In its upcoming report, MercadoLibre (MELI) is predicted by Wall Street analysts to post quarterly earnings of $9.74 per share, reflecting an increase of 24.4% compared to the same period last year. Revenues are forecasted to be $7.19 billion, representing a year-over-year increase of 35.4%.
Over the past 30 days, the consensus EPS estimate for the quarter has been adjusted downward by 2.5% to its current level. This demonstrates the covering analysts' collective reassessment of their initial projections during this period.
Before a company announces its earnings, it is essential to take into account any changes made to earnings estimates. This is a valuable factor in predicting the potential reactions of investors toward the stock. Empirical research has consistently shown a strong correlation between trends in earnings estimate revisions and the short-term price performance of a stock.
While investors typically rely on consensus earnings and revenue estimates to gauge how the business may have fared during the quarter, examining analysts' projections for some of the company's key metrics often helps gain a deeper insight.
With that in mind, let's delve into the average projections of some MercadoLibre metrics that are commonly tracked and projected by analysts on Wall Street.
According to the collective judgment of analysts, 'Revenues- Fintech' should come in at $3.22 billion. The estimate indicates a change of +48.1% from the prior-year quarter.
Analysts expect 'Revenues- Commerce' to come in at $4.08 billion. The estimate suggests a change of +30% year over year.
The average prediction of analysts places 'Geographic Revenue- Mexico' at $1.67 billion. The estimate points to a change of +45.7% from the year-ago quarter.
Analysts forecast 'Geographic Revenue- Argentina' to reach $1.56 billion. The estimate points to a change of +51.5% from the year-ago quarter.
The consensus estimate for 'Geographic Revenue- Brazil' stands at $3.92 billion. The estimate indicates a change of +34.5% from the prior-year quarter.
The collective assessment of analysts points to an estimated 'Geographic Revenue- Commerce- Brazil' of $2.41 billion. The estimate indicates a change of +33.4% from the prior-year quarter.
It is projected by analysts that the 'Geographic Revenue- Fintech- Brazil' will reach $1.50 billion. The estimate indicates a year-over-year change of +36.3%.
The consensus among analysts is that 'Geographic Revenue- Other countries' will reach $293.12 million. The estimate indicates a change of +32.6% from the prior-year quarter.
The combined assessment of analysts suggests that 'Geographic Revenue- Fintech- Argentina' will likely reach $1.06 billion. The estimate indicates a year-over-year change of +70.2%.
Analysts predict that the 'Geographic Revenue- Commerce- Mexico' will reach $1.08 billion. The estimate suggests a change of +43.1% year over year.
Based on the collective assessment of analysts, 'Gross merchandise volume' should arrive at $16.20 billion. Compared to the current estimate, the company reported $12.91 billion in the same quarter of the previous year.
Analysts' assessment points toward 'Total payment volume' reaching $71.07 billion. The estimate compares to the year-ago value of $50.69 billion.
View all Key Company Metrics for MercadoLibre here>>>
Over the past month, MercadoLibre shares have recorded returns of -13.8% versus the Zacks S&P 500 composite's +1.3% change. Based on its Zacks Rank #4 (Sell), MELI will likely underperform the overall market in the upcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
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MercadoLibre, Inc. (MELI): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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