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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 $616.40 in the latest trading session, marking a -1.68% move from the prior day. This change lagged the S&P 500's daily loss of 0.38%. Elsewhere, the Dow lost 0.5%, while the tech-heavy Nasdaq lost 0.5%.
Prior to today's trading, shares of the operator of an online marketplace and payments system in Latin America had lost 20.42% over the past month. This has lagged the Retail-Wholesale sector's loss of 6.99% and the S&P 500's loss of 6.69% in that time.
Investors will be hoping for strength from MercadoLibre as it approaches its next earnings release. On that day, MercadoLibre is projected to report earnings of $1.70 per share, which would represent year-over-year growth of 24.09%. Our most recent consensus estimate is calling for quarterly revenue of $2.49 billion, up 46.24% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $6.59 per share and revenue of $10.48 billion. These totals would mark changes of +294.61% and +48.22%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for MercadoLibre. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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, 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. The Zacks Consensus EPS estimate has moved 2.91% lower within the past month. MercadoLibre currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that MercadoLibre has a Forward P/E ratio of 95.17 right now. This valuation marks a premium compared to its industry's average Forward P/E of 23.19.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 212, putting it in the bottom 17% 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.
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 $616.40 in the latest trading session, marking a -1.68% move from the prior day. This change lagged the S&P 500's daily loss of 0.38%. Elsewhere, the Dow lost 0.5%, while the tech-heavy Nasdaq lost 0.5%.
Prior to today's trading, shares of the operator of an online marketplace and payments system in Latin America had lost 20.42% over the past month. This has lagged the Retail-Wholesale sector's loss of 6.99% and the S&P 500's loss of 6.69% in that time.
Investors will be hoping for strength from MercadoLibre as it approaches its next earnings release. On that day, MercadoLibre is projected to report earnings of $1.70 per share, which would represent year-over-year growth of 24.09%. Our most recent consensus estimate is calling for quarterly revenue of $2.49 billion, up 46.24% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $6.59 per share and revenue of $10.48 billion. These totals would mark changes of +294.61% and +48.22%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for MercadoLibre. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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, 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. The Zacks Consensus EPS estimate has moved 2.91% lower within the past month. MercadoLibre currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that MercadoLibre has a Forward P/E ratio of 95.17 right now. This valuation marks a premium compared to its industry's average Forward P/E of 23.19.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 212, putting it in the bottom 17% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.