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MercadoLibre (MELI) Outpaces Stock Market Gains: What You Should Know
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In the latest trading session, MercadoLibre (MELI - Free Report) closed at $1,173.14, marking a +0.79% move from the previous day. This move outpaced the S&P 500's daily gain of 0.43%. At the same time, the Dow added 0.25%, and the tech-heavy Nasdaq lost 0.01%.
Heading into today, shares of the operator of an online marketplace and payments system in Latin America had gained 18.2% over the past month, outpacing the Retail-Wholesale sector's gain of 3.8% and the S&P 500's gain of 3.69% in that time.
Wall Street will be looking for positivity from MercadoLibre as it approaches its next earnings report date. In that report, analysts expect MercadoLibre to post earnings of $1.64 per share. This would mark year-over-year growth of 429.03%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.99 billion, up 44.41% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $7.21 per share and revenue of $9.69 billion. These totals would mark changes of +331.74% and +37.12%, respectively, from last year.
Any recent changes to analyst estimates for MercadoLibre should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 0.03% higher within the past month. MercadoLibre currently has a Zacks Rank of #3 (Hold).
Investors should also note MercadoLibre's current valuation metrics, including its Forward P/E ratio of 161.48. Its industry sports an average Forward P/E of 25.2, so we one might conclude that MercadoLibre is trading at a premium comparatively.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 234, which puts it in the bottom 8% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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MercadoLibre (MELI) Outpaces Stock Market Gains: What You Should Know
In the latest trading session, MercadoLibre (MELI - Free Report) closed at $1,173.14, marking a +0.79% move from the previous day. This move outpaced the S&P 500's daily gain of 0.43%. At the same time, the Dow added 0.25%, and the tech-heavy Nasdaq lost 0.01%.
Heading into today, shares of the operator of an online marketplace and payments system in Latin America had gained 18.2% over the past month, outpacing the Retail-Wholesale sector's gain of 3.8% and the S&P 500's gain of 3.69% in that time.
Wall Street will be looking for positivity from MercadoLibre as it approaches its next earnings report date. In that report, analysts expect MercadoLibre to post earnings of $1.64 per share. This would mark year-over-year growth of 429.03%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.99 billion, up 44.41% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $7.21 per share and revenue of $9.69 billion. These totals would mark changes of +331.74% and +37.12%, respectively, from last year.
Any recent changes to analyst estimates for MercadoLibre should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 0.03% higher within the past month. MercadoLibre currently has a Zacks Rank of #3 (Hold).
Investors should also note MercadoLibre's current valuation metrics, including its Forward P/E ratio of 161.48. Its industry sports an average Forward P/E of 25.2, so we one might conclude that MercadoLibre is trading at a premium comparatively.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 234, which puts it in the bottom 8% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.