RWC Asset Advisors US LLC Boosts Stock Position in MercadoLibre, Inc. (NASDAQ:MELI)

Key Points

• RWC Asset Advisors US LLC increased its stake in MercadoLibre by 13.9% during the 1st quarter, owning 24,560 shares valued at approximately $47.9 million.
• MercadoLibre reported a quarterly revenue of $5.94 billion, surpassing analyst estimates, and reported earnings per share of $9.74, beating the consensus by $1.92.
• The stock currently has a consensus rating of "Moderate Buy" with an average price target of $2,639.69, reflecting positive analyst sentiment on its growth prospects.

RWC Asset Advisors US LLC raised its position in MercadoLibre, Inc. (NASDAQ:MELI - Free Report) by 13.9% during the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 24,560 shares of the company's stock after purchasing an additional 3,005 shares during the quarter. MercadoLibre accounts for approximately 8.7% of RWC Asset Advisors US LLC's portfolio, making the stock its 5th largest holding. RWC Asset Advisors US LLC's holdings in MercadoLibre were worth $47,913,000 at the end of the most recent quarter.

A number of other large investors also recently modified their holdings of the company. Capital Research Global Investors grew its stake in shares of MercadoLibre by 8.0% in the fourth quarter. Capital Research Global Investors now owns 2,415,815 shares of the company's stock valued at $4,108,079,000 after buying an additional 179,807 shares in the last quarter. Capital International Investors grew its stake in shares of MercadoLibre by 38.7% in the fourth quarter. Capital International Investors now owns 1,687,114 shares of the company's stock valued at $2,868,869,000 after buying an additional 470,829 shares in the last quarter. Capital World Investors grew its stake in shares of MercadoLibre by 24.5% in the fourth quarter. Capital World Investors now owns 1,568,602 shares of the company's stock valued at $2,667,386,000 after buying an additional 308,973 shares in the last quarter. Price T Rowe Associates Inc. MD grew its stake in shares of MercadoLibre by 41.0% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 1,394,255 shares of the company's stock valued at $2,370,848,000 after buying an additional 405,425 shares in the last quarter. Finally, Jennison Associates LLC grew its stake in MercadoLibre by 1.6% during the 1st quarter. Jennison Associates LLC now owns 1,154,116 shares of the company's stock valued at $2,251,531,000 after purchasing an additional 18,731 shares in the last quarter. 87.62% of the stock is currently owned by hedge funds and other institutional investors.

MercadoLibre Stock Performance

Shares of NASDAQ MELI traded up $3.74 during mid-day trading on Wednesday, hitting $2,388.64. The company had a trading volume of 78,993 shares, compared to its average volume of 389,287. The firm's 50 day simple moving average is $2,467.53 and its two-hundred day simple moving average is $2,213.97. The company has a debt-to-equity ratio of 0.57, a current ratio of 1.20 and a quick ratio of 1.18. The stock has a market cap of $121.10 billion, a price-to-earnings ratio of 58.78, a PEG ratio of 1.40 and a beta of 1.49. MercadoLibre, Inc. has a 12 month low of $1,579.78 and a 12 month high of $2,645.22.

MercadoLibre (NASDAQ:MELI - Get Free Report) last announced its earnings results on Wednesday, May 7th. The company reported $9.74 earnings per share for the quarter, beating the consensus estimate of $7.82 by $1.92. The firm had revenue of $5.94 billion for the quarter, compared to the consensus estimate of $5.55 billion. MercadoLibre had a return on equity of 48.46% and a net margin of 9.21%. The firm's revenue for the quarter was up 37.0% on a year-over-year basis. During the same quarter in the previous year, the business earned $6.78 EPS. As a group, equities research analysts forecast that MercadoLibre, Inc. will post 43.96 earnings per share for the current year.

Wall Street Analyst Weigh In

A number of brokerages have weighed in on MELI. Wall Street Zen lowered MercadoLibre from a "buy" rating to a "hold" rating in a research note on Sunday, June 22nd. Morgan Stanley restated an "overweight" rating on shares of MercadoLibre in a research note on Thursday, May 1st. Scotiabank began coverage on MercadoLibre in a research note on Monday. They set a "sector outperform" rating and a $3,500.00 price objective for the company. Benchmark lowered MercadoLibre from a "buy" rating to a "cautious" rating in a research note on Thursday, May 1st. Finally, UBS Group set a $3,000.00 price objective on MercadoLibre in a research note on Monday, June 2nd. One analyst has rated the stock with a sell rating, three have issued a hold rating, twelve have given a buy rating and one has issued a strong buy rating to the company. According to MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus price target of $2,690.29.

MercadoLibre Company Profile

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.