MercadoLibre (NASDAQ:MELI) Reaches New 12-Month Low on Analyst Downgrade

Shares of MercadoLibre, Inc. (NASDAQ:MELI) hit a new 52-week low during mid-day trading on Monday after Benchmark lowered their price target on the stock from $2,780.00 to $2,380.00. Benchmark currently has a buy rating on the stock. MercadoLibre traded as low as $1,591.15 and last traded at $1,564.3970, with a volume of 197256 shares. The stock had previously closed at $1,632.52.

MELI has been the subject of a number of other reports. Barclays decreased their price target on MercadoLibre from $2,600.00 to $2,500.00 and set an “overweight” rating for the company in a research note on Monday, April 20th. BTIG Research lowered their price objective on shares of MercadoLibre from $2,400.00 to $2,150.00 and set a “buy” rating for the company in a research report on Friday. UBS Group lowered their price objective on shares of MercadoLibre from $2,900.00 to $2,700.00 and set a “buy” rating for the company in a research report on Friday, February 27th. Morgan Stanley lowered their price objective on shares of MercadoLibre from $2,800.00 to $2,600.00 and set an “overweight” rating for the company in a research report on Monday, March 9th. Finally, Scotiabank lowered their price objective on shares of MercadoLibre from $3,500.00 to $2,800.00 and set a “sector outperform” rating for the company in a research report on Thursday. One investment analyst has rated the stock with a Strong Buy rating, fourteen have given a Buy rating, three have given a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average price target of $2,452.00.

Institutional Investors Weigh In On MercadoLibre

Several large investors have recently modified their holdings of the business. Wilkinson Global Asset Management LLC raised its holdings in shares of MercadoLibre by 2.3% in the 3rd quarter. Wilkinson Global Asset Management LLC now owns 226 shares of the company’s stock valued at $528,000 after purchasing an additional 5 shares in the last quarter. Hardy Reed LLC raised its holdings in shares of MercadoLibre by 4.0% in the 3rd quarter. Hardy Reed LLC now owns 131 shares of the company’s stock valued at $306,000 after purchasing an additional 5 shares in the last quarter. Rothschild Investment LLC raised its holdings in shares of MercadoLibre by 35.7% in the 3rd quarter. Rothschild Investment LLC now owns 19 shares of the company’s stock valued at $44,000 after purchasing an additional 5 shares in the last quarter. Interchange Capital Partners LLC raised its holdings in shares of MercadoLibre by 2.1% in the 4th quarter. Interchange Capital Partners LLC now owns 243 shares of the company’s stock valued at $490,000 after purchasing an additional 5 shares in the last quarter. Finally, Cornerstone Select Advisors LLC raised its holdings in shares of MercadoLibre by 2.9% in the 4th quarter. Cornerstone Select Advisors LLC now owns 176 shares of the company’s stock valued at $355,000 after purchasing an additional 5 shares in the last quarter. Institutional investors own 87.62% of the company’s stock.

MercadoLibre Stock Performance

The company has a debt-to-equity ratio of 0.68, a quick ratio of 1.15 and a current ratio of 1.17. The firm has a market cap of $80.07 billion, a P/E ratio of 41.74, a price-to-earnings-growth ratio of 0.83 and a beta of 1.41. The firm’s fifty day moving average price is $1,755.81 and its 200 day moving average price is $1,967.33.

MercadoLibre (NASDAQ:MELI) last posted its quarterly earnings results on Thursday, May 7th. The company reported $8.23 EPS for the quarter, missing the consensus estimate of $8.75 by ($0.52). MercadoLibre had a net margin of 6.04% and a return on equity of 30.84%. The business had revenue of $8.85 billion during the quarter, compared to the consensus estimate of $8.29 billion. During the same quarter in the prior year, the firm posted $9.74 EPS. The company’s revenue for the quarter was up 49.0% compared to the same quarter last year. Sell-side analysts expect that MercadoLibre, Inc. will post 47.84 EPS for the current fiscal year.

MercadoLibre Company Profile

MercadoLibre, Inc operates an integrated e-commerce and fintech ecosystem serving consumers and businesses across Latin America. The company provides an online marketplace that connects buyers and sellers for a wide range of goods and services, supported by tools for merchants, advertising, and classifieds. Over time MercadoLibre has expanded beyond its marketplace roots into complementary areas that support digital commerce end to end.

Key offerings include its marketplace platform and a suite of logistics and payment services.