MercadoLibre, Inc. (NASDAQ:MELI) Receives Consensus Recommendation of "Moderate Buy" from Analysts

Key Points

• MercadoLibre, Inc. has received a consensus rating of "Moderate Buy" from analysts, with a price target averaging $2,817.22.
• The company reported earnings of $10.31 per share for the last quarter, which fell short of analysts' expectations by $1.70, despite revenue exceeding estimates at $6.79 billion.
• Currently, approximately 87.62% of MercadoLibre's stock is owned by hedge funds and institutional investors, highlighting significant institutional interest in the company.

MercadoLibre, Inc. (NASDAQ:MELI - Get Free Report) has been given a consensus rating of "Moderate Buy" by the seventeen brokerages that are covering the firm, Marketbeat.com reports. Two investment analysts have rated the stock with a hold rating, fourteen have issued a buy rating and one has issued a strong buy rating on the company. The average 12 month price target among brokerages that have covered the stock in the last year is $2,817.2222.

A number of analysts have weighed in on the stock. Morgan Stanley reissued an "overweight" rating on shares of MercadoLibre in a report on Thursday, May 1st. Daiwa Capital Markets assumed coverage on shares of MercadoLibre in a report on Friday, August 1st. They set a "buy" rating and a $3,000.00 price objective on the stock. Barclays cut their price objective on shares of MercadoLibre from $3,100.00 to $3,000.00 and set an "overweight" rating on the stock in a report on Wednesday, July 23rd. Scotiabank assumed coverage on shares of MercadoLibre in a report on Monday, July 28th. They set a "sector outperform" rating and a $3,500.00 price objective on the stock. Finally, Citigroup cut their price objective on shares of MercadoLibre from $2,900.00 to $2,850.00 and set a "buy" rating on the stock in a report on Monday, August 18th.

Hedge Funds Weigh In On MercadoLibre

Hedge funds have recently modified their holdings of the business. Darwin Wealth Management LLC purchased a new position in shares of MercadoLibre during the second quarter worth approximately $29,000. Key Financial Inc purchased a new position in shares of MercadoLibre during the first quarter worth approximately $25,000. GW&K Investment Management LLC purchased a new position in shares of MercadoLibre during the first quarter worth approximately $25,000. Close Asset Management Ltd grew its position in shares of MercadoLibre by 366.7% during the first quarter. Close Asset Management Ltd now owns 14 shares of the company's stock worth $27,000 after acquiring an additional 11 shares during the last quarter. Finally, Highline Wealth Partners LLC grew its position in shares of MercadoLibre by 366.7% during the second quarter. Highline Wealth Partners LLC now owns 14 shares of the company's stock worth $37,000 after acquiring an additional 11 shares during the last quarter. 87.62% of the stock is currently owned by hedge funds and other institutional investors.

MercadoLibre Stock Down 0.9%

Shares of NASDAQ:MELI opened at $2,407.74 on Tuesday. The firm's 50 day moving average price is $2,410.39 and its 200 day moving average price is $2,280.61. The stock has a market cap of $122.07 billion, a price-to-earnings ratio of 59.47, a price-to-earnings-growth ratio of 1.58 and a beta of 1.46. MercadoLibre has a fifty-two week low of $1,646.00 and a fifty-two week high of $2,645.22. The company has a quick ratio of 1.18, a current ratio of 1.20 and a debt-to-equity ratio of 0.61.

MercadoLibre (NASDAQ:MELI - Get Free Report) last issued its earnings results on Monday, August 4th. The company reported $10.31 earnings per share for the quarter, missing the consensus estimate of $12.01 by ($1.70). MercadoLibre had a net margin of 8.52% and a return on equity of 43.06%. The firm had revenue of $6.79 billion during the quarter, compared to analyst estimates of $6.57 billion. During the same period last year, the business earned $10.48 EPS. The firm's revenue was up 33.8% compared to the same quarter last year. As a group, equities research analysts predict that MercadoLibre will post 43.96 earnings per share for the current fiscal year.

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.

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