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MercadoLibre's GMV Growth Is Accelerating Across Latin America
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Key Takeaways
MercadoLibre's Q1 GMV rose 42% to $19 billion as items sold jumped 47% to 721.7 million.
Brazil's FX-neutral GMV grew 38%, with items sold up 56% and unique buyers rising 32%.
Mexico, Argentina and Chile posted FX-neutral GMV growth of 28%, 41% and 40%, respectively.
MercadoLibre, Inc. (MELI - Free Report) demonstrated broad-based gross merchandise volume (GMV) growth across Latin America during the first quarter of 2026. Consolidated GMV reached $19 billion, representing a 42% year-over-year increase in U.S. dollars and 36% growth on a foreign-exchange-neutral basis, underscoring rising consumer engagement across the company’s commerce ecosystem. The increase was supported by a 47% year-over-year jump in total items sold to 721.7 million units.
Brazil, the company's largest market, spearheaded this growth as foreign-exchange-neutral GMV growth accelerated to 38% year over year. This performance marks a steady quarterly acceleration from the 30% growth recorded in the first quarter of 2025. Items sold in Brazil jumped 56% year over year, more than double the 25% growth recorded in the first quarter of 2025, while unique buyer growth in the country surged to 32%, the fastest pace in five years.
MELI attributed Brazil’s stronger performance to increased buyer activity following the lower free shipping threshold, which drove higher conversion, greater shopping frequency, stronger retention and record customer satisfaction. At the same time, daily active users grew faster than monthly active users.
The momentum extended across the region. Mexico generated 28% foreign-exchange-neutral GMV growth despite a tougher tax environment affecting smaller merchants, while Argentina posted 41% growth on top of a high comparison base. Chile also maintained strong momentum with 40% GMV growth, supported by higher free shipping penetration and faster delivery capabilities.
Management emphasized that these results demonstrate continued market share gains across key markets and reinforce the long-term opportunity as e-commerce adoption across Latin America remains well below more mature markets.
What the Latest Metrics Say About MercadoLibre
MercadoLibre, which competes with Amazon.com, Inc. (AMZN - Free Report) and Sea Limited (SE - Free Report) , has seen its shares tumble 18.7% over the past six months compared with the industry’s 3% decline. While Amazon shares have jumped 2.7%, Sea Limited has fallen 16.7% in the aforementioned period.
Image Source: Zacks Investment Research
From a valuation standpoint, MercadoLibre's forward 12-month price-to-earnings (P/E) ratio is 35.17, higher than the industry average of 21.92. The stock is also trading above its 12-month median level of 34.46.
MercadoLibre is trading at a premium to Amazon (forward 12-month P/E of 25.53) and Sea Limited (20.96).
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for MercadoLibre’s current financial-year sales and earnings per share implies year-over-year growth of 39.7% and 4.1%, respectively. For the next fiscal year, the consensus estimate indicates a 26.6% rise in sales and 44.4% growth in earnings.
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MercadoLibre's GMV Growth Is Accelerating Across Latin America
Key Takeaways
MercadoLibre, Inc. (MELI - Free Report) demonstrated broad-based gross merchandise volume (GMV) growth across Latin America during the first quarter of 2026. Consolidated GMV reached $19 billion, representing a 42% year-over-year increase in U.S. dollars and 36% growth on a foreign-exchange-neutral basis, underscoring rising consumer engagement across the company’s commerce ecosystem. The increase was supported by a 47% year-over-year jump in total items sold to 721.7 million units.
Brazil, the company's largest market, spearheaded this growth as foreign-exchange-neutral GMV growth accelerated to 38% year over year. This performance marks a steady quarterly acceleration from the 30% growth recorded in the first quarter of 2025. Items sold in Brazil jumped 56% year over year, more than double the 25% growth recorded in the first quarter of 2025, while unique buyer growth in the country surged to 32%, the fastest pace in five years.
MELI attributed Brazil’s stronger performance to increased buyer activity following the lower free shipping threshold, which drove higher conversion, greater shopping frequency, stronger retention and record customer satisfaction. At the same time, daily active users grew faster than monthly active users.
The momentum extended across the region. Mexico generated 28% foreign-exchange-neutral GMV growth despite a tougher tax environment affecting smaller merchants, while Argentina posted 41% growth on top of a high comparison base. Chile also maintained strong momentum with 40% GMV growth, supported by higher free shipping penetration and faster delivery capabilities.
Management emphasized that these results demonstrate continued market share gains across key markets and reinforce the long-term opportunity as e-commerce adoption across Latin America remains well below more mature markets.
What the Latest Metrics Say About MercadoLibre
MercadoLibre, which competes with Amazon.com, Inc. (AMZN - Free Report) and Sea Limited (SE - Free Report) , has seen its shares tumble 18.7% over the past six months compared with the industry’s 3% decline. While Amazon shares have jumped 2.7%, Sea Limited has fallen 16.7% in the aforementioned period.
Image Source: Zacks Investment Research
From a valuation standpoint, MercadoLibre's forward 12-month price-to-earnings (P/E) ratio is 35.17, higher than the industry average of 21.92. The stock is also trading above its 12-month median level of 34.46.
MercadoLibre is trading at a premium to Amazon (forward 12-month P/E of 25.53) and Sea Limited (20.96).
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for MercadoLibre’s current financial-year sales and earnings per share implies year-over-year growth of 39.7% and 4.1%, respectively. For the next fiscal year, the consensus estimate indicates a 26.6% rise in sales and 44.4% growth in earnings.
Image Source: Zacks Investment Research
MELI currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.