QUOTE AND NEWS
Motley Fool  Dec 11  Comment 
Why this little-known tech stock might have been the “one that got away” in 2014
Market Intelligence Center  Dec 1  Comment 
The patented option-trade picking algorithms that power MarketIntelligenceCenter.com's Artifical Intelligence Center found a trading opportunity with Mercadolibre, Inc. (MELI) that should provide a 8.16% return in just 109 days. Sell one Mar. '15...
Market Intelligence Center  Nov 3  Comment 
Mercadolibre, Inc. (MELI) presents a trading opportunity that offers a 6.42% return in just 75 days. A covered call on Mercadolibre at the $135.00 level expiring on Jan. '15 offers an assigned return rate of 6.42% or 31.27% annualized. This...
Motley Fool  Oct 31  Comment 
The Latin American e-commerce leader blew past Wall Street's expectations.
TheStreet.com  Oct 31  Comment 
NEW YORK (TheStreet) -- Shares of Mercadolibre Inc. are up 17.17% to $134.98 after reporting third quarter earnings per share of 76 cents after the bell Thursday, up from 66 cents a year ago. The Argentina-based e-commerce technology company...
Benzinga  Oct 31  Comment 
MercadoLibre Inc (NASDAQ: MELI) rallied nearly 20 percent Friday amid strong earnings and analyst upgrades. Bank of America upgraded the stock and Deutsche Bank raised its price target from $93 to $100 while maintaining a Hold raring. The...
StreetInsider.com  Oct 31  Comment 
Aegerion Pharmaceuticals (NASDAQ: AEGR) 31.9% LOWER ; reported Q3 EPS of ($0.20), $0.06 worse than the analyst estimate of ($0.14). Revenue for the quarter came in at $43.7 million versus the consensus estimate of $48.6 million. Aegerion now...
newratings.com  Oct 31  Comment 
newratings.com  Oct 31  Comment 
BUENOS AIRES (dpa-AFX) - Shares of MercadoLibre Inc. (MELI) soared nearly 15 percent in extended trading on Thursday after the Argentinean e-commerce technology company reported results for the third quarter that significantly topped...




RELATED WIKI ARTICLES
 

MercadoLibre (Nasdaq:MELI) is the largest online trading platform in Latin America. They are market leaders in e-commerce in each of Argentina, Brazil, Chile, Colombia, Ecuador, Mexico, Peru, Uruguay and Venezuela, based on unique visitors and page views during 2007. Additionally, they have recently launched online trading platforms in Costa Rica, the Dominican Republic and Panama. With a market of over 550 million people and a region with one of the world’s fastest-growing Internet penetration rates, they provide buyers and sellers a robust online trading environment that fosters the development of a large and growing e-commerce community. They offer a technological and commercial solution that addresses the distinctive cultural and geographic challenges of operating an online trading platform in Latin America.

Company Overview

Stock = MELI The objective of the firm is to provide a technical launching pad which may allow markets to become ever more efficient in Latin America. Mercado Libre began by pioneering online commerce in the Latin American region under the idea that regional markets were fragmented, lacking breath and asymmetrically informed.

Business Financials

  • Due to a high volume of legal actions against the company, as of the end of 2009 the company holds 1,071, 757 USD in reserve to deal with those actions in which it considers there is a probable loss (316).
  • In 2008 the company initiated a stock repurchase plan that totaled 2,590,742 USD and was further continued into 2009 as the company wrote put option on its stock. The options were not exercised at the expiration date allowing the company to recognize a gain of 185,000 in the first half of 2009 and 302,997 in the second half.
  • Growth in 3Q09 was derived from a 34% increase in the gross merchandise volume transacted through the Mercado Libre marketplace which was partially offset by a decrease in the take rate. A measure defined as Marketplace revenues as a percentage of gross merchandise volume. This decrease was to due to increased penetration in smaller countries were the take rate is naturally smaller, a higher growth in final value listings, and Latin American currency devaluation.
  • For 12.1MM in cash and cash equivalents Mercado Libre acquired a regional competitor DeRemate.com with operations in Mexico, Brazil, Colombia, Ecuador, Peru, Uruguay and Venezuela.
  • In 2007 the company launched its initial public offering (IPO) raising 49,573,239 in cash after the sale of 3MM common stock shares.

[1]

Business Segments

The business segments of the company are divided by the company in which they hold their online commerce platform in.

  • Brazil (25.857% of Net Contribution)
  • Argentina (17.539% of Net Contribution)
  • Mexico (6.343% of Net Contribution)
  • Venezuela (16.998% of Net Contribution)
  • Other countries (6.224% of Net Contribution)

Though the company also recognizes two distinct services it provides: the MercadoLibre marketplace and the MercadoPago online payment solutions. The first is a fully automated online commerce platform that allows individuals or corporations to sell items in a variety of sale formats. The platform further provides a classifieds service for large parcel items like motor vehicles and real estate. The latter is an integrated online payment system that provides safe and efficient transactions.[2]

Revenue Drivers

Revenue drivers in the Mercado Libre Marketplace are: listing fees, optional features fees, final value fees, and online advertising fees. Revenues from the online payment solutions come from fees charged to the buyers and sellers.

Trends and Forces

Population and Internet

With a population of 550MM and one of the highest internet penetration rates in the world, online companies in Latin America face high expected growth rates. [3]

Wikinvest © 2006, 2007, 2008, 2009, 2010, 2011, 2012. Use of this site is subject to express Terms of Service, Privacy Policy, and Disclaimer. By continuing past this page, you agree to abide by these terms. Any information provided by Wikinvest, including but not limited to company data, competitors, business analysis, market share, sales revenues and other operating metrics, earnings call analysis, conference call transcripts, industry information, or price targets should not be construed as research, trading tips or recommendations, or investment advice and is provided with no warrants as to its accuracy. Stock market data, including US and International equity symbols, stock quotes, share prices, earnings ratios, and other fundamental data is provided by data partners. Stock market quotes delayed at least 15 minutes for NASDAQ, 20 mins for NYSE and AMEX. Market data by Xignite. See data providers for more details. Company names, products, services and branding cited herein may be trademarks or registered trademarks of their respective owners. The use of trademarks or service marks of another is not a representation that the other is affiliated with, sponsors, is sponsored by, endorses, or is endorsed by Wikinvest.
Powered by MediaWiki