Google-parent Alphabet beat Wall Street estimates for third-quarter revenue on Wednesday, as both its core advertising business and cloud computing unit showed steady growth. ...

Core Viewpoint - The price per share of MercadoLibre does not accurately reflect its value, and it is considered a bargain for long-term investors despite its high trading price [1][2]. Company Overview - MercadoLibre has experienced significant growth, with its stock price increasing over 7,000% since its IPO nearly 20 years ago [3]. - The company is currently led by CEO and co-founder Marcos Galperin, who will step down in 2025, raising concerns about leadership transition [3][4]. Financial Performance - MercadoLibre's net profit margin decreased from 10.5% in Q2 2024 to 7.7% in Q2 2025, resulting in an estimated loss of $200 million in that quarter [5]. - The decline in profit margins is attributed to changes in exchange rates and adjustments in the cost structure of its e-commerce marketplace [7][8]. Management Stability - The new CEO, Ariel Szarfsztejn, has a history with MercadoLibre, which may provide stability during the transition [6]. - Concerns regarding the leadership change are deemed premature, as the company has a solid foundation [6]. Growth Potential - MercadoLibre is focused on increasing product and service adoption through investments in logistics, financial services, and credit offerings [9]. - The company has approximately 71 million active buyers, with a significant portion of commerce revenue coming from Brazil, indicating room for growth [10]. Advertising Revenue - The emerging advertising business could offset losses from profit margin contractions, suggesting a strategic move that may benefit the company in the long run [11]. Valuation - MercadoLibre's stock is currently trading at less than 5 times its sales, which is considered an attractive valuation for potential investors [11]. - Despite the recent contraction in profit margins, the company remains profitable and is expected to continue growing [13].

Group 1 - Goldman Sachs raised its price target on Amazon.com to $275.00 from $240.00 while maintaining a Buy rating [1] - The firm views Amazon as a preferred large-cap name ahead of third-quarter earnings, focusing on the AWS cloud segment and the Advertising business [1] - Analysts project AWS could deliver over 20% top-line growth and sustain GAAP EBIT margins in the low-to-mid-30% range through the second half of 2025 and into 2026 [1] Group 2 - Goldman's outlook is supported by Amazon's revenue backlog, easing capacity constraints, and expanding AI services, including contributions from Anthropic [2] - The firm reiterated its Buy stance and updated its operating estimates, noting an upside-to-downside skew of approximately 3-to-1 from current levels [2]