MercadoLibre, Inc. $MELI Shares Acquired by Avity Investment Management Inc.

Avity Investment Management Inc. boosted its position in MercadoLibre, Inc. (NASDAQ:MELI) by 31.5% in the 2nd quarter, HoldingsChannel.com reports. The firm owned 12,388 shares of the company’s stock after buying an additional 2,967 shares during the period. MercadoLibre accounts for about 1.3% of Avity Investment Management Inc.’s holdings, making the stock its 28th largest holding. Avity Investment Management Inc.’s holdings in MercadoLibre were worth $21,027,000 as of its most recent SEC filing.

Other hedge funds and other institutional investors have also recently bought and sold shares of the company. Laurel Wealth Advisors LLC purchased a new stake in MercadoLibre during the fourth quarter worth $26,000. Transamerica Financial Advisors LLC purchased a new position in shares of MercadoLibre in the fourth quarter valued at $26,000. Purpose Unlimited Inc. acquired a new position in shares of MercadoLibre during the 4th quarter worth $28,000. Darwin Wealth Management LLC acquired a new position in shares of MercadoLibre during the 2nd quarter worth $29,000. Finally, Curio Wealth LLC purchased a new stake in shares of MercadoLibre in the 4th quarter worth about $30,000. 87.62% of the stock is owned by institutional investors and hedge funds.

Analysts Set New Price Targets

MELI has been the subject of several recent research reports. Scotiabank dropped their target price on shares of MercadoLibre from $3,500.00 to $2,800.00 and set a “sector outperform” rating for the company in a report on Thursday, May 7th. Weiss Ratings reiterated a “hold (c)” rating on shares of MercadoLibre in a research report on Thursday, July 2nd. BTIG Research reissued a “buy” rating and set a $2,150.00 price objective on shares of MercadoLibre in a research note on Thursday. Morgan Stanley cut their price objective on MercadoLibre from $2,600.00 to $2,450.00 and set an “overweight” rating for the company in a research report on Monday, May 11th. Finally, The Goldman Sachs Group set a $2,100.00 target price on MercadoLibre in a research note on Wednesday, May 13th. Eleven analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company’s stock. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $2,255.33.

MercadoLibre News Roundup

Here are the key news stories impacting MercadoLibre this week:

• Positive Sentiment: Q2 results exceeded expectations. Revenue increased 49.8% year over year to $10.17 billion, surpassing estimates of $9.79 billion, while earnings of $9.19 per share beat consensus. Growth was broad-based across commerce, fintech and advertising. MercadoLibre’s Q2 Earnings Beat Estimates, Revenues Rise Y/Y
• Positive Sentiment: Engagement and ecosystem momentum remain strong. MercadoLibre surpassed $10 billion in quarterly revenue for the first time, with record payment volumes, increased unique buyers and stronger interaction between its marketplace and financial-services products. Lowering Brazil’s free-shipping threshold reportedly converted monthly shoppers into more frequent users. Mercado Libre Free Shipping Converts Monthly Shoppers Into Daily Active Users
• Positive Sentiment: Analysts remain constructive. Cantor Fitzgerald raised its price target to $2,300 and maintained an overweight rating, while BTIG reaffirmed its buy rating with a $2,150 target. Analyst Rating and Price Target Updates
• Neutral Sentiment: Management is prioritizing long-term scale over near-term margins. Spending on free shipping, first-party inventory, credit-card issuance, artificial intelligence and lower-end customer acquisition is intended to deepen loyalty and expand MercadoLibre’s competitive moat. MercadoLibre Q2 Earnings Call Focuses on Engagement Over Margin
• Negative Sentiment: Profitability is the central concern. Margin compression, higher costs and rising nonperforming loans caused net profit to decline for a third consecutive quarter. Although management characterizes the pressure as strategic and temporary, investors appear concerned that reinvestment may take longer to translate into earnings and cash flow. MercadoLibre’s Net Profit Beats Estimates Despite Third Straight Decline

Insiders Place Their Bets

In other MercadoLibre news, Director Alejandro Nicolas Aguzin purchased 600 shares of the business’s stock in a transaction on Friday, May 22nd. The stock was bought at an average cost of $1,655.93 per share, for a total transaction of $993,558.00. Following the acquisition, the director owned 5,355 shares of the company’s stock, valued at approximately $8,867,505.15. The trade was a 12.62% increase in their position. The acquisition was disclosed in a legal filing with the SEC, which is available at this link. Company insiders own 0.26% of the company’s stock.

MercadoLibre Price Performance

MercadoLibre stock opened at $1,820.69 on Friday. The stock has a market capitalization of $92.31 billion, a P/E ratio of 49.52, a P/E/G ratio of 1.12 and a beta of 1.34. MercadoLibre, Inc. has a 12-month low of $1,495.00 and a 12-month high of $2,548.50. The company has a debt-to-equity ratio of 0.63, a current ratio of 1.16 and a quick ratio of 1.14. The firm’s 50-day moving average is $1,747.86 and its two-hundred day moving average is $1,797.03.

MercadoLibre (NASDAQ:MELI) last posted its quarterly earnings data on Wednesday, August 5th. The company reported $9.19 earnings per share for the quarter, beating analysts’ consensus estimates of $8.65 by $0.54. The business had revenue of $10.17 billion during the quarter, compared to analyst estimates of $9.79 billion. MercadoLibre had a net margin of 5.30% and a return on equity of 27.60%. The company’s revenue was up 49.8% on a year-over-year basis. During the same quarter in the previous year, the business posted $10.31 earnings per share. Equities analysts predict that MercadoLibre, Inc. will post 40.69 earnings per share for the current 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.