2034.82 USD
-40.19 (-1.94%)
2034.83 USD
0.01 (0%)
Taking everything into account, MELI scores 7 out of 10 in our fundamental rating. MELI was compared to 30 industry peers in the Broadline Retail industry. MELI gets an excellent profitability rating and is at the same time showing great financial health properties. MELI shows excellent growth, but is valued quite expensive already. This makes MELI very considerable for growth and quality investing!
1. Profitability
1.1 Basic Checks
- MELI had positive earnings in the past year.
- MELI had a positive operating cash flow in the past year.
- Of the past 5 years MELI 4 years were profitable.
- Each year in the past 5 years MELI had a positive operating cash flow.
1.2 Ratios
- MELI's Return On Assets of 5.66% is fine compared to the rest of the industry. MELI outperforms 70.00% of its industry peers.
- MELI's Return On Equity of 33.40% is amongst the best of the industry. MELI outperforms 96.67% of its industry peers.
- The Return On Invested Capital of MELI (18.27%) is better than 93.33% of its industry peers.
- MELI had an Average Return On Invested Capital over the past 3 years of 20.35%. This is significantly above the industry average of 9.29%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.66% | ||
| ROE | 33.4% | ||
| ROIC | 18.27% |
ROA(3y)5.57%
ROA(5y)3.5%
ROE(3y)34.15%
ROE(5y)21.57%
ROIC(3y)20.35%
ROIC(5y)14.34%
1.3 Margins
- With a decent Profit Margin value of 7.93%, MELI is doing good in the industry, outperforming 76.67% of the companies in the same industry.
- MELI's Profit Margin has improved in the last couple of years.
- MELI has a better Operating Margin (11.96%) than 86.67% of its industry peers.
- MELI's Operating Margin has improved in the last couple of years.
- The Gross Margin of MELI (45.14%) is better than 66.67% of its industry peers.
- MELI's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.96% | ||
| PM (TTM) | 7.93% | ||
| GM | 45.14% |
OM growth 3Y25.83%
OM growth 5YN/A
PM growth 3Y98.37%
PM growth 5YN/A
GM growth 3Y2.74%
GM growth 5Y-0.81%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so MELI is creating value.
- MELI has about the same amout of shares outstanding than it did 1 year ago.
- MELI has more shares outstanding than it did 5 years ago.
- MELI has a better debt/assets ratio than last year.
2.2 Solvency
- An Altman-Z score of 3.41 indicates that MELI is not in any danger for bankruptcy at the moment.
- The Altman-Z score of MELI (3.41) is better than 73.33% of its industry peers.
- The Debt to FCF ratio of MELI is 0.91, which is an excellent value as it means it would take MELI, only 0.91 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of MELI (0.91) is better than 83.33% of its industry peers.
- A Debt/Equity ratio of 0.55 indicates that MELI is somewhat dependend on debt financing.
- Looking at the Debt to Equity ratio, with a value of 0.55, MELI is in line with its industry, outperforming 43.33% of the companies in the same industry.
- Although MELI does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | 0.91 | ||
| Altman-Z | 3.41 |
ROIC/WACC2.05
WACC8.93%
2.3 Liquidity
- A Current Ratio of 1.17 indicates that MELI should not have too much problems paying its short term obligations.
- MELI's Current ratio of 1.17 is on the low side compared to the rest of the industry. MELI is outperformed by 76.67% of its industry peers.
- A Quick Ratio of 1.15 indicates that MELI should not have too much problems paying its short term obligations.
- MELI has a Quick ratio of 1.15. This is comparable to the rest of the industry: MELI outperforms 46.67% of its industry peers.
- The current and quick ratio evaluation for MELI is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.17 | ||
| Quick Ratio | 1.15 |
3. Growth
3.1 Past
- MELI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 44.60%, which is quite impressive.
- Measured over the past years, MELI shows a very strong growth in Earnings Per Share. The EPS has been growing by 172.65% on average per year.
- The Revenue has grown by 36.94% in the past year. This is a very strong growth!
- MELI shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 55.35% yearly.
EPS 1Y (TTM)44.6%
EPS 3Y172.65%
EPS 5YN/A
EPS Q2Q%6.26%
Revenue 1Y (TTM)36.94%
Revenue growth 3Y43.24%
Revenue growth 5Y55.35%
Sales Q2Q%39.48%
3.2 Future
- MELI is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 31.97% yearly.
- MELI is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 24.56% yearly.
EPS Next Y11.47%
EPS Next 2Y27.93%
EPS Next 3Y31.86%
EPS Next 5Y31.97%
Revenue Next Year38.55%
Revenue Next 2Y33.57%
Revenue Next 3Y29.48%
Revenue Next 5Y24.56%
3.3 Evolution
- Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
- Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 49.65, MELI can be considered very expensive at the moment.
- MELI's Price/Earnings is on the same level as the industry average.
- MELI's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 26.94.
- With a Price/Forward Earnings ratio of 32.98, MELI can be considered very expensive at the moment.
- 63.33% of the companies in the same industry are cheaper than MELI, based on the Price/Forward Earnings ratio.
- When comparing the Price/Forward Earnings ratio of MELI to the average of the S&P500 Index (23.94), we can say MELI is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 49.65 | ||
| Fwd PE | 32.98 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MELI indicates a slightly more expensive valuation: MELI is more expensive than 70.00% of the companies listed in the same industry.
- Based on the Price/Free Cash Flow ratio, MELI is valued a bit cheaper than 73.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.98 | ||
| EV/EBITDA | 26.66 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- MELI has an outstanding profitability rating, which may justify a higher PE ratio.
- A more expensive valuation may be justified as MELI's earnings are expected to grow with 31.86% in the coming years.
PEG (NY)4.33
PEG (5Y)N/A
EPS Next 2Y27.93%
EPS Next 3Y31.86%
5. Dividend
5.1 Amount
- No dividends for MELI!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
2034.82
-40.19 (-1.94%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryBroadline Retail
Earnings (Last)10-29 2025-10-29/amc
Earnings (Next)02-24 2026-02-24/amc
Inst Owners84.22%
Inst Owner Change0.75%
Ins Owners0.26%
Ins Owner Change0.02%
Market Cap103.17B
Revenue(TTM)26.19B
Net Income(TTM)2.08B
Analysts83.87
Price Target2862.87 (40.69%)
Short Float %1.94%
Short Ratio1.72
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-13.97%
Min EPS beat(2)-15.3%
Max EPS beat(2)-12.64%
EPS beat(4)2
Avg EPS beat(4)10.73%
Min EPS beat(4)-15.3%
Max EPS beat(4)55.87%
EPS beat(8)4
Avg EPS beat(8)-0.57%
EPS beat(12)8
Avg EPS beat(12)7.16%
EPS beat(16)10
Avg EPS beat(16)-3.69%
Revenue beat(2)1
Avg Revenue beat(2)0.25%
Min Revenue beat(2)-0.1%
Max Revenue beat(2)0.61%
Revenue beat(4)3
Avg Revenue beat(4)1.77%
Min Revenue beat(4)-0.1%
Max Revenue beat(4)5.59%
Revenue beat(8)6
Avg Revenue beat(8)2.99%
Revenue beat(12)10
Avg Revenue beat(12)3.34%
Revenue beat(16)13
Avg Revenue beat(16)3.38%
PT rev (1m)-1.1%
PT rev (3m)-2.45%
EPS NQ rev (1m)-0.75%
EPS NQ rev (3m)-18.32%
EPS NY rev (1m)-0.26%
EPS NY rev (3m)-8.52%
Revenue NQ rev (1m)0.4%
Revenue NQ rev (3m)2.37%
Revenue NY rev (1m)-0.05%
Revenue NY rev (3m)1.38%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 49.65 | ||
| Fwd PE | 32.98 | ||
| P/S | 3.94 | ||
| P/FCF | 11.98 | ||
| P/OCF | 10.49 | ||
| P/B | 16.59 | ||
| P/tB | 17.37 | ||
| EV/EBITDA | 26.66 |
EPS(TTM)40.98
EY2.01%
EPS(NY)61.7
Fwd EY3.03%
FCF(TTM)169.82
FCFY8.35%
OCF(TTM)193.91
OCFY9.53%
SpS516.63
BVpS122.64
TBVpS117.18
PEG (NY)4.33
PEG (5Y)N/A
Graham Number336.28
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.66% | ||
| ROE | 33.4% | ||
| ROCE | 25.74% | ||
| ROIC | 18.27% | ||
| ROICexc | 37.85% | ||
| ROICexgc | 39.73% | ||
| OM | 11.96% | ||
| PM (TTM) | 7.93% | ||
| GM | 45.14% | ||
| FCFM | 32.87% |
ROA(3y)5.57%
ROA(5y)3.5%
ROE(3y)34.15%
ROE(5y)21.57%
ROIC(3y)20.35%
ROIC(5y)14.34%
ROICexc(3y)236.4%
ROICexc(5y)N/A
ROICexgc(3y)537.13%
ROICexgc(5y)N/A
ROCE(3y)28.68%
ROCE(5y)20.2%
ROICexgc growth 3Y46.42%
ROICexgc growth 5YN/A
ROICexc growth 3Y51.24%
ROICexc growth 5YN/A
OM growth 3Y25.83%
OM growth 5YN/A
PM growth 3Y98.37%
PM growth 5YN/A
GM growth 3Y2.74%
GM growth 5Y-0.81%
F-Score5
Asset Turnover0.71
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | 0.91 | ||
| Debt/EBITDA | 0.88 | ||
| Cap/Depr | 166.8% | ||
| Cap/Sales | 4.66% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 254.43% | ||
| Profit Quality | 414.54% | ||
| Current Ratio | 1.17 | ||
| Quick Ratio | 1.15 | ||
| Altman-Z | 3.41 |
F-Score5
WACC8.93%
ROIC/WACC2.05
Cap/Depr(3y)116.48%
Cap/Depr(5y)176.74%
Cap/Sales(3y)3.91%
Cap/Sales(5y)5.31%
Profit Quality(3y)451.37%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)44.6%
EPS 3Y172.65%
EPS 5YN/A
EPS Q2Q%6.26%
EPS Next Y11.47%
EPS Next 2Y27.93%
EPS Next 3Y31.86%
EPS Next 5Y31.97%
Revenue 1Y (TTM)36.94%
Revenue growth 3Y43.24%
Revenue growth 5Y55.35%
Sales Q2Q%39.48%
Revenue Next Year38.55%
Revenue Next 2Y33.57%
Revenue Next 3Y29.48%
Revenue Next 5Y24.56%
EBIT growth 1Y45.95%
EBIT growth 3Y80.24%
EBIT growth 5YN/A
EBIT Next Year65.43%
EBIT Next 3Y42.75%
EBIT Next 5Y34.72%
FCF growth 1Y99.63%
FCF growth 3Y170.77%
FCF growth 5Y86.33%
OCF growth 1Y106.79%
OCF growth 3Y101.69%
OCF growth 5Y77.37%
MERCADOLIBRE INC / MELI FAQ
What is the fundamental rating for MELI stock?
ChartMill assigns a fundamental rating of 7 / 10 to MELI.
What is the valuation status of MERCADOLIBRE INC (MELI) stock?
ChartMill assigns a valuation rating of 3 / 10 to MERCADOLIBRE INC (MELI). This can be considered as Overvalued.
Can you provide the profitability details for MERCADOLIBRE INC?
MERCADOLIBRE INC (MELI) has a profitability rating of 8 / 10.
How financially healthy is MERCADOLIBRE INC?
The financial health rating of MERCADOLIBRE INC (MELI) is 8 / 10.
Can you provide the dividend sustainability for MELI stock?
The dividend rating of MERCADOLIBRE INC (MELI) is 0 / 10 and the dividend payout ratio is 0%.