares of MercadoLibre in a research report on Tuesday, June 2nd. Citigroup upped their price target on shares of MercadoLibre from $1,950.00 to $2,000.00 and gave the company a "neutral" rating in a research note on Wednesday, July 15th. Finally, Weiss Ratings restated a "hold (c)" rating on shares of MercadoLibre in a research note on Thursday, July 2nd. One analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating and six have assigned a Hold rating to the stock. According to MarketBeat.com, MercadoLibre currently has an average rating of "Moderate Buy" and a consensus price target of $2,258.67.

MercadoLibre Trading Down 0.4%

Shares of NASDAQ:MELI opened at $1,877.95 on Friday. The company has a market capitalization of $95.21 billion, a P/E ratio of 49.56, a P/E/G ratio of 1.16 and a beta of 1.35. MercadoLibre, Inc. has a 1 year low of $1,495.00 and a 1 year high of $2,548.50. The company has a debt-to-equity ratio of 0.63, a current ratio of 1.16 and a quick ratio of 1.14. The business's 50 day simple moving average is $1,728.64 and its 200 day simple moving average is $1,804.99.

MercadoLibre (NASDAQ:MELI - Get Free Report) last posted its quarterly earnings data on Thursday, May 7th. The company reported $8.23 EPS for the quarter, missing analysts' consensus estimates of $8.75 by ($0.52). The company had revenue of $8.85 billion for the quarter, compared to the consensus estimate of $8.29 billion. MercadoLibre had a return on equity of 29.58% and a net margin of 6.04%.MercadoLibre's revenue was up 49.0% on a year-over-year basis. During the same quarter last year, the business earned $9.74 EPS. On average, research analysts anticipate that MercadoLibre, Inc. will post 41 EPS for the current fiscal year.

Insider Activity

In related news, Director Alejandro Nicolas Aguzin purchased 600 shares of the firm's stock in a transaction that occurred on Friday, May 22nd. The shares were bought at an average price of $1,655.93 per share, for a total transaction of $993,558.00. Following the completion of the transaction, the director owned 5,355 shares of the company's stock, valued at approximately $8,867,505.15. This trade represents a 12.62% increase in their ownership of the stock. The purchase was disclosed in a document filed with the SEC, which is available through this link. Company insiders own 0.26% of the company's stock.

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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