Skip to Content

MercadoLibre Inc MELI

Rating as of

Morningstar’s Analysis

Currency in USD
Is it the right time to buy or sell?
Find out with Morningstar Premium
Is it the right time to buy or sell?
Find out with Morningstar Premium

1-Star Price


5-Star Price


Economic Moat


Capital Allocation


Wide-Moat MercadoLibre Closed 2020 With Another Quarter of Strong Revenue; Shares Fully Valued

David Swartz Equity Analyst

Analyst Note

| David Swartz |

Wide-moat MercadoLibre continued to benefit from the effects of the pandemic and its investments in product and technology in 2020’s fourth quarter as its revenue growth (in USD) of 97% beat our 80% forecast. We expect to lift our per share fair value estimate on MercadoLibre of $1,300 by a high-single-digit percentage given its improving prospects but view its shares as fully valued.

Read Full Analysis

Company Profile

Business Description

Founded in 1999, MercadoLibre's commerce segment (representing around 52% of net revenue in 2019) includes online marketplaces in more than a dozen Latin American countries, display and paid search advertising capabilities (MercadoClics), online store management services (MercadoShops), and third-party logistics solutions (MercadoEnvios). Its fintech segment includes an online/offline payment-processing platform (MercadoPago), mobile wallet platform, credit solutions for buyers/sellers, and asset management offerings (Mercado Fondo). The company derives more than 95% of its revenue from Brazil, Argentina, and Mexico.

Pasaje Posta 4789, 6th Floor
Buenos Aires, C1430EKG
T +54 1146408000
Sector Consumer Cyclical
Industry Internet Retail
Most Recent Earnings Dec 31, 2020
Fiscal Year End Dec 31, 2021
Stock Type Cyclical
Employees 15,546