Exploring MERCADOLIBRE INC (NASDAQ:MELI)'s CANSLIM characteristics.

In this article we will dive into MERCADOLIBRE INC (NASDAQ:MELI) as a possible candidate for growth investing. Investors should always do their own research, but we noticed MERCADOLIBRE INC showing up in our CANSLIM growth screen, which makes it worth to investigate a bit more.

Some of the canslim metrics of MELI highlighted

• The recent financial report of MELI demonstrates a 288.0% increase in quarterly earnings compared to the previous quarter. This growth indicates positive momentum in the company's financials and suggests a promising upward trend
• MELI has experienced 42.2% q2q revenue growth, indicating a significant sales increase.
• MELI has achieved 173.0% growth in EPS over the past 3 years, reflecting a sustained improvement in earnings performance.
• With a solid Return on Equity (ROE) of 43.92%, MELI exemplifies its ability to generate favorable returns on shareholder investments. This metric demonstrates the company's commitment to maximizing shareholder value.
• MELI has maintained a healthy Relative Strength (RS) over the analyzed period, with a current 92.39 rating. This demonstrates the stock's ability to outperform its peers and indicates its competitive positioning.
• With a Debt/Equity ratio of 0.66, MELI demonstrates prudent financial management.
• The ownership composition of MELI reflects a balanced investor ecosystem, with institutional shareholders owning 83.73%. This indicates a broader market participation and potential for increased trading liquidity.

Analyzing the Technical Aspects

As part of its analysis, ChartMill provides a comprehensive Technical Rating for each stock. This rating, ranging from 0 to 10, is updated on a daily basis and is based on the evaluation of various technical indicators and properties.

Overall MELI gets a technical rating of 8 out of 10. In the last year, MELI was one of the better performers, but we do observe some doubts in the very recent evolution.

• The long term trend is positive and the short term trend is neutral. The long term trend may just continue or reversal may be around the corner!
• When comparing the yearly performance of all stocks, we notice that MELI is one of the better performing stocks in the market, outperforming 92% of all stocks.
• MELI is part of the Broadline Retail industry. There are 32 other stocks in this industry. MELI outperforms 83% of them.
• MELI is currently trading in the upper part of its 52 week range. The market is still in the middle of its 52 week range, so MELI slightly outperforms the market at the moment.
• In the last month MELI has a been trading in the 1896.00 - 2374.54 range, which is quite wide. It is currently trading in the middle of this range, so some resistance may be found above.

For an up to date full technical analysis you can check the technical report of MELI

How does the complete fundamental picture look for MELI?

ChartMill utilizes a proprietary algorithm to assign a Fundamental Rating to every stock. This rating, ranging from 0 to 10, is computed daily by analyzing a variety of fundamental indicators and properties.

Overall MELI gets a fundamental rating of 7 out of 10. We evaluated MELI against 32 industry peers in the Broadline Retail industry. MELI gets an excellent profitability rating and is at the same time showing great financial health properties. MELI shows excellent growth, but is valued quite expensive already. These ratings would make MELI suitable for growth and quality investing!

Our latest full fundamental report of MELI contains the most current fundamental analsysis.

More ideas for growth investing can be found on ChartMill in our CANSLIM screen.

Keep in mind

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.