MercadoLibre (NASDAQ:MELI) Given New $2,300.00 Price Target at Scotiabank

MercadoLibre (NASDAQ:MELI) had its target price decreased by Scotiabank from $2,800.00 to $2,300.00 in a report issued on Thursday morning,Benzinga reports. Scotiabank currently has a sector outperform rating on the stock.

Other research analysts have also recently issued reports about the company. Susquehanna lifted their price objective on MercadoLibre to $2,400.00 and gave the company a “positive” rating in a research report on Tuesday, October 6th. Cantor Fitzgerald dropped their target price on shares of MercadoLibre from $2,200.00 to $2,000.00 and set an “overweight” rating for the company in a report on Thursday. Zacks Research upgraded MercadoLibre from a “strong sell” rating to a “hold” rating in a research report on Monday, July 13th. New Street Research initiated coverage on MercadoLibre in a research note on Wednesday, September 23rd. They set a “buy” rating and a $2,450.00 target price on the stock. Finally, BTIG Research lowered their price target on MercadoLibre from $2,150.00 to $2,050.00 and set a “buy” rating on the stock in a report on Thursday. One investment analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and five have assigned a Hold rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average target price of $2,198.75.

MercadoLibre Price Performance

NASDAQ MELI opened at $1,530.28 on Thursday. The company has a quick ratio of 1.10, a current ratio of 1.12 and a debt-to-equity ratio of 0.53. The firm has a market capitalization of $77.59 billion, a P/E ratio of 46.67, a PEG ratio of 1.22 and a beta of 1.42. The company has a 50-day moving average price of $1,816.43 and a 200-day moving average price of $1,807.18. MercadoLibre has a 52 week low of $1,469.01 and a 52 week high of $2,342.00.

MercadoLibre (NASDAQ:MELI) last issued its quarterly earnings results on Wednesday, November 4th. The company reported $8.83 earnings per share for the quarter, missing the consensus estimate of $9.27 by ($0.44). MercadoLibre had a return on equity of 25.93% and a net margin of 4.91%. The business had revenue of $10.75 billion for the quarter, compared to analysts’ expectations of $10.69 billion. During the same quarter in the prior year, the business earned $8.32 EPS. The company’s revenue was up 45.1% compared to the same quarter last year. Equities research analysts anticipate that MercadoLibre will post 38.09 earnings per share for the current year.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Wedbush Fund Advisers LLC purchased a new position in MercadoLibre during the 2nd quarter valued at $29,000. Twin Lakes Capital Management LLC bought a new stake in MercadoLibre during the 2nd quarter valued at about $31,000. NBT Bank N.A. bought a new stake in MercadoLibre during the 3rd quarter valued at about $35,000. Markowski Investments bought a new position in MercadoLibre in the 2nd quarter worth about $36,000. Finally, Byrne Asset Management LLC bought a new stake in shares of MercadoLibre during the third quarter valued at approximately $40,000. Hedge funds and other institutional investors own 87.62% of the company’s stock.

MercadoLibre News Summary

Here are the key news stories impacting MercadoLibre this week:

• Positive Sentiment: Q3 revenue and financial income rose 45% year over year to $10.75 billion, topping estimates. Management highlighted strong Brazil growth and expansion in fintech, alongside growing use of AI. Mercado Libre Q3 results
• Neutral Sentiment: Analysts cut price targets but maintained positive ratings: Scotiabank lowered its target to $2,300 and kept “sector outperform”; BTIG cut to $2,050 with a “buy” rating; Cantor Fitzgerald reduced its target to $2,000 and retained “overweight.” The target reductions temper, but do not remove, their optimism. Scotiabank rating
• Negative Sentiment: Adjusted earnings were $8.83 per share, below the $9.27 consensus estimate. Operating income fell 6% to $676 million, and operating margin contracted to 6.3% from 9.8% a year earlier. Higher logistics, shipping, marketing, technology and affiliate investment costs are weighing on profitability, while currency-neutral growth has slowed for several quarters. These margin and earnings concerns help explain the negative reaction despite the revenue beat. Reuters report on earnings and costs

MercadoLibre Company Profile

MercadoLibre, Inc is a technology company that operates an online commerce and financial services ecosystem across Latin America. Founded in 1999 by Marcos Galperin, the company initially developed an online marketplace and has expanded into a broad platform connecting buyers and sellers with businesses and consumers.

Its commerce operations include the MercadoLibre marketplace, where users can purchase and sell products across numerous categories. The company also offers supporting services such as Mercado Envíos for shipping and logistics, Mercado Ads for digital advertising, and tools for merchants to manage their online businesses.

MercadoLibre’s financial technology business is centered on Mercado Pago, which provides digital payment processing, online checkout, money transfer and account services.