MercadoLibre (NASDAQ:MELI) Trading Down 5.2% - Time to Sell?

MercadoLibre, Inc. (NASDAQ:MELI - Get Free Report)'s stock price dropped 5.2% during trading on Friday . The stock traded as low as $2,414.00 and last traded at $2,447.92. Approximately 208,736 shares changed hands during mid-day trading, a decline of 45% from the average daily volume of 380,371 shares. The stock had previously closed at $2,581.74.

Wall Street Analyst Weigh In

MELI has been the subject of several recent analyst reports. Susquehanna upped their target price on shares of MercadoLibre from $2,350.00 to $2,760.00 and gave the company a "positive" rating in a research note on Friday, February 21st. Wall Street Zen downgraded shares of MercadoLibre from a "buy" rating to a "hold" rating in a research note on Friday, May 16th. The Goldman Sachs Group upped their target price on shares of MercadoLibre from $2,640.00 to $3,000.00 and gave the company a "buy" rating in a research note on Wednesday, May 14th. UBS Group set a $3,000.00 target price on shares of MercadoLibre in a research note on Monday, June 2nd. Finally, Bank of America boosted their price objective on MercadoLibre from $2,500.00 to $3,000.00 and gave the company a "buy" rating in a research report on Friday, February 21st. One research analyst has rated the stock with a sell rating, three have assigned a hold rating, eleven have issued a buy rating and two have issued a strong buy rating to the company's stock. Based on data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $2,613.75.

MercadoLibre Price Performance

The company has a market cap of $124.14 billion, a P/E ratio of 64.95, a P/E/G ratio of 1.12 and a beta of 1.51. The company's 50-day moving average price is $2,288.33 and its 200-day moving average price is $2,063.12. The company has a debt-to-equity ratio of 0.78, a current ratio of 1.25 and a quick ratio of 1.22.

MercadoLibre (NASDAQ:MELI - Get Free Report) last released its earnings results on Wednesday, May 7th. The company reported $9.74 earnings per share for the quarter, beating analysts' consensus estimates of $7.82 by $1.92. The business had revenue of $5.94 billion during the quarter, compared to the consensus estimate of $5.55 billion. MercadoLibre had a net margin of 9.20% and a return on equity of 51.89%. The firm's revenue for the quarter was up 37.0% compared to the same quarter last year. During the same quarter last year, the firm earned $6.78 earnings per share. As a group, sell-side analysts predict that MercadoLibre, Inc. will post 43.96 earnings per share for the current fiscal year.

Institutional Investors Weigh In On MercadoLibre

A number of institutional investors and hedge funds have recently made changes to their positions in MELI. Key Financial Inc bought a new position in shares of MercadoLibre in the 1st quarter valued at about $25,000. GW&K Investment Management LLC bought a new position in shares of MercadoLibre in the 1st quarter valued at about $25,000. Human Investing LLC bought a new position in shares of MercadoLibre in the 4th quarter valued at about $26,000. Park Square Financial Group LLC bought a new position in shares of MercadoLibre in the 4th quarter valued at about $26,000. Finally, Covestor Ltd bought a new position in shares of MercadoLibre in the 4th quarter valued at about $27,000. Institutional investors own 87.62% of the company's stock.

About MercadoLibre

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.