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MercadoLibre (MELI) Gains As Market Dips: What You Should Know
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MercadoLibre (MELI - Free Report) closed at $820.47 in the latest trading session, marking a +0.62% move from the prior day. This change outpaced the S&P 500's 0.8% loss on the day. At the same time, the Dow lost 0.3%, and the tech-heavy Nasdaq lost 0.03%.
Prior to today's trading, shares of the operator of an online marketplace and payments system in Latin America had lost 8.12% over the past month. This has lagged the Retail-Wholesale sector's loss of 7.11% and the S&P 500's loss of 5.13% in that time.
MercadoLibre will be looking to display strength as it nears its next earnings release. In that report, analysts expect MercadoLibre to post earnings of $2.31 per share. This would mark year-over-year growth of 20.31%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.69 billion, up 44.79% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $7.65 per share and revenue of $10.48 billion, which would represent changes of +358.08% and +48.22%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for MercadoLibre. These revisions help to show the ever-changing nature of near-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, 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 1.58% lower within the past month. MercadoLibre is currently a Zacks Rank #3 (Hold).
Digging into valuation, MercadoLibre currently has a Forward P/E ratio of 106.56. Its industry sports an average Forward P/E of 21.07, 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 49, putting it in the top 20% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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MercadoLibre (MELI) Gains As Market Dips: What You Should Know
MercadoLibre (MELI - Free Report) closed at $820.47 in the latest trading session, marking a +0.62% move from the prior day. This change outpaced the S&P 500's 0.8% loss on the day. At the same time, the Dow lost 0.3%, and the tech-heavy Nasdaq lost 0.03%.
Prior to today's trading, shares of the operator of an online marketplace and payments system in Latin America had lost 8.12% over the past month. This has lagged the Retail-Wholesale sector's loss of 7.11% and the S&P 500's loss of 5.13% in that time.
MercadoLibre will be looking to display strength as it nears its next earnings release. In that report, analysts expect MercadoLibre to post earnings of $2.31 per share. This would mark year-over-year growth of 20.31%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.69 billion, up 44.79% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $7.65 per share and revenue of $10.48 billion, which would represent changes of +358.08% and +48.22%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for MercadoLibre. These revisions help to show the ever-changing nature of near-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, 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 1.58% lower within the past month. MercadoLibre is currently a Zacks Rank #3 (Hold).
Digging into valuation, MercadoLibre currently has a Forward P/E ratio of 106.56. Its industry sports an average Forward P/E of 21.07, 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 49, putting it in the top 20% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.