MercadoLibre, Inc. $MELI Stock: Simplex Trading LLC Lowers Holdings

Simplex Trading LLC lowered its position in shares of MercadoLibre, Inc. (NASDAQ:MELI) by 20.1% in the third quarter, HoldingsChannel.com reports. The firm owned 2,595 shares of the company’s stock after selling 652 shares during the quarter. Simplex Trading LLC’s holdings in MercadoLibre were worth $4,486,000 as of its most recent SEC filing.

Other large investors have also recently bought and sold shares of the company. Wedbush Fund Advisers LLC acquired a new stake in MercadoLibre in the second quarter valued at $29,000. Twin Lakes Capital Management LLC purchased a new stake in MercadoLibre during the 2nd quarter worth about $31,000. NBT Bank N.A. purchased a new stake in MercadoLibre during the 3rd quarter worth about $35,000. Markowski Investments acquired a new position in shares of MercadoLibre during the 2nd quarter worth about $36,000. Finally, Byrne Asset Management LLC acquired a new position in shares of MercadoLibre during the 3rd quarter worth about $40,000. Hedge funds and other institutional investors own 87.62% of the company’s stock.

MercadoLibre News Roundup

Here are the key news stories impacting MercadoLibre this week:

• Positive Sentiment: MercadoLibre reported 45% year-over-year revenue growth in Q3. Investors also have signs of ongoing marketplace momentum: fulfillment space grew nearly 20% quarter over quarter, and orders through Brazil’s affiliate-marketing channel rose 240% year over year. Article: MercadoLibre: 3 Key Takeaways for Long-Term Investors
• Positive Sentiment: A bullish investor view argues the recent selloff may make MELI attractive, emphasizing that users are buying more often and entrusting more money to Mercado Pago despite Brazil’s political jitters and a broader growth-stock pullback. Article: MercadoLibre Stock Looks Attractive Even as Brazil Fears Mount
• Negative Sentiment: Growth is pressuring profitability: shipping expenses and expansion investment are squeezing margins, even as logistics efficiency improves in Brazil. Q3 EPS of $8.83 also missed the $9.27 consensus estimate, tempering the strong revenue result. Article: MercadoLibre’s Growth Strategy Puts Profit Margins to the Test
• Negative Sentiment: JPMorgan cut its price target to $1,850 from $2,150 and kept a neutral rating. Reports also flagged target reductions from Scotiabank and BTIG, adding to pressure on investor expectations, although JPMorgan’s revised target remained above the cited share price. Article: JPMorgan price-target update

Analyst Ratings Changes

A number of research firms have recently commented on MELI. JPMorgan Chase & Co. dropped their price objective on MercadoLibre from $2,150.00 to $1,850.00 and set a “neutral” rating on the stock in a report on Monday. Citigroup upgraded MercadoLibre from a “neutral” rating to a “buy” rating and decreased their target price for the stock from $2,100.00 to $2,050.00 in a research note on Tuesday, October 27th. New Street Research assumed coverage on MercadoLibre in a report on Wednesday, September 23rd. They issued a “buy” rating and a $2,450.00 price target for the company. BTIG Research lowered their price target on MercadoLibre from $2,150.00 to $2,050.00 and set a “buy” rating for the company in a report on Thursday, November 5th. Finally, Susquehanna increased their price target on shares of MercadoLibre to $2,400.00 and gave the company a “positive” rating in a research note on Tuesday, October 6th. One research analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and five have given a Hold rating to the company. According to data from MarketBeat.com, MercadoLibre currently has an average rating of “Moderate Buy” and an average target price of $2,180.00.

MercadoLibre Trading Up 1.5%

MELI opened at $1,532.68 on Tuesday. The company has a quick ratio of 1.10, a current ratio of 1.12 and a debt-to-equity ratio of 0.53. MercadoLibre, Inc. has a 52 week low of $1,469.01 and a 52 week high of $2,342.00. The business’s 50 day moving average is $1,799.34 and its two-hundred day moving average is $1,801.93. The firm has a market cap of $77.71 billion, a price-to-earnings ratio of 41.11, a price-to-earnings-growth ratio of 1.22 and a beta of 1.42.

MercadoLibre (NASDAQ:MELI) last posted its quarterly earnings data on Wednesday, November 4th. The company reported $8.83 earnings per share for the quarter, missing the consensus estimate of $9.27 by ($0.44). The firm had revenue of $10.75 billion during the quarter, compared to analyst estimates of $10.69 billion. MercadoLibre had a net margin of 4.91% and a return on equity of 25.93%. MercadoLibre’s revenue was up 45.1% compared to the same quarter last year. During the same period in the previous year, the company posted $8.32 earnings per share. On average, research analysts predict that MercadoLibre, Inc. will post 38.21 EPS for the current year.

About MercadoLibre

MercadoLibre, Inc operates an online commerce and financial technology platform focused on Latin America. Founded in Argentina in 1999, the company connects buyers and sellers through its marketplace, where businesses and individuals can list and purchase a wide range of products.

The company’s services also include Mercado Pago, which offers digital payment and financial services for transactions on and off its marketplace. MercadoLibre supports commerce with services such as Mercado Envíos, its shipping and logistics platform, and provides advertising tools for merchants and brands.

MercadoLibre serves customers and businesses across numerous Latin American markets, including Brazil, Mexico and Argentina.