Core Viewpoint - MercadoLibre, Inc. is a leading e-commerce and fintech company in Latin America, with strong revenue growth projected despite facing challenges in margins due to investment costs and competition [1][2]. Financial Performance - The expected earnings per share (EPS) is $11.45, with projected revenue of approximately $8.45 billion [1][6]. - The Zacks Consensus Estimate projects revenues of $8.52 billion, indicating a significant year-over-year growth of 40.55% [2][6]. - The Zacks Consensus Estimate for EPS is $11.77, reflecting a year-over-year decline of 6.66% [3][6]. Valuation Metrics - MercadoLibre's price-to-earnings (P/E) ratio is 45.51, indicating a premium investors are willing to pay for its earnings [3]. - The price-to-sales ratio is 3.61, and the enterprise value to sales ratio is 3.89, reflecting the market's valuation of its revenue [3]. - The enterprise value to operating cash flow ratio is 11.25, indicating how the market values its cash-generating ability [4]. Financial Health - The earnings yield is 2.20%, providing insight into the return on investment [4]. - The debt-to-equity ratio is 1.59, showing the proportion of debt used to finance its assets relative to equity [4]. - The current ratio is 1.17, suggesting that the company can cover its short-term liabilities with its short-term assets [5].
MercadoLibre, Inc. (NASDAQ:MELI) Quarterly Earnings Preview