MELI - Why MercadoLibre Stock Is Cheaper Than It Looks
2024-06-29 18:14:00 ET
MercadoLibre (NASDAQ: MELI) is often compared to Amazon for its strong success in the e-commerce market. A focus on Latin America -- with its developing markets that have attractive prospects -- has made it an intriguing growth stock to own.
And over the past five years, the stock's 150% return has blown past Amazon, which is up by around 97% during the same time frame.
But some investors might be growing concerned that MercadoLibre has become too expensive. It trades at more than 70 times earnings, which can be a tough valuation to swallow, especially as fears are rising that the stock market might have become overheated this year, with the S&P 500 continuing to soar to new records.
For further details see:
Why MercadoLibre Stock Is Cheaper Than It Looks