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MercadoLibre (MELI) Gains But Lags Market: What You Should Know
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MercadoLibre (MELI - Free Report) closed at $1,524.25 in the latest trading session, marking a +0.38% move from the prior day. This move lagged the S&P 500's daily gain of 1.71%.
Heading into today, shares of the operator of an online marketplace and payments system in Latin America had lost 19.63% over the past month, lagging the Retail-Wholesale sector's loss of 4.04% and the S&P 500's loss of 2.25% in that time.
Wall Street will be looking for positivity from MELI as it approaches its next earnings report date. On that day, MELI is projected to report earnings of $1.27 per share, which would represent year-over-year growth of 353.57%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.84 billion, up 64.87% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.74 per share and revenue of $6.99 billion. These totals would mark changes of +3525% and +75.96%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for MELI. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.43% lower. MELI currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that MELI has a Forward P/E ratio of 554.17 right now. For comparison, its industry has an average Forward P/E of 56.01, which means MELI is trading at a premium to the group.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 174, which puts it in the bottom 32% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow MELI in the coming trading sessions, be sure to utilize Zacks.com.
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MercadoLibre (MELI) Gains But Lags Market: What You Should Know
MercadoLibre (MELI - Free Report) closed at $1,524.25 in the latest trading session, marking a +0.38% move from the prior day. This move lagged the S&P 500's daily gain of 1.71%.
Heading into today, shares of the operator of an online marketplace and payments system in Latin America had lost 19.63% over the past month, lagging the Retail-Wholesale sector's loss of 4.04% and the S&P 500's loss of 2.25% in that time.
Wall Street will be looking for positivity from MELI as it approaches its next earnings report date. On that day, MELI is projected to report earnings of $1.27 per share, which would represent year-over-year growth of 353.57%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.84 billion, up 64.87% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.74 per share and revenue of $6.99 billion. These totals would mark changes of +3525% and +75.96%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for MELI. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.43% lower. MELI currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that MELI has a Forward P/E ratio of 554.17 right now. For comparison, its industry has an average Forward P/E of 56.01, which means MELI is trading at a premium to the group.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 174, which puts it in the bottom 32% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow MELI in the coming trading sessions, be sure to utilize Zacks.com.