From Nasdaq: 2024-07-31 12:46:00

MercadoLibre (MELI) is set to report its Q2 2024 results on Aug 1. Estimates suggest a 39.5% rise in revenues to $4.76 billion and a 73.3% jump in earnings to $8.94 per share. The company has a mixed earnings history, with a 2.1% surprise last quarter. Expectations are high for quarterly growth across its e-commerce and fintech businesses.

MercadoLibre’s efforts to enhance branding and loyalty, expand its product selection, and improve its logistics and shipping services are expected to boost commerce revenues in Q2. The company’s ad initiatives and strong momentum in Mercado Pago platform are anticipated to drive ad and fintech revenues, respectively. Key metrics like GMV and total payment volume are also expected to show growth.

While MercadoLibre’s long-term prospects look promising due to its strong position in Latin America and growing fintech platform, near-term challenges like market uncertainties, inflation, and rising competition from Amazon and Walmart are concerning. Shareholders are advised to hold their positions, while new investors should wait for a better entry point. Overall, the company’s growth potential warrants close monitoring.



Read more at Nasdaq: MecadoLibre (MELI) Stock Before Q2 Earnings: Buy, Sell, or Hold?