Citi Reduces PT on MercadoLibre (MELI) to $2,500 From $2,700, Keeps a Buy Rating

MercadoLibre, Inc. (NASDAQ:MELI) is one of the best large cap stocks to invest in for the long term. Citi slashed the price target on MercadoLibre, Inc. (NASDAQ:MELI) to $2,500 from $2,700 on November 17, keeping a Buy rating on the stock. The firm also opened a “90-day negative short-term” on the company, backing the outlook with investor concerns regarding a potential downward earnings estimate revisions and competition.

However, the firm also stated that MercadoLibre, Inc. (NASDAQ:MELI) has a favorable risk/reward after the 11% pullback post earnings. The company reported its fiscal Q3 2025 earnings on October 29, reporting a 39% year-over-year growth in net revenue to $7.4 billion. The quarter marked the 27th consecutive quarter of growth over 30% year-over-year.

MercadoLibre, Inc. (NASDAQ:MELI) reported that NPS data and market share demonstrated a considerable strengthening in the company’s competitive position through the same period. In addition, the company’s ongoing investments in free shipping, user experience, fulfilment, and assortment drove considerable growth in Mexico, Brazil, and Argentina.

MercadoLibre, Inc. (NASDAQ:MELI) operates an online commerce platform that focuses on e-commerce and associated services. Its operations are divided into the following geographical segments: Brazil, Argentina, Mexico, and Other Countries.

While we acknowledge the potential of MELI as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.