Baron Funds released its second-quarter 2025 investor letter for the Baron Global Advantage Fund, reporting a return of 22.7% (Institutional Shares) compared to benchmark gains of 11.5% and 17.3%. The fund is up 11.2% year-to-date. Download the letter to see the top five holdings for 2025.

In the letter, Baron Global Advantage Fund highlighted MercadoLibre, Inc. (NASDAQ:MELI), an online commerce platform with a one-month return of -3.26% and a 32.34% gain over 52 weeks. On August 4, 2025, MELI stock closed at $2,395.83 per share with a market cap of $121.462 billion.

Baron Global Advantage Fund’s second-quarter 2025 investor letter highlighted MercadoLibre, Inc. (NASDAQ:MELI) with a maximum drawdown of 21%, driven by initiatives like reducing free shipping thresholds and market weakness. MELI’s intrinsic value has risen significantly over time, with strong growth in e-commerce and fintech sectors.

MercadoLibre, Inc. (NASDAQ:MELI) is not among the 30 most popular stocks held by hedge funds, despite its potential as an investment. While acknowledging MELI’s value, certain AI stocks offer greater upside potential with less downside risk. Consider exploring other growth stocks and hedge fund investor letters for more insights.

Read more at Yahoo Finance: Here’s Why Baron Global Advantage Fund’s Estimate of MercadoLibre’s (MELI) Intrinsic Value Has Risen