Mercado Libre Inc. (NASDAQ: MELI) is the United States incorporated Argentine e-commerce corporation which was founded on the 2nd August in 1999 i.e. 21 years ago by Marcos Galperin and has its headquarters sited in Buenos Aires in Argentina. Its e-commerce market in Latin America is so strong that it is even referred to as the Amazon.com of Latin America. While the last year 2020 brought about seriously affecting tough times for so many companies and the associated businesses, the e-commerce sector touched new heights of growth during this time. This is why MercadoLibre also saw huge success and growth during that course of time. Also, the e-commerce industry does not fear the post-pandemic era because it is the industry of the new world that goes hand in hand with technology. This is why, for the upcoming times, investing in e-commerce companies would be a safe play but the only disadvantage here is that most of these are expensive. However, investors are looking for solid investments, and let us figure out how well does this stock fit into being a profitable and secure stock for the investors in terms of an investment.
MercadoLibre Inc. (NASDAQ: MELI): Earnings Report for the First Quarter of the Present Year (2021)
The first-quarter net revenue of the company came out to be $1.4 billion which was a wholesome increase on a year-over-year basis for the company by 111.4% in USD. This time, the gross profit of the firm has come out to be $591.4 million with a margin of 42.9% while in the last year, the margin was $48.0%. The net loss per share was $0.68 per share or we can say $34 million. The unique active users of the company have increased by 61.6% on a year-over-year basis and have reached the value of 69.8 million. The report shows significant progress of the company and also confirms that it will not go slow in its growth. The investors can very well trust MercadoLibre right now.
MercadoLibre Inc. (NASDAQ: MELI):
- 52 Week Range: $941.44 – $2,020.00
- Average Volume: 451,576
- Market Capital: $73.881B
- Forward Dividend and Yield: N/A (N/A)
Indeed the stock is very expensive and not everyone can easily afford it but the increase in price within a year is notable. Although right now, the company’s stock is trading at almost $500 below its peak price at around $1,482. This is still expensive but the company is in a good state at present.
Yes! MercadoLibre Stock is a Good Choice for Investing
The e-commerce industry has made its name and has shown that it is a trustworthy sector for investing. This is why all the established or growing companies are good for investing and therefore, MercadoLibre stock is a strong and quite reliable stock for investing. The price is high but the investors looking out for expensive and reliable stocks can invest in here with the least amount of risk.