MercadoLibre's commerce and fintech revenue growth underpins the view that its shares are undervalued at current prices. The attached chart shows quarterly commerce services revenue reaching $4.3 billion and fintech revenue $4.4 billion in June 2026, up from $769 million and $467 million in March 2021. x.com 

MercadoLibre's falling margins reflect deliberately deferred profit, the Nick Sleep playbook at Amazon and Costco, two decades earlier in its arc. Revenue grew from $28 million in 2005 to $28.9 billion in 2025, a 39.8% CAGR, while operating margin slipped from a 15% peak to 11% as it poured money into fulfillment and free shipping. The market read the margins and sold; the real question is what the business is becoming. Its story scores 91.3, but a 24.6 chart score has yet to confirm it. x.com  … Show more

Political uncertainty and Amazon competition have held MercadoLibre's stock back despite a humming business. The company is great and the stock deserves to turn, but at roughly 45 times earnings and only about 12% gained over five years, it has remained a difficult stock to own. x.com  x.com  x.com  x.com 

MercadoLibre is the backbone of Latin American digital commerce, and its ecosystem keeps feeding its own growth. E-commerce, Mercado Pago payments, credit, logistics and advertising reinforce each other, as more users bring more transactions, more data and better monetization. Execution is elite, with about 39% revenue growth, about 52% free cash flow growth and expanding margins. The valuation is not cheap, but great businesses rarely are, and this is what long-term compounding looks like. … Show more

MercadoLibre's long-term thesis looks intact: heavy reinvestment is holding down near-term margins, but if it drives continued growth and eventually operating leverage, margins and earnings could expand substantially. The stock was extremely expensive five years ago, and its valuation has compressed significantly since. As with Amazon, the market doesn't trust the spending yet, but Meta showed how fast that can change. x.com  x.com 

MercadoLibre's collapsing margins and earnings make its 45-times-earnings valuation look like a value trap. It faces intense competition, and less of its revenue reaches the bottom line; falling earnings make the stock more expensive even as its price falls. Nu Holdings trades at 17 times earnings and Inter & Co at 7 times, with both growing revenue and earnings robustly. Selling MercadoLibre to build positions in companies with better fundamentals is under consideration. x.com  x.com  x.com  x.com 

Latin American equities' sell-off looks overdone as long as the underlying businesses keep growing and fundamentals remain intact. Under that condition, the drop is market noise, and MercadoLibre and Nu Holdings could offer attractive opportunities amid the panic. x.com 

MercadoLibre seems cheap at roughly 3x enterprise value to sales given revenue is up about 700% while its stock price is back at 2020 levels. It is hard to see how the multiple can keep compressing. x.com 

South American political unpredictability keeps investors from rewarding MercadoLibre's excellent fundamentals. Today's selloff illustrates that risk, despite the strength of the business. x.com  x.com 

Today's fundamentals and long growth runways make Nu Holdings and MercadoLibre among the market's most compelling and mispriced opportunities for patient capital. Their short-term outlook shifts mostly with FX volatility and fiscal and monetary policy uncertainty. x.com