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MercadoLibre (MELI) Stock Sinks As Market Gains: What You Should Know
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MercadoLibre (MELI - Free Report) closed at $1,173.81 in the latest trading session, marking a -0.14% move from the prior day. This change lagged the S&P 500's 1.29% gain on the day. Elsewhere, the Dow gained 0.78%, while the tech-heavy Nasdaq lost 4.94%.
Prior to today's trading, shares of the operator of an online marketplace and payments system in Latin America had gained 31% over the past month. This has outpaced the Retail-Wholesale sector's gain of 6.05% and the S&P 500's gain of 5.64% in that time.
MercadoLibre will be looking to display strength as it nears its next earnings release. In that report, analysts expect MercadoLibre to post earnings of $2.11 per share. This would mark year-over-year growth of 329.35%. Meanwhile, our latest consensus estimate is calling for revenue of $2.94 billion, up 38.08% from the prior-year quarter.
Investors might also notice recent changes to analyst estimates for MercadoLibre. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 6.13% higher within the past month. MercadoLibre currently has a Zacks Rank of #1 (Strong Buy).
Valuation is also important, so investors should note that MercadoLibre has a Forward P/E ratio of 78.03 right now. This valuation marks a premium compared to its industry's average Forward P/E of 20.86.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 38, putting it in the top 16% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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) Stock Sinks As Market Gains: What You Should Know
MercadoLibre (MELI - Free Report) closed at $1,173.81 in the latest trading session, marking a -0.14% move from the prior day. This change lagged the S&P 500's 1.29% gain on the day. Elsewhere, the Dow gained 0.78%, while the tech-heavy Nasdaq lost 4.94%.
Prior to today's trading, shares of the operator of an online marketplace and payments system in Latin America had gained 31% over the past month. This has outpaced the Retail-Wholesale sector's gain of 6.05% and the S&P 500's gain of 5.64% in that time.
MercadoLibre will be looking to display strength as it nears its next earnings release. In that report, analysts expect MercadoLibre to post earnings of $2.11 per share. This would mark year-over-year growth of 329.35%. Meanwhile, our latest consensus estimate is calling for revenue of $2.94 billion, up 38.08% from the prior-year quarter.
Investors might also notice recent changes to analyst estimates for MercadoLibre. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 6.13% higher within the past month. MercadoLibre currently has a Zacks Rank of #1 (Strong Buy).
Valuation is also important, so investors should note that MercadoLibre has a Forward P/E ratio of 78.03 right now. This valuation marks a premium compared to its industry's average Forward P/E of 20.86.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 38, putting it in the top 16% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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.