Latin American e-commerce and fintech company MercadoLibre (NASDAQ:MELI) will be reporting results this Tuesday after market close. Here’s what you need to know.
MercadoLibre beat analysts’ revenue expectations last quarter, reporting revenues of $7.41 billion, up 39.5% year on year. It was a slower quarter for the company, with a miss of analysts’ EBITDA estimates.
Is MercadoLibre a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting MercadoLibre’s revenue to grow 40.1% year on year, improving from the 37.4% increase it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. MercadoLibre has a history of exceeding Wall Street’s expectations.
Looking at MercadoLibre’s peers in the online marketplace segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Shutterstock’s revenues decreased 12% year on year, missing analysts’ expectations by 12.7%, and Instacart reported revenues up 12.3%, topping estimates by 2%. Shutterstock traded down 12.7% following the results while Instacart was up 9.2%.
Read our full analysis of Shutterstock’s results here and Instacart’s results here.
The euphoria surrounding Trump’s November win lit a fire under major indices, but potential tariffs have caused the market to do a 180 in 2025. Unfortunately, online marketplace stocks have struggled in this environment as share prices are down 17.1% on average over the last month. MercadoLibre is down 9.6% during the same time and is heading into earnings with an average analyst price target of $2,807 (compared to the current share price of $2,000).
When a company has more cash than it knows what to do with, buying back its own shares can make a lot of sense–as long as the price is right. Luckily, we’ve found one, a low-priced stock that is gushing free cash flow AND buying back shares. Click here to claim your Special Free Report on a fallen angel growth story that is already recovering from a setback.