Jefferies Financial Group Upgrades MercadoLibre (NASDAQ:MELI) to Buy

Key Points

• Jefferies Financial Group upgraded MercadoLibre (MELI) from "hold" to buy and set a $2,600 price target (down from $2,800), implying roughly a 52% upside from current levels.
• MercadoLibre's most recent quarter showed an $11.03 EPS (miss vs. estimates) but revenue of $8.76B, up 44.6% year‑over‑year and above expectations; the stock trades around $1,710 with a market cap near $86.7B.
• Analysts collectively rate MELI a Moderate Buy with a consensus target of $2,695.33—15 Buy ratings, three Holds, and several firms have trimmed targets recently.

MercadoLibre (NASDAQ:MELI - Get Free Report) was upgraded by research analysts at Jefferies Financial Group from a "hold" rating to a "buy" rating in a research report issued on Tuesday,Benzinga reports. The firm presently has a $2,600.00 price objective on the stock, down from their previous price objective of $2,800.00. Jefferies Financial Group's price target would indicate a potential upside of 52.01% from the stock's current price.

Other research analysts have also issued reports about the company. Zacks Research raised MercadoLibre from a "strong sell" rating to a "hold" rating in a research report on Friday, February 6th. Barclays lowered their target price on MercadoLibre from $2,900.00 to $2,600.00 and set an "overweight" rating on the stock in a research note on Wednesday, February 25th. Wedbush lowered their target price on MercadoLibre from $2,600.00 to $2,400.00 and set an "outperform" rating on the stock in a research note on Wednesday, February 25th. Weiss Ratings downgraded MercadoLibre from a "buy (b-)" rating to a "hold (c+)" rating in a research note on Thursday, January 8th. Finally, Morgan Stanley lowered their target price on MercadoLibre from $2,800.00 to $2,600.00 and set an "overweight" rating on the stock in a research note on Monday, March 9th. One investment analyst has rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating and three have issued a Hold rating to the company's stock. According to data from MarketBeat, MercadoLibre has a consensus rating of "Moderate Buy" and a consensus target price of $2,695.33.

MercadoLibre Trading Down 0.3%

Shares of MELI stock opened at $1,710.37 on Tuesday. The company has a debt-to-equity ratio of 0.68, a quick ratio of 1.15 and a current ratio of 1.17. MercadoLibre has a 1 year low of $1,593.21 and a 1 year high of $2,645.22. The stock has a fifty day moving average of $1,851.88 and a two-hundred day moving average of $2,033.78. The firm has a market capitalization of $86.72 billion, a PE ratio of 43.41, a price-to-earnings-growth ratio of 0.90 and a beta of 1.49.

MercadoLibre (NASDAQ:MELI - Get Free Report) last posted its quarterly earnings data on Tuesday, February 24th. The company reported $11.03 EPS for the quarter, missing analysts' consensus estimates of $11.66 by ($0.63). The firm had revenue of $8.76 billion during the quarter, compared to the consensus estimate of $8.45 billion. MercadoLibre had a return on equity of 33.73% and a net margin of 6.91%.The firm's quarterly revenue was up 44.6% on a year-over-year basis. During the same period in the prior year, the firm posted $12.61 EPS. As a group, research analysts expect that MercadoLibre will post 43.96 EPS for the current year.

Institutional Trading of MercadoLibre

Several large investors have recently made changes to their positions in the stock. Baillie Gifford & Co. boosted its stake in shares of MercadoLibre by 4.9% during the 4th quarter. Baillie Gifford & Co. now owns 3,481,563 shares of the company's stock worth $7,012,773,000 after acquiring an additional 164,120 shares in the last quarter. Capital Research Global Investors boosted its stake in shares of MercadoLibre by 22.5% during the 4th quarter. Capital Research Global Investors now owns 2,225,031 shares of the company's stock worth $4,481,812,000 after acquiring an additional 408,939 shares in the last quarter. Capital World Investors boosted its stake in MercadoLibre by 1.3% during the 3rd quarter. Capital World Investors now owns 1,740,129 shares of the company's stock valued at $4,067,194,000 after purchasing an additional 22,659 shares during the period. Capital International Investors boosted its stake in MercadoLibre by 7.3% during the 4th quarter. Capital International Investors now owns 1,725,125 shares of the company's stock valued at $3,474,880,000 after purchasing an additional 118,018 shares during the period. Finally, Price T Rowe Associates Inc. MD boosted 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 purchasing an additional 137,100 shares during the period. Institutional investors own 87.62% 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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