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MercadoLibre, Inc.
NASDAQ: MELI Consumer Discretionary Consumer 🔎 Screen
Nasdaq 100
$81.1B
Market Cap
51.1
P/E
1.26
PEG
9.3%
ROCE
36.0%
ROE
0.94
D/E
11.1%
OPM
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🌏 Global Investor Returns
Currency-adjusted total returns for MELI including FX impact
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📈 Price History
Ratio Health
Excellent
Good
Average
Poor
By Category
Shareholding
About

MercadoLibre, Inc. operates online commerce platforms in Brazil, Mexico, Argentina, and internationally.

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📈 Growth Pattern
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⭐ Superinvestors Holding MELI
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Manager Shares Value % of Fund Period
Tiger Global Management Tiger Global Management LLC 135.0K $233.4M 1.02% Mar 2026
Jim Simons Renaissance Technologies LLC 120.3K $208.0M 0.33% Mar 2026
Cathie Wood ARK Investment Management 24.0K $41.5M 0.32% Mar 2026
Stan Druckenmiller Duquesne Family Office 2.8K $4.8M 0.14% Mar 2026

SEC Form 13F data. 45-day lag from quarter end.

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Good quarter Investor Presentation One-Pager? Q1 2026
Revenue
Not stated
+49% YoY
Operating Income
$611M
Not stated
Operating Margin
6.9%
Not stated
What Went Right
  • Brazil items sold growth accelerated to 56% YoY, double pre-free-shipping rates
  • Free shipping cost per shipment down 17% YoY in local currency
  • Credit portfolio nearly doubled to $14.6B with 2.7M credit cards issued in Q1
What to Watch
  • Operating margin compressed to 6.9% due to deliberate investments in credit cards, 1P, and free shipping
  • NIMAL compression mainly from higher credit card mix and longer-duration personal loans in Brazil
  • Potential energy cost pass-through could affect logistics costs in Q2
Management Guidance
  • Does not provide explicit numeric guidance
  • Expects investment intensity (and therefore margin) to remain similar in near term
  • No forward revenue or profit margin range given
Investor Lens
The thesis is stronger after Q1: revenue re-accelerated to 49% YoY, market share gains in Brazil and Mexico are evident, and network effects from free shipping are driving unit cost declines. However, near-term margin compression is deliberate and expected to persist as the company doubles down on credit card growth, 1P, and logistics. The long-term compounding story remains intact.
From investor presentation · AI-generated analysis · Not investment advice
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📈 STRONG Strong acceleration with 49% top-line growth
Revenue
Total net revenue grew 49% year-over-year, the fastest pace since Q2 2022. Commerce GMV in Brazil rose 38% YoY, Mexico 28%, Argentina 41%, and Chile 40%. Fintech revenue benefited from credit card TPV up 90% YoY and AUM up 77%.
Profitability
Operating income was $611 million. Net income was not disclosed on the call.
Margins
Operating margin stood at 6.9%, down year-over-year due to higher investment in credit card provisioning, free shipping expansion, and 1P/CBT logistics. Management emphasized this is a deliberate choice to capture multi-year growth.
Balance Sheet
Not discussed.
Key Risks
Credit portfolio growth (nearly doubled to $14.6B) increases provisioning expenses. Extended loan durations in Brazil personal loans add near-term NIMAL pressure. Rising energy costs in Q2 could modestly impact logistics, though most costs are being passed to consumers.
Outlook
Management expects to maintain a similar investment posture near-term, not optimizing for margins but rather for long-term market share and ecosystem engagement. No explicit revenue or profit guidance was provided.
Generated by AI · Q1 2026 results · Not investment advice
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📊 Analysis Methodology

This comprehensive investment analysis was conducted using The Finmagine™ Stock Analysis & Ranking Methodology, a proprietary framework that systematically evaluates stocks across five critical dimensions: Financial Health, Growth Prospects, Competitive Positioning, Management Quality, and Valuation.

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Financial Model
Projections are built from each company's audited annual financials (Income Statement, Balance Sheet, Cash Flow) over the last 5 fiscal years. Forward assumptions — revenue growth %, EBITDA margin, D&A (USD millions), interest expense, tax rate, and capex — are AI-generated using historical context and refreshed twice a year: after the December results season and after the September/Q4 results season.

DCF Valuation
Fair Value = Σ(FCFt / (1+WACC)t) + Terminal Value. Terminal Value uses the Gordon Growth Model: FCF5 × (1+g) / (WACC−g). Default WACC: 10% (US risk-free ~4.5%, equity risk premium ~5.5%). Default terminal growth: 3% (long-run US nominal GDP proxy).

CAGR Tracker
Expected 5-year CAGR = (DCF Fair Value / Current Price)1/5 − 1. Assumes fair value is reached in exactly 5 years — a mechanical estimate only.

Data Sources & Limitations
Financial statements sourced from public filings. Prices updated daily. Forward assumptions are AI-generated. All monetary values in USD millions. Non-US ADR companies may have currency conversion inaccuracies. Models are point-in-time and do not update intra-quarter or account for M&A, macro shocks, or extraordinary items.

⚠️ Important Disclaimers — Please read without fail.

Investment Risk:
Investing in securities, including US equities and ETFs, involves inherent risks including the potential loss of principal. All investments are subject to market fluctuations, economic conditions, regulatory changes, and other factors that may affect their value. Past performance is not indicative of future results. This analysis is provided for informational and educational purposes only and should not be construed as investment advice under any circumstances.

No Investment Recommendation:
This analysis does not constitute, nor should it be interpreted as, an offer, solicitation, or recommendation to buy, sell, or hold any securities or financial products. Investors are strongly advised to conduct their own independent research and due diligence and to consult with a licensed financial advisor or an SEC-registered investment adviser before making any investment decisions, taking into account their individual financial situation, risk tolerance, and investment objectives.

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Conflict of Interest Disclosure:
The author and/or analyst may currently hold or have previously held positions in the securities discussed. Any such positions are not intended to influence the objectivity or independence of the analysis. This research is produced independently and is not sponsored, endorsed, or commissioned by any company or institution.

Information Sources:
The analysis is based on publicly available information including SEC filings (10-K, 10-Q), annual reports, management commentary, and publicly available financial data. Information is believed to be accurate as of the date of publication but may be subject to change without notice. Readers are encouraged to independently verify all information before acting upon it.

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