MercadoLibre, Inc. (MELI) AI Stock Analysis

MercadoLibre, Inc. operates an online commerce and financial technology ecosystem across Latin America. Its core marketplace connects businesses, merchants, and individuals for buying and selling merchandise online. The company supports transactions through Mercado Pago, a digital payments solution facilitating money transfers across mobile apps and websites. Its financial offerings include Mercado Fondo for investment services and Mercado Credito, which extends loans to merchants and consumers. For fulfillment, Mercado Envios coordinates shipping with third-party logistics carriers. In addition, the company provides Mercado Libre Classifieds for vehicles and real estate, Mercado Libre Ads for advertising, and Mercado Shops for digital storefronts.

MercadoLibre expanded annual revenue from $7.07B in FY2021 to $10.78B in FY2022, $15.11B in FY2023, $20.78B in FY2024, and $28.89B in FY2025. Annual revenue growth was 39.1% in FY2025, following 37.5% in FY2024. Operating margin shifted from 6.2% in FY2021 to a peak of 14.6% in FY2023, before settling at 12.7% in FY2024 and 11.1% in FY2025. Net income increased from $83.0M in FY2021 to $2.00B in FY2025. For the trailing twelve months, revenue reached $35.18B with an operating margin of 6.7%. In the latest quarter ended June 30, 2026, revenue increased 49.8% year-over-year, while earnings fell 10.9%.

As of June 30, 2026, MercadoLibre held $5.73B in cash and short-term investments against total debt of $13.18B, resulting in net debt of $7.45B. Shareholders' equity was $7.83B, bringing the debt-to-equity ratio to 1.68, alongside a current ratio of 1.12. Operating cash flow reached $12.12B in FY2025, generating free cash flow of $10.77B after capital expenditures of $1.34B. Share buybacks totaled $1.0M in FY2025, and the share count grew 1.8% over 5 years.

MercadoLibre trades at a trailing P/E of 50.5x and a forward P/E of 32.8x, compared to 34.1x and 26.0x for the median of its Nasdaq-100 Consumer Cyclical peers. Its EV to EBITDA ratio is 26.4x, above the peer median of 19.2x, while its price-to-sales of 2.6x sits below the peer median of 4.1x. Over the past 1 year, the stock returned -10.2%, trailing the SPY return of 16.8%. Over 5 years, the shares rose 17.3%, compared to an 83.0% return for SPY.

Wall Street coverage includes 16 Strong Buy, 4 Buy, and 6 Hold recommendations, with 0 Sell ratings. The mean price target is $2270.01, representing a 23.8% premium over the last close of $1834.00 on October 16, 2026. For the fiscal year ending December 31, 2026, analysts estimate revenue of $41.86B and EPS of $38.35. For the following year, 22 analysts model revenue of $54.13B and EPS of $55.70. MercadoLibre exceeded EPS projections in 1 of the past 4 quarters, with the next earnings release set for November 4, 2026.

This page is an AI-written research summary of MercadoLibre, Inc. (MELI). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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