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MercadoLibre (MELI) Dips More Than Broader Markets: What You Should Know
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MercadoLibre (MELI - Free Report) closed at $1,189.48 in the latest trading session, marking a -1.68% move from the prior day. This move lagged the S&P 500's daily loss of 1.57%. Meanwhile, the Dow lost 1.56%, and the Nasdaq, a tech-heavy index, lost 0.09%.
Coming into today, shares of the operator of an online marketplace and payments system in Latin America had gained 6.04% in the past month. In that same time, the Retail-Wholesale sector gained 4.28%, while the S&P 500 gained 5.37%.
Wall Street will be looking for positivity from MercadoLibre as it approaches its next earnings report date. On that day, MercadoLibre is projected to report earnings of $1.64 per share, which would represent year-over-year growth of 429.03%. Meanwhile, our latest consensus estimate is calling for revenue of $1.99 billion, up 44.41% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $7.21 per share and revenue of $9.69 billion. These totals would mark changes of +331.74% and +37.12%, respectively, from last year.
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 a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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. The Zacks Consensus EPS estimate has moved 1.55% lower within the past month. MercadoLibre currently has a Zacks Rank of #3 (Hold).
Investors should also note MercadoLibre's current valuation metrics, including its Forward P/E ratio of 167.85. Its industry sports an average Forward P/E of 26.06, so we one might conclude that MercadoLibre is trading at a premium comparatively.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 231, putting it in the bottom 10% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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MercadoLibre (MELI) Dips More Than Broader Markets: What You Should Know
MercadoLibre (MELI - Free Report) closed at $1,189.48 in the latest trading session, marking a -1.68% move from the prior day. This move lagged the S&P 500's daily loss of 1.57%. Meanwhile, the Dow lost 1.56%, and the Nasdaq, a tech-heavy index, lost 0.09%.
Coming into today, shares of the operator of an online marketplace and payments system in Latin America had gained 6.04% in the past month. In that same time, the Retail-Wholesale sector gained 4.28%, while the S&P 500 gained 5.37%.
Wall Street will be looking for positivity from MercadoLibre as it approaches its next earnings report date. On that day, MercadoLibre is projected to report earnings of $1.64 per share, which would represent year-over-year growth of 429.03%. Meanwhile, our latest consensus estimate is calling for revenue of $1.99 billion, up 44.41% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $7.21 per share and revenue of $9.69 billion. These totals would mark changes of +331.74% and +37.12%, respectively, from last year.
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 a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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. The Zacks Consensus EPS estimate has moved 1.55% lower within the past month. MercadoLibre currently has a Zacks Rank of #3 (Hold).
Investors should also note MercadoLibre's current valuation metrics, including its Forward P/E ratio of 167.85. Its industry sports an average Forward P/E of 26.06, so we one might conclude that MercadoLibre is trading at a premium comparatively.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 231, putting it in the bottom 10% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.