MercadoLibre (NASDAQ:MELI) Hits New 1-Year Low After Analyst Downgrade

MercadoLibre, Inc. (NASDAQ:MELI)’s share price hit a new 52-week low during trading on Friday after BTIG Research lowered their price target on the stock from $2,650.00 to $2,400.00. BTIG Research currently has a buy rating on the stock. MercadoLibre traded as low as $1,631.18 and last traded at $1,665.0560, with a volume of 110667 shares. The stock had previously closed at $1,666.93.

A number of other research firms also recently commented on MELI. Wedbush dropped their target price on shares of MercadoLibre from $2,600.00 to $2,400.00 and set an “outperform” rating on the stock in a report on Wednesday, February 25th. JPMorgan Chase & Co. cut shares of MercadoLibre from an “overweight” rating to a “neutral” rating and reduced their target price for the stock from $2,650.00 to $2,100.00 in a report on Thursday, March 12th. Weiss Ratings lowered shares of MercadoLibre from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Thursday, January 8th. Itau BBA Securities reaffirmed an “outperform” rating on shares of MercadoLibre in a report on Wednesday, February 25th. Finally, UBS Group cut their price objective on 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. One investment analyst has rated the stock with a Strong Buy rating, fourteen have given a Buy rating and four have given a Hold rating to the stock. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $2,708.67.

Institutional Investors Weigh In On MercadoLibre

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

MercadoLibre Trading Down 1.9%

The business’s 50-day simple moving average is $1,948.16 and its 200-day simple moving average is $2,093.22. The company has a market cap of $82.93 billion, a PE ratio of 41.52, a P/E/G ratio of 0.82 and a beta of 1.48. The company has a current ratio of 1.17, a quick ratio of 1.15 and a debt-to-equity ratio of 0.68.

MercadoLibre (NASDAQ:MELI) last posted its quarterly earnings results on Tuesday, February 24th. The company reported $11.03 EPS for the quarter, missing the consensus estimate of $11.66 by ($0.63). MercadoLibre had a net margin of 6.91% and a return on equity of 33.73%. The company had revenue of $8.76 billion for the quarter, compared to analysts’ expectations of $8.45 billion. During the same quarter in the prior year, the firm earned $12.61 earnings per share. The company’s revenue was up 44.6% on a year-over-year basis. As a group, analysts expect that MercadoLibre, Inc. will post 43.96 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.