MERCADOLIBRE INC (MLB1.DE) Stock Fundamental Analysis
FRA:MLB1 - Deutsche Boerse Ag - US58733R1023 - Common Stock - Currency: EUR
Overall MLB1 gets a fundamental rating of 7 out of 10. We evaluated MLB1 against 11 industry peers in the Broadline Retail industry. MLB1 gets an excellent profitability rating and is at the same time showing great financial health properties. MLB1 is growing strongly while it is still valued neutral. This is a good combination! This makes MLB1 very considerable for growth and quality investing!
1. Profitability
1.1 Basic Checks
In the past year MLB1 was profitable.
In the past year MLB1 had a positive cash flow from operations.
Of the past 5 years MLB1 4 years were profitable.
MLB1 had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
MLB1 has a Return On Assets of 7.45%. This is comparable to the rest of the industry: MLB1 outperforms 54.55% of its industry peers.
With an excellent Return On Equity value of 41.19%, MLB1 belongs to the best of the industry, outperforming 90.91% of the companies in the same industry.
MLB1 has a Return On Invested Capital of 21.15%. This is amongst the best in the industry. MLB1 outperforms 100.00% of its industry peers.
MLB1 had an Average Return On Invested Capital over the past 3 years of 18.86%. This is significantly above the industry average of 8.84%.
The 3 year average ROIC (18.86%) for MLB1 is below the current ROIC(21.15%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.45% | ||
| ROE | 41.19% | ||
| ROIC | 21.15% |
ROA(3y)5.57%
ROA(5y)3.5%
ROE(3y)34.15%
ROE(5y)21.57%
ROIC(3y)18.86%
ROIC(5y)13.44%
1.3 Margins
MLB1's Profit Margin of 9.21% is in line compared to the rest of the industry. MLB1 outperforms 45.45% of its industry peers.
MLB1's Profit Margin has improved in the last couple of years.
MLB1 has a better Operating Margin (12.81%) than 81.82% of its industry peers.
In the last couple of years the Operating Margin of MLB1 has grown nicely.
Looking at the Gross Margin, with a value of 46.13%, MLB1 is in line with its industry, outperforming 54.55% of the companies in the same industry.
In the last couple of years the Gross Margin of MLB1 has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.81% | ||
| PM (TTM) | 9.21% | ||
| GM | 46.13% |
OM growth 3Y25.83%
OM growth 5YN/A
PM growth 3Y98.37%
PM growth 5YN/A
GM growth 3Y2.74%
GM growth 5Y-0.81%
2. Health
2.1 Basic Checks
MLB1 has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for MLB1 remains at a similar level compared to 1 year ago.
MLB1 has more shares outstanding than it did 5 years ago.
The debt/assets ratio for MLB1 has been reduced compared to a year ago.
2.2 Solvency
MLB1 has an Altman-Z score of 4.75. This indicates that MLB1 is financially healthy and has little risk of bankruptcy at the moment.
MLB1's Altman-Z score of 4.75 is in line compared to the rest of the industry. MLB1 outperforms 54.55% of its industry peers.
MLB1 has a debt to FCF ratio of 1.00. This is a very positive value and a sign of high solvency as it would only need 1.00 years to pay back of all of its debts.
MLB1's Debt to FCF ratio of 1.00 is amongst the best of the industry. MLB1 outperforms 100.00% of its industry peers.
A Debt/Equity ratio of 0.57 indicates that MLB1 is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.57, MLB1 is in line with its industry, outperforming 45.45% of the companies in the same industry.
Even though the debt/equity ratio score it not favorable for MLB1, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.57 | ||
| Debt/FCF | 1 | ||
| Altman-Z | 4.75 |
ROIC/WACC2.3
WACC9.19%
2.3 Liquidity
MLB1 has a Current Ratio of 1.20. This is a normal value and indicates that MLB1 is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.20, MLB1 is in the better half of the industry, outperforming 63.64% of the companies in the same industry.
A Quick Ratio of 1.18 indicates that MLB1 should not have too much problems paying its short term obligations.
MLB1's Quick ratio of 1.18 is fine compared to the rest of the industry. MLB1 outperforms 63.64% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.2 | ||
| Quick Ratio | 1.18 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 81.92% over the past year.
Measured over the past years, MLB1 shows a very strong growth in Earnings Per Share. The EPS has been growing by 172.65% on average per year.
The Revenue has grown by 37.68% in the past year. This is a very strong growth!
MLB1 shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 55.35% yearly.
EPS 1Y (TTM)81.92%
EPS 3Y172.65%
EPS 5YN/A
EPS Q2Q%43.66%
Revenue 1Y (TTM)37.68%
Revenue growth 3Y43.24%
Revenue growth 5Y55.35%
Sales Q2Q%36.97%
3.2 Future
MLB1 is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 31.77% yearly.
Based on estimates for the next years, MLB1 will show a very strong growth in Revenue. The Revenue will grow by 20.91% on average per year.
EPS Next Y34.07%
EPS Next 2Y36.58%
EPS Next 3Y36.18%
EPS Next 5Y31.77%
Revenue Next Year32.66%
Revenue Next 2Y28.71%
Revenue Next 3Y26.29%
Revenue Next 5Y20.91%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 58.95, MLB1 can be considered very expensive at the moment.
MLB1's Price/Earnings ratio is a bit more expensive when compared to the industry. MLB1 is more expensive than 72.73% of the companies in the same industry.
MLB1 is valuated expensively when we compare the Price/Earnings ratio to 27.25, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 34.08 indicates a quite expensive valuation of MLB1.
Compared to the rest of the industry, the Price/Forward Earnings ratio of MLB1 indicates a slightly more expensive valuation: MLB1 is more expensive than 63.64% of the companies listed in the same industry.
MLB1's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 36.80.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 58.95 | ||
| Fwd PE | 34.08 |
4.2 Price Multiples
MLB1's Enterprise Value to EBITDA ratio is in line with the industry average.
Based on the Price/Free Cash Flow ratio, MLB1 is valued a bit cheaper than the industry average as 72.73% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.83 | ||
| EV/EBITDA | 32.9 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
MLB1 has an outstanding profitability rating, which may justify a higher PE ratio.
MLB1's earnings are expected to grow with 36.18% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.73
PEG (5Y)N/A
EPS Next 2Y36.58%
EPS Next 3Y36.18%
5. Dividend
5.1 Amount
MLB1 does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
FRA:MLB1 (7/31/2025, 7:00:00 PM)
2079
-6.5 (-0.31%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryBroadline Retail
Earnings (Last)
Earnings (Next)
Inst Owners84.81%
Inst Owner ChangeN/A
Ins Owners0.26%
Ins Owner ChangeN/A
Market Cap105.41B
Analysts82.76
Price Target2490.87 (19.81%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)35.43%
Min EPS beat(2)14.99%
Max EPS beat(2)55.87%
EPS beat(4)3
Avg EPS beat(4)17.01%
Min EPS beat(4)-23.22%
Max EPS beat(4)55.87%
EPS beat(8)6
Avg EPS beat(8)6.84%
EPS beat(12)10
Avg EPS beat(12)12.5%
EPS beat(16)12
Avg EPS beat(16)38.42%
Revenue beat(2)2
Avg Revenue beat(2)3.28%
Min Revenue beat(2)0.98%
Max Revenue beat(2)5.59%
Revenue beat(4)3
Avg Revenue beat(4)2.93%
Min Revenue beat(4)-1.12%
Max Revenue beat(4)6.26%
Revenue beat(8)7
Avg Revenue beat(8)3.52%
Revenue beat(12)10
Avg Revenue beat(12)3.76%
Revenue beat(16)13
Avg Revenue beat(16)4.34%
PT rev (1m)-0.07%
PT rev (3m)11.41%
EPS NQ rev (1m)-3.05%
EPS NQ rev (3m)6.35%
EPS NY rev (1m)-0.25%
EPS NY rev (3m)5.4%
Revenue NQ rev (1m)0.46%
Revenue NQ rev (3m)6.82%
Revenue NY rev (1m)0.42%
Revenue NY rev (3m)5.75%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 58.95 | ||
| Fwd PE | 34.08 | ||
| P/S | 5.43 | ||
| P/FCF | 18.83 | ||
| P/OCF | 16.34 | ||
| P/B | 24.28 | ||
| P/tB | 25.54 | ||
| EV/EBITDA | 32.9 |
EPS(TTM)35.27
EY1.7%
EPS(NY)61.01
Fwd EY2.93%
FCF(TTM)110.42
FCFY5.31%
OCF(TTM)127.26
OCFY6.12%
SpS382.93
BVpS85.62
TBVpS81.4
PEG (NY)1.73
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.45% | ||
| ROE | 41.19% | ||
| ROCE | 29.8% | ||
| ROIC | 21.15% | ||
| ROICexc | 130.55% | ||
| ROICexgc | 155.15% | ||
| OM | 12.81% | ||
| PM (TTM) | 9.21% | ||
| GM | 46.13% | ||
| FCFM | 28.84% |
ROA(3y)5.57%
ROA(5y)3.5%
ROE(3y)34.15%
ROE(5y)21.57%
ROIC(3y)18.86%
ROIC(5y)13.44%
ROICexc(3y)207.02%
ROICexc(5y)N/A
ROICexgc(3y)457.7%
ROICexgc(5y)N/A
ROCE(3y)26.57%
ROCE(5y)18.94%
ROICexcg growth 3Y46.42%
ROICexcg growth 5YN/A
ROICexc growth 3Y51.24%
ROICexc growth 5YN/A
OM growth 3Y25.83%
OM growth 5YN/A
PM growth 3Y98.37%
PM growth 5YN/A
GM growth 3Y2.74%
GM growth 5Y-0.81%
F-Score5
Asset Turnover0.81
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.57 | ||
| Debt/FCF | 1 | ||
| Debt/EBITDA | 0.82 | ||
| Cap/Depr | 154.96% | ||
| Cap/Sales | 4.4% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 212.43% | ||
| Profit Quality | 313.1% | ||
| Current Ratio | 1.2 | ||
| Quick Ratio | 1.18 | ||
| Altman-Z | 4.75 |
F-Score5
WACC9.19%
ROIC/WACC2.3
Cap/Depr(3y)116.48%
Cap/Depr(5y)176.74%
Cap/Sales(3y)3.99%
Cap/Sales(5y)5.36%
Profit Quality(3y)451.37%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)81.92%
EPS 3Y172.65%
EPS 5YN/A
EPS Q2Q%43.66%
EPS Next Y34.07%
EPS Next 2Y36.58%
EPS Next 3Y36.18%
EPS Next 5Y31.77%
Revenue 1Y (TTM)37.68%
Revenue growth 3Y43.24%
Revenue growth 5Y55.35%
Sales Q2Q%36.97%
Revenue Next Year32.66%
Revenue Next 2Y28.71%
Revenue Next 3Y26.29%
Revenue Next 5Y20.91%
EBIT growth 1Y23.69%
EBIT growth 3Y80.24%
EBIT growth 5YN/A
EBIT Next Year76.57%
EBIT Next 3Y44.13%
EBIT Next 5Y34.95%
FCF growth 1Y78.01%
FCF growth 3Y170.77%
FCF growth 5Y86.33%
OCF growth 1Y84.45%
OCF growth 3Y101.69%
OCF growth 5Y77.37%