MELI Shares Sink 12% In A Week: How Does the Competition Measure Up?

MELI: MercadoLibre logo
MELI
MercadoLibre

Here is how MercadoLibre (MELI) stacks up against its peers in size, valuation, growth and margin.

  • MELI’s operating margin of 12.3% is strong, higher than most peers though lower than EBAY (22.3%).
  • MELI’s revenue growth of 35.8% in the last 12 months is strong, outpacing AMZN, WMT, COST, EBAY, ETSY.
  • MELI’s stock gained 10.9% over the past year and trades at a PE of 53.7, though peers like AMZN, WMT, EBAY, ETSY delivered stronger returns.

As a quick background, MercadoLibre operates an automated online commerce platform enabling sales, purchases, and listings, and offers a fund investment service linked to digital payment accounts in Latin America.

MELI stock has fallen meaningfully recently and we currently find it attractive. While this may feel like an opportunity, there is significant risk in relying on a single stock. On the other hand, there is a huge value to a broader diversified approach. If you seek an upside with less volatility than holding an individual stock, consider the High Quality Portfolio (HQ) – HQ has outperformed its benchmark – a combination of S&P 500, Russell, and S&P midcap index, and achieved returns exceeding 91% since its inception. Risk management is key – consider, what could long-term portfolio performance be if you blended 10% commodities, 10% gold, and 2% crypto with HQ’s performance metrics.

  MELI AMZN WMT COST EBAY ETSY
Market Cap ($ Bil) 110.2 2,334.9 814.3 406.4 43.0 7.5
Revenue ($ Bil) 24.1 670.0 693.2 268.8 10.3 2.8
PE Ratio 53.7 33.1 38.2 51.8 21.1 45.5
LTM Revenue Growth 35.8% 10.9% 4.2% 5.9% 1.5% 2.4%
LTM Operating Margin 12.3% 11.4% 4.2% 3.8% 22.3% 14.0%
LTM FCF Margin 30.6% 2.0% 2.0% 2.7% 20.6% 22.4%
12M Market Return 10.9% 20.6% 28.1% 5.1% 43.2% 41.6%

Why does this matter? MELI just went down -12% in a week – peer comparison puts stock performance, valuation, and financials in context – highlighting whether it is truly outperforming, lagging behind, and above all – can this continue? Read Buy or Sell MELI Stock to see if MercadoLibre is really a falling knife. Sharp dips often come with rebound opportunities – see how the stock has dipped and recovered in the past through MELI Dip Buyer Analysis lens.

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Revenue Growth Comparison

  LTM 2025 2024 2023 2022
MELI 35.8% 37.5% 40.1% 52.5%
AMZN 10.9% 11.0% 11.8% 9.4%
WMT 4.2% 5.1% 6.0% 6.7%  
COST 5.9% 5.0% 6.8% 15.8%
EBAY 1.5% 1.7% 3.2% -6.0%
ETSY 2.4% 2.2% 7.1% 10.2%

Operating Margin Comparison

  LTM 2025 2024 2023 2022
MELI 12.3% 12.7% 14.6% 9.9%
AMZN 11.4% 10.8% 6.4% 2.4%
WMT 4.2% 4.3% 4.2% 3.3%  
COST 3.8% 3.6% 3.3% 3.4%
EBAY 22.3% 22.5% 19.2% 24.0%
ETSY 14.0% 13.5% 12.7% 15.1%

PE Ratio Comparison

  LTM 2025 2024 2023 2022
MELI 53.7 45.1 80.0 88.4
AMZN 33.1 38.8 51.5 -314.4
WMT 38.2 37.4 27.4 33.1  
COST 51.8 55.2 46.6 34.7
EBAY 21.1 15.6 8.4 -18.2
ETSY 45.5 20.0 32.3 -21.9

The Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming its benchmark that includes all 3 – the S&P 500, S&P mid-cap, and Russell 2000 indices. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.