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MercadoLibre (MELI) Stock Sinks As Market Gains: What You Should Know
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MercadoLibre (MELI - Free Report) closed at $1,122.74 in the latest trading session, marking a -0.73% move from the prior day. This move lagged the S&P 500's daily gain of 0.08%. At the same time, the Dow lost 0.56%, and the tech-heavy Nasdaq lost 0.42%.
Heading into today, shares of the operator of an online marketplace and payments system in Latin America had lost 3.99% over the past month, lagging the Retail-Wholesale sector's loss of 3.94% and the S&P 500's gain of 0.22% in that time.
MercadoLibre will be looking to display strength as it nears its next earnings release. On that day, MercadoLibre is projected to report earnings of $0.89 per share, which would represent year-over-year growth of 187.25%. Meanwhile, our latest consensus estimate is calling for revenue of $2 billion, up 50.53% from the prior-year quarter.
Any recent changes to analyst estimates for MercadoLibre should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. The Zacks Consensus EPS estimate has moved 0.34% higher within the past month. MercadoLibre is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that MercadoLibre has a Forward P/E ratio of 143.68 right now. This valuation marks a premium compared to its industry's average Forward P/E of 33.37.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 180, putting it in the bottom 30% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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MercadoLibre (MELI) Stock Sinks As Market Gains: What You Should Know
MercadoLibre (MELI - Free Report) closed at $1,122.74 in the latest trading session, marking a -0.73% move from the prior day. This move lagged the S&P 500's daily gain of 0.08%. At the same time, the Dow lost 0.56%, and the tech-heavy Nasdaq lost 0.42%.
Heading into today, shares of the operator of an online marketplace and payments system in Latin America had lost 3.99% over the past month, lagging the Retail-Wholesale sector's loss of 3.94% and the S&P 500's gain of 0.22% in that time.
MercadoLibre will be looking to display strength as it nears its next earnings release. On that day, MercadoLibre is projected to report earnings of $0.89 per share, which would represent year-over-year growth of 187.25%. Meanwhile, our latest consensus estimate is calling for revenue of $2 billion, up 50.53% from the prior-year quarter.
Any recent changes to analyst estimates for MercadoLibre should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. The Zacks Consensus EPS estimate has moved 0.34% higher within the past month. MercadoLibre is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that MercadoLibre has a Forward P/E ratio of 143.68 right now. This valuation marks a premium compared to its industry's average Forward P/E of 33.37.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 180, putting it in the bottom 30% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.