Dnca Finance Trims Stock Position in MercadoLibre, Inc. $MELI

Key Points

• DNCA Finance trimmed its MercadoLibre stake by 12.4% in Q3, selling 828 shares and ending the period with 5,859 shares valued at $13,692,000.
• Institutional ownership of MercadoLibre is high at 87.62%, and several other funds either added new positions or materially increased holdings during the quarter.
• Analysts' consensus is a Moderate Buy with an average target of $2,725.33, but multiple firms (including Morgan Stanley, UBS and JPMorgan) cut price targets or downgraded the stock amid an EPS miss, margin concerns and MercadoLibre’s planned ~$3.4B Argentina investment that could pressure near‑term profitability.

Dnca Finance trimmed its holdings in MercadoLibre, Inc. (NASDAQ:MELI - Free Report) by 12.4% in the 3rd quarter, according to its most recent disclosure with the SEC. The firm owned 5,859 shares of the company's stock after selling 828 shares during the period. Dnca Finance's holdings in MercadoLibre were worth $13,692,000 at the end of the most recent quarter.

Other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. Highview Capital Management LLC DE purchased a new position in MercadoLibre during the second quarter worth about $559,000. Weitz Investment Management Inc. purchased a new stake in shares of MercadoLibre in the 3rd quarter valued at approximately $8,647,000. Barlow Wealth Partners Inc. raised its stake in shares of MercadoLibre by 126.7% in the 3rd quarter. Barlow Wealth Partners Inc. now owns 11,505 shares of the company's stock valued at $26,886,000 after acquiring an additional 6,429 shares during the period. Massachusetts Financial Services Co. MA lifted its holdings in shares of MercadoLibre by 14.3% in the 3rd quarter. Massachusetts Financial Services Co. MA now owns 86,699 shares of the company's stock worth $202,610,000 after acquiring an additional 10,849 shares during the last quarter. Finally, Principal Financial Group Inc. lifted its holdings in shares of MercadoLibre by 18.7% in the 3rd quarter. Principal Financial Group Inc. now owns 48,103 shares of the company's stock worth $112,414,000 after acquiring an additional 7,570 shares during the last quarter. Institutional investors and hedge funds own 87.62% of the company's stock.

Wall Street Analysts Forecast Growth

Several research firms recently weighed in on MELI. Morgan Stanley dropped their target price on shares of MercadoLibre from $2,800.00 to $2,600.00 and set an "overweight" rating for the company in a report on Monday, March 9th. UBS Group decreased their price target on MercadoLibre from $2,900.00 to $2,700.00 and set a "buy" rating on the stock in a research note on Friday, February 27th. Weiss Ratings lowered MercadoLibre from a "buy (b-)" rating to a "hold (c+)" rating in a research report on Thursday, January 8th. JPMorgan Chase & Co. cut MercadoLibre from an "overweight" rating to a "neutral" rating and dropped their price objective for the company from $2,650.00 to $2,100.00 in a research note on Thursday. Finally, Cantor Fitzgerald cut their price objective on MercadoLibre from $2,750.00 to $2,400.00 and set an "overweight" rating on the stock in a report on Wednesday, February 25th. One research analyst has rated the stock with a Strong Buy rating, fourteen have issued a Buy rating and four have assigned a Hold rating to the stock. According to data from MarketBeat, MercadoLibre presently has an average rating of "Moderate Buy" and an average target price of $2,725.33.

MercadoLibre News Summary

Here are the key news stories impacting MercadoLibre this week:

• Positive Sentiment: Analysts and commentators still point to MELI’s long track record of “monster” growth and say the stock looks cheaper on valuation metrics versus its historical multiple, which supports a longer‑term recovery thesis. The Latin American Stock Delivering Monster Growth at a Record-Low Valuation
• Neutral Sentiment: Consensus analyst positioning remains skewed positive (many buy/strong‑buy ratings and a substantially higher consensus price target), creating a potential catalyst for a rebound if sentiment stabilizes — but that gap also highlights downside risk while catalysts play out. MercadoLibre’s $2,100 Price Target: Can MELI Recover From Its 17% Monthly Slide?
• Negative Sentiment: JPMorgan downgraded MELI from Overweight to Neutral and cut its price target (from $2,650 to $2,100), explicitly flagging margin pressures and reducing its bullish stance — a primary driver of the recent selloff. MercadoLibre (MELI) Stock Plummets 7% as JPMorgan Abandons Bullish Stance
• Negative Sentiment: MercadoLibre’s plan to invest ~$3.4B in Argentina (expanding logistics, fintech and hiring) is growth‑oriented but raises near‑term margin and cash‑flow concerns; investors are weighing capex upside vs immediate profit pressure. MercadoLibre’s Argentina Bet Expands Logistics And Fintech But Tests Margins
• Negative Sentiment: Macro/geopolitical risk (intensifying U.S.‑Israeli conflict with Iran) has hit growth names and specifically pressured MELI shares in recent sessions as investors move to de‑risk. Why MercadoLibre (MELI) Shares Are Sliding Today
• Negative Sentiment: Short‑term sentiment also reflects recent earnings dynamics (an EPS miss vs. estimates despite strong revenue growth) and analysts’ margin concerns, magnifying downside after the downgrade and headlines. Here's Why MercadoLibre (MELI) Fell More Than Broader Market

MercadoLibre Price Performance

Shares of MELI opened at $1,670.00 on Friday. MercadoLibre, Inc. has a fifty-two week low of $1,631.18 and a fifty-two week high of $2,645.22. The firm's 50 day moving average price is $1,996.22 and its 200 day moving average price is $2,119.50. The company has a market cap of $84.67 billion, a P/E ratio of 42.39, a PEG ratio of 0.90 and a beta of 1.48. The company has a quick ratio of 1.15, a current ratio of 1.17 and a debt-to-equity ratio of 0.68.

MercadoLibre (NASDAQ:MELI - Get Free Report) last issued its quarterly earnings results on Tuesday, February 24th. The company reported $11.03 EPS for the quarter, missing the consensus estimate of $11.66 by ($0.63). The business had revenue of $8.76 billion during the quarter, compared to analysts' expectations of $8.45 billion. MercadoLibre had a net margin of 6.91% and a return on equity of 33.73%. The business's quarterly revenue was up 44.6% on a year-over-year basis. During the same period in the prior year, the business earned $12.61 EPS. On average, research analysts forecast that MercadoLibre, Inc. will post 43.96 earnings per share 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.

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