From Nasdaq: 2024-05-25 04:25:00

Investors regret missing out on Amazon’s success, underestimating its evolution from bookseller to e-commerce giant and cloud computing pioneer. Even Warren Buffett expressed regret before investing in 2019, showing missed opportunities affect seasoned investors too.

Luckily, another e-commerce giant, MercadoLibre, emerged in Latin America. Founded by Marcos Galperin in 1999, MercadoLibre overcame challenges by offering financial products like Mercado Pago to cash-based customers and creating Mercado Envios for reliable shipping.

MercadoLibre’s growth story began with its IPO in 2007, leading to a $1,000 investment then being worth $61,000 today. With a market cap of around $90 billion, it’s a fraction of Amazon’s size with potential to grow further. Strong financials and a growing middle class in Latin America contribute to its success.

In Q1 2024, MercadoLibre saw a 36% rise in revenue, a 20% increase in gross merchandise volume, and a 35% spike in total payment volume. Net income surged 71% year-over-year, showcasing sustained growth. While pricier than Amazon, its revenue growth justifies the premium for investors.

As a second-chance stock compared to Amazon, MercadoLibre’s success in Latin America’s dynamic market makes it an attractive investment. Offering growth potential in e-commerce and fintech, the company has positioned itself to thrive under various economic conditions, appealing to investors seeking returns in the e-commerce sector.

Considerations before investing in MercadoLibre include exploring top stock picks not limited to this company. The Motley Fool’s Stock Advisor service offers a roadmap for successful investing, with historical performance indicating significant returns over the S&P 500 since 2002. Evaluate all options before making investment decisions.



Read more at Nasdaq: Missed Out on Amazon? Buy MercadoLibre Stock Instead