We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
MercadoLibre (MELI) Stock Declines While Market Improves: Some Information for Investors
Read MoreHide Full Article
In the latest close session, MercadoLibre (MELI - Free Report) was down 2.01% at $1,788.44. The stock's change was less than the S&P 500's daily gain of 0.17%. On the other hand, the Dow registered a loss of 0.18%, and the technology-centric Nasdaq increased by 0.4%.
The operator of an online marketplace and payments system in Latin America's stock has dropped by 5.03% in the past month, exceeding the Retail-Wholesale sector's loss of 6.48% and lagging the S&P 500's loss of 1.29%.
The upcoming earnings release of MercadoLibre will be of great interest to investors. The company is forecasted to report an EPS of $9.42, showcasing a 13.22% upward movement from the corresponding quarter of the prior year. Meanwhile, our latest consensus estimate is calling for revenue of $10.64 billion, up 43.61% from the prior-year quarter.
MELI's full-year Zacks Consensus Estimates are calling for earnings of $39.11 per share and revenue of $41.78 billion. These results would represent year-over-year changes of -0.74% and +44.59%, respectively.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for MercadoLibre. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. 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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Right now, MercadoLibre possesses a Zacks Rank of #4 (Sell).
In terms of valuation, MercadoLibre is currently trading at a Forward P/E ratio of 46.67. Its industry sports an average Forward P/E of 16.46, so one might conclude that MercadoLibre is trading at a premium comparatively.
Investors should also note that MELI has a PEG ratio of 1.25 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. As of the close of trade yesterday, the Internet - Commerce industry held an average PEG ratio of 1.2.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 168, finds itself in the bottom 32% echelons of all 250+ industries.
The Zacks Industry Rank is ordered 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.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
View the Zacks #1 Rank List
Image: Bigstock
MercadoLibre (MELI) Stock Declines While Market Improves: Some Information for Investors
In the latest close session, MercadoLibre (MELI - Free Report) was down 2.01% at $1,788.44. The stock's change was less than the S&P 500's daily gain of 0.17%. On the other hand, the Dow registered a loss of 0.18%, and the technology-centric Nasdaq increased by 0.4%.
The operator of an online marketplace and payments system in Latin America's stock has dropped by 5.03% in the past month, exceeding the Retail-Wholesale sector's loss of 6.48% and lagging the S&P 500's loss of 1.29%.
The upcoming earnings release of MercadoLibre will be of great interest to investors. The company is forecasted to report an EPS of $9.42, showcasing a 13.22% upward movement from the corresponding quarter of the prior year. Meanwhile, our latest consensus estimate is calling for revenue of $10.64 billion, up 43.61% from the prior-year quarter.
MELI's full-year Zacks Consensus Estimates are calling for earnings of $39.11 per share and revenue of $41.78 billion. These results would represent year-over-year changes of -0.74% and +44.59%, respectively.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for MercadoLibre. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. 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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Right now, MercadoLibre possesses a Zacks Rank of #4 (Sell).
In terms of valuation, MercadoLibre is currently trading at a Forward P/E ratio of 46.67. Its industry sports an average Forward P/E of 16.46, so one might conclude that MercadoLibre is trading at a premium comparatively.
Investors should also note that MELI has a PEG ratio of 1.25 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. As of the close of trade yesterday, the Internet - Commerce industry held an average PEG ratio of 1.2.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 168, finds itself in the bottom 32% echelons of all 250+ industries.
The Zacks Industry Rank is ordered 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.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.