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MercadoLibre (MELI) Gains As Market Dips: What You Should Know
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MercadoLibre (MELI - Free Report) closed at $992.50 in the latest trading session, marking a +1.73% move from the prior day. This change outpaced the S&P 500's 0.54% loss on the day. Elsewhere, the Dow lost 0.02%, while the tech-heavy Nasdaq lost 0.12%.
Heading into today, shares of the operator of an online marketplace and payments system in Latin America had lost 26.29% over the past month, lagging the Retail-Wholesale sector's loss of 12.57% and the S&P 500's loss of 7.87% in that time.
MercadoLibre will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.89, up 187.25% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2 billion, up 50.53% from the year-ago period.
Any recent changes to analyst estimates for MercadoLibre should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 1.68% higher. MercadoLibre is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, MercadoLibre currently has a Forward P/E ratio of 123.94. This valuation marks a premium compared to its industry's average Forward P/E of 30.43.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 211, putting it in the bottom 18% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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MercadoLibre (MELI) Gains As Market Dips: What You Should Know
MercadoLibre (MELI - Free Report) closed at $992.50 in the latest trading session, marking a +1.73% move from the prior day. This change outpaced the S&P 500's 0.54% loss on the day. Elsewhere, the Dow lost 0.02%, while the tech-heavy Nasdaq lost 0.12%.
Heading into today, shares of the operator of an online marketplace and payments system in Latin America had lost 26.29% over the past month, lagging the Retail-Wholesale sector's loss of 12.57% and the S&P 500's loss of 7.87% in that time.
MercadoLibre will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.89, up 187.25% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2 billion, up 50.53% from the year-ago period.
Any recent changes to analyst estimates for MercadoLibre should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 1.68% higher. MercadoLibre is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, MercadoLibre currently has a Forward P/E ratio of 123.94. This valuation marks a premium compared to its industry's average Forward P/E of 30.43.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 211, putting it in the bottom 18% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.