MercadoLibre's Growth Is Accelerating, but the Stock Is Down 38%: What Is the Market Missing?
Wall Street is missing the forest through the trees with this online retailing giant in Latin America.
MercadoLibre's Growth Is Accelerating, but the Stock Is Down 38%: What Is the Market Missing?
Overview
Despite this retail giant's accelerating revenue growth, the market is not happy with MercadoLibre (NASDAQ: MELI) right now. The e-commerce and financial technology (fintech) player spanning Latin America has seen accelerating revenue growth in recent quarters but at the expense of its bottom-line profit margins.
Shares are down some 38% from all-time highs, driven by nervousness about investments in credit card and rapid-delivery infrastructure. While Wall Street is worried about next quarter's profits, it is missing the ecosystem that MercadoLibre is building in Mexico, Brazil, and other markets.
Details
Here's why MercadoLibre stock could be a fantastic contrarian pick amid the artificial intelligence (AI) bull market.
Source
Originally published at www.fool.com.


