Fundamental analysis · SEC EDGAR · TTM through 30/06/2026

Fundamental analysis of Mercadolibre Inc

MELI · Nasdaq · Consumer

Fundamental quality

ATTRACTIVE

83

out of 100

Mercadolibre Inc earns a fundamental-quality score of 83 out of 100, profiling it as a company with solid fundamentals. Its score rests mainly on its growth (revenue +48.7%/yr). Its weakest area is its profitability (net margin 5.3%). Whether it's cheap or expensive depends on the current price, which you can compute in the tool.

What the company does

MercadoLibre is Latin America's Amazon and PayPal in a single company: the region's largest e-commerce operation plus Mercado Pago, the fintech banking millions the banks never served. Two giant businesses feeding each other across a continent still going digital.

What will shape its future

  • Mercado Pago: credit and payments grow even faster than commerce.
  • Brazil, Mexico and Argentina: three volatile macroeconomies as its game board.
  • Asian competition (Shein, Temu, Amazon), attacking its regional crown.

Breakdown by area

I.Growth
95

EPS growth: 98.9% · Revenue growth: 48.7%

II.Profitability
69

Net margin: 5.3% · ROE: 23.8% · ROIC: 14%

III.Financial health
85

Net debt/EBITDA: 1.79x · FCF: 35.3%

Source: SEC EDGAR · TTM through 30/06/2026

The score combines growth, profitability and financial strength. Here its growth weighs in its favor, while its profitability drags it down the most.

Versus its sector

Percentile against the other 98 Consumer companies in our coverage: how far it beats them on each metric (100 = best in sector).

Net marginbeats 54%
ROEbeats 65%
Growthbeats 94%
Cash generationbeats 99%
Less debtbeats 46%

Computed from the daily dataset scores. A high percentile places the company among the best in its sector on that metric; it is not a buy recommendation.

Key concepts

What do these metrics mean? Fundamental analysis · What is the P/E · What is EPS · What is ROE · Net & gross margin · Free cash flow

Mercadolibre Inc strengths

  • Growing earnings per share (98.9% annualized).
  • Revenue growing strongly (48.7% annualized).
  • Excellent free-cash-flow generation (FCF margin of 35.3%): profit turns into real cash.
  • Strong return on equity (ROE of 23.8%): it puts shareholder capital to good use.

Mercadolibre Inc risks and weaknesses

  • Its net debt has grown over the period.

Mercadolibre Inc historical evolution

YearRevenueNet incomeFree cash flowNet debt
20203,974-1935-996
20217,06983392933
202210,7804822,4862,848
202315,1079874,6311,939
202420,7771,9117,0583,080
202528,8931,99710,7735,523

Between 2020 and 2025, revenue went from $3,974M to $28,893M (+627%) and net income went from -$1M to $1,997M (+199800%).

Annual figures in millions of U.S. dollars ($M) per SEC filings. Net debt is total debt minus cash.

Latest results

Versus the same period a year earlier

Figures for the half-year ended June 30, 2026, versus the half-year ended June 30, 2025 (SEC filings):

  • Revenue+49.4%
  • Net income-13.2%

What changed with the June 30, 2026 results

Compared with the previous close (March 31, 2026), this is what moved in its accounts:

  • Quality score8483
  • Net margin6%5.3%
  • ROE26.4%23.8%
  • FCF margin37.2%35.3%

Automatic comparison between the two most recent periods filed with the SEC. One quarter doesn't make a trend: read it alongside the historical evolution above.

Dividend

$0.6

per share, yearly

4.8% of free cash flow

Payout

The dividend yield depends on today's price. Compute it in the analyzer → · See all dividend-paying stocks →

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Is Mercadolibre Inc cheap or expensive?

That depends on the current price. Look it up, enter it in the tool and get the full valuation verdict (P/E against its sector).

Compute the valuation →

Frequently asked questions

Is Mercadolibre Inc a good company to invest in?

In terms of business quality, Mercadolibre Inc scores 83 out of 100 in our analysis, placing it as a company of high fundamental quality. That said, this isn't a recommendation: whether it's a good investment also depends on its current price and your goals.

Is Mercadolibre Inc a profitable company?

Mercadolibre Inc is profitable, with a net margin of 5.3%, though a thin one.

Does Mercadolibre Inc have a lot of debt?

A moderate level: its net debt is 1.79 times its EBITDA.

Is Mercadolibre Inc growing?

Its revenue has grown 48.7% annualized in recent years and its earnings per share 98.9%, and without interruption since 2020.

Does Mercadolibre Inc generate cash?

Yes. It converts about 35.3% of its revenue into free cash flow, and has done so positively year after year.

The thresholds are general and the system doesn't judge qualitative factors. See the full methodology and use this analysis as a first filter, never as a final decision.

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