MercadoLibre, Inc. (NASDAQ: MELI) is back in the spotlight today as a wave of fresh institutional filings and bullish commentary from major finance outlets hit the tape. While the stock has cooled off from its 2025 highs, Wall Street remains broadly positive on the Latin American e‑commerce and fintech giant, even as profitability faces pressure.
As of Friday’s close (November 28, 2025), MercadoLibre shares finished around $2,082, giving the company a market capitalization of roughly $105.5 billion. The stock is up about 22% year to date, but down around 9% over the last month and roughly 16% over the last three months, leaving it just under 5% higher than a year ago and well below its 52‑week high near $2,645. [1]
Below is a breakdown of today’s key news (November 29, 2025) and how it fits into the bigger picture for MercadoLibre stock.
Key Takeaways for November 29, 2025
- Multiple hedge funds and asset managers disclosed major Q2 position changes in MELI, with some sharply increasing stakes and others taking profits, underscoring active institutional repositioning. [2]
- The Motley Fool highlighted MercadoLibre as both an “ultimate growth stock” and one of the “smartest growth stocks” to buy now, emphasizing its dominant ecosystem and long growth runway in Latin America. [3]
- Analysts still see substantial upside: MarketBeat and Investing.com show average 12‑month price targets near $2,850, implying roughly 37% potential upside from current levels, with consensus ratings ranging from Moderate Buy to Strong Buy. [4]
- Recent volatility is tied less to growth and more to margins: Q2 and Q3 2025 brought strong revenue expansion but earnings misses and margin compression as MercadoLibre invested heavily in free shipping, credit, and marketing, and dealt with macro pressures in Argentina. [5]
MercadoLibre Stock Snapshot: Price, Performance and Valuation
According to MarketBeat’s daily price history, MercadoLibre closed on November 28, 2025 at approximately $2,082.00, up 2.39% on the day. That equates to a market cap around $105.55 billion. Over the last 12 months, the share price has risen about 4.9%, with a 22.4% year‑to‑date gain, but the stock has slid 9.3% over the past month and 15.8% over the last three months, underscoring recent volatility. [6]
The 52‑week range currently sits around $1,646 to $2,645, placing today’s level closer to the middle of that band. [7]
A deeper look from Trefis shows:
- Last‑twelve‑month revenue of about $26.2 billion, up roughly 37% from a year earlier.
- Net income margin near 7.9%, versus about 13.1% for the S&P 500 basket they use for comparison.
- A trailing P/E multiple in the high 40s to low 50s, down sharply from over 70 a year ago as valuation multiples compressed even while earnings rose. [8]
From August 29 to November 28, 2025, Trefis estimates MELI shares fell around 18%, driven primarily by multiple contraction, not deteriorating fundamentals. Over the past year, the stock is essentially flat (roughly ‑0.6%), despite substantial revenue growth, again signaling that the market is re‑rating the stock’s valuation rather than its business trajectory. [9]
Today’s Big Theme: Hedge Funds Reshuffle MercadoLibre Positions
A cluster of new 13F‑related headlines published today highlights just how actively institutional investors have been trading MercadoLibre this year. These filings relate to second‑quarter 2025 positions, but the reports themselves were released on November 29, 2025, making them the latest official look at who owns MELI.
Major buyers
- Skandinaviska Enskilda Banken AB publ (SEB)
- Increased its stake in MercadoLibre by 219.5% in Q2.
- Now holds 49,979 shares, worth roughly $127.9 million, representing about 0.10% of the company. [10]
- Quadrature Capital Ltd
- Boosted its MELI position by 39.5%, buying 6,981 additional shares in Q2.
- Now owns 24,654 shares valued around $64.4 million, making MercadoLibre about 1.1% of the fund and its 16th‑largest holding. [11]
- Virtus Investment Advisers LLC
- Initiated a new stake of 624 shares, valued at about $1.63 million during Q2, joining the long list of institutions accumulating exposure to MELI. [12]
Major sellers
- Marcho Partners LLP
- Cut its MercadoLibre stake by 49.6% in Q2, selling 16,428 shares.
- Still holds 16,677 shares, worth around $43.6 million—and despite the sale, MELI remains Marcho’s second‑largest holding, at about 15.4% of its portfolio. [13]
- Rhumbline Advisers
- Trimmed its position by 28.2%, selling 2,919 shares in Q2.
- Now owns 7,446 shares, valued at about $19.5 million. [14]
Across these filings, MarketBeat notes that roughly 87.6% of MercadoLibre’s stock is in the hands of institutional investors and hedge funds, highlighting how heavily professional money managers drive trading in MELI. [15]
What this means:
- The bullish camp (SEB, Quadrature, Virtus and others) appears to be leaning into the long‑term growth story, willing to tolerate near‑term margin pressure for sustained market share gains.
- The sellers (Marcho, Rhumbline and selected others) may be locking in gains after a multi‑year run or managing risk after two consecutive quarters of EPS misses.
- High institutional ownership can amplify moves in both directions as funds rebalance.
Bullish Coverage: Motley Fool Calls MELI a Top Growth Stock Right Now
On the editorial side, The Motley Fool put MercadoLibre front and center today in multiple pieces distributed via Nasdaq, Finviz and other syndication partners.
1. “The Ultimate Growth Stock to Buy With $2,000 Right Now”
In an article published at 12:00 a.m. EST and hosted on Nasdaq’s site, Motley Fool contributor Jeremy Bowman describes MercadoLibre as an “ultimate growth stock” and notes that: [16]
- The stock has climbed roughly 7,000% since its 2007 IPO, making it a long‑term wealth‑creator.
- MercadoLibre’s share price currently trades just above the $2,000 mark and is down more than 20% from its recent peak, which the article frames as a potential entry point.
- Recent concerns center on rising risks in the fintech division and intensifying competition from Amazon and other e‑commerce players in Latin America, but the piece argues that MercadoLibre’s entrenched position and ecosystem still give it a significant edge.
2. “These Are 2 of the Smartest Growth Stocks to Invest $5,000 in Today”
In a separate article published late this morning (11:30 a.m.) and highlighted on Finviz, Motley Fool’s Rachel Warren lists MercadoLibre and Eli Lilly as two of the “smartest growth stocks” for investors with $5,000 to deploy. [17]
For MercadoLibre, she emphasizes:
- The company is the clear leader in both e‑commerce and digital financial services across more than a dozen Latin American countries.
- Latin America’s e‑commerce penetration still lags developed markets, giving MELI a long runway as more economic activity shifts online.
- The region’s large underbanked population underpins a massive addressable market for Mercado Pago (payments) and Mercado Crédito (lending), which in turn reinforce marketplace growth.
- MercadoLibre’s ecosystem—Mercado Pago (fintech), Mercado Envíos (logistics) and Mercado Crédito (credit)—creates a powerful flywheel in which each product drives engagement and transaction volume for the others.
- Q3 2025 saw net revenue of about $7.4 billion, up roughly 40% year over year, with operating income of $724 million, GMV of $16.5 billion, and TPV of $71.2 billion, continuing the company’s streak of 27 consecutive quarters with >30% revenue growth. [18]
The tone across these Motley Fool pieces is notably bullish: MercadoLibre is framed as a high‑quality compounder experiencing a temporary pullback rather than a broken growth story.
The Fundamental Backdrop: Q3 2025 Earnings and Recent Volatility
Today’s news can’t be separated from the numbers MercadoLibre reported on October 29, 2025, for the third quarter.
Q3 2025 highlights
According to MercadoLibre’s own earnings releases and subsequent coverage: [19]
- Net revenue:
- $7.4 billion, up about 39% year over year.
- Marked the 27th consecutive quarter of revenue growth above 30% YoY.
- Earnings & margins:
- EPS of $8.32, up roughly 6% from a year ago but below the Street consensus of $9.88.
- Net income of about $421 million, also below analyst expectations.
- Operating income around $724 million, up 30% YoY, but operating margin slipped to roughly 9.8%, the lowest since late 2023 as investments and macro headwinds weighed on profitability.
- Commerce segment:
- Commerce net revenue of roughly $4.2 billion, up more than 30% in USD terms.
- Gross merchandise volume (GMV) of $16.5 billion, up ~28% in USD and ~35% on a currency‑neutral basis.
- The company cited strong momentum in Brazil, where lowering the free‑shipping threshold drove a 34% GMV increase and the fastest unique‑buyer growth since early 2021, albeit at the cost of near‑term margins.
- Fintech segment (Mercado Pago):
- Net revenue of about $3.2 billion, up roughly 49% in USD and 65% on an FX‑neutral basis.
- Monthly active users reached around 72 million, up nearly 29% YoY.
- The credit portfolio swelled 83% to roughly $11 billion, led by the Mercado Pago credit card, which has become the most‑used card on MercadoLibre’s marketplace in Brazil.
- Acquiring total payment volume hit $47.7 billion, up about 32%, while overall TPV reached ~$71.2 billion.
Reuters notes that while growth remained strong, earnings missed expectations and margins compressed, partly due to the Brazil free‑shipping strategy and economic instability in Argentina, including peso devaluation and higher funding costs that pressured credit profitability. [20]
Trefis ties together Q2 and Q3 by pointing out that: [21]
- Both quarters missed EPS expectations, even as revenue beat,
- Aggressive investments in logistics, shipping and marketing weighed on margins, and
- Analysts responded with lowered price targets, reinforcing the narrative that the stock’s recent weakness is more about short‑term profitability than about demand or competitive relevance.
Strategy Moves: Brazil Partnership and Regional Expansion
Beyond earnings, MercadoLibre continues to push strategically in its key markets:
- In Brazil, the company struck a long‑term commercial partnership with rival retailer Casas Bahia to sell its electronics and home‑appliance products on MercadoLibre’s marketplace. Casas Bahia will handle logistics for large items like TVs and refrigerators, expanding MELI’s reach in categories where its share has historically lagged. [22]
- The deal is expected to boost MercadoLibre’s market share in Brazil, its largest market, and deepen its product offering, while also supporting Casas Bahia’s turnaround plan. Analysts at Santander described the arrangement as a “win‑win” given the complementary strengths of both companies. [23]
Earlier in 2025, MercadoLibre also announced plans to invest around $3.4 billion in Mexico, focused on technology, logistics and financial services, underscoring its commitment to expanding across the region’s largest economies. [24]
Analyst Sentiment: Still Positive Despite Profit Misses
Even after two quarters of EPS shortfalls, Wall Street remains broadly constructive on MercadoLibre:
- MarketBeat
- Consensus rating: “Moderate Buy”, based on 19 analysts.
- Distribution: 0 Sell, 3 Hold, 16 Buy/Strong Buy.
- Average 12‑month price target: about $2,848.82, implying roughly 36–37% upside from current levels. [25]
- Investing.com
- Consensus: “Strong Buy”, based on 26 analysts (23 Buy, 3 Hold, 0 Sell).
- Average target: roughly $2,847, with a high estimate of $3,500 and a low around $2,190, suggesting a wide but skewed‑positive range of outcomes. [26]
- Recent price‑target actions (via QuiverQuant and GuruFocus): [27]
- UBS: Buy rating, target $2,900 (Nov 24, 2025).
- Morgan Stanley: Buy, target $2,950 (Nov 3, 2025).
- Barclays: Overweight, target $2,900 (Oct 30, after trimming from $3,000 earlier in October).
- Cantor Fitzgerald: Buy/Overweight, target reduced to $2,750 from $2,900.
- Benchmark: Buy, target lowered to $2,780 from $2,875.
- J.P. Morgan: Neutral, target raised to $2,650.
Overall, analysts see robust revenue and ecosystem strength offsetting near‑term margin pressure. However, the presence of at least one neutral rating and multiple trimmed targets highlights growing caution around valuation and profitability.
Why the Stock Is Volatile – and What Today’s News Signals
Putting it all together, the picture that emerges on November 29, 2025 looks like this:
- Fundamentals remain strong.
- Revenue continues to grow at ~40% YoY, with both commerce and fintech firing.
- GMV, payment volume and credit growth all point to deepening customer engagement and a broader wallet share. [28]
- Profitability is under pressure by design.
- Free‑shipping incentives in Brazil, investments in logistics and aggressive credit expansion are strategic choices that depress margins today to capture more growth tomorrow. [29]
- Macro and risk factors matter.
- Argentina’s unstable economy and currency volatility weigh on credit profitability.
- Competitive intensity from Amazon, Shopee and local rivals in Brazil continues to push all players to enhance shipping and price offerings. [30]
- Valuation is normalizing.
- MELI’s P/E multiple has fallen from the 70s to around 50 over the past year, even as revenue and earnings rise, contributing to the stock’s flat 12‑month performance. [31]
- Institutional investors are actively rebalancing.
- Today’s 13F headlines show some hedge funds adding significantly while others trim, a classic sign of disagreement on the right price but widespread conviction that the name belongs on institutional radar. [32]
- Editorial and research coverage remains bullish.
- From Motley Fool columns calling MercadoLibre an “ultimate growth stock” or one of the “smartest growth stocks” to own, to analyst consensus ratings of Moderate/Strong Buy, the narrative around MELI is still overwhelmingly positive, centered on its ecosystem, leadership position and long runway in Latin American e‑commerce and fintech. [33]
What to Watch Next
For readers tracking MercadoLibre after today’s news, key upcoming focal points include:
- Future earnings (FY 2025 & early 2026): Whether management can stabilize or expand margins while maintaining high‑30s to 40% revenue growth will likely drive the next big leg in the stock’s valuation. [34]
- Credit quality in Mercado Pago: With an 83% YoY expansion in the credit book, any deterioration in delinquencies or net interest margin could elevate risk perceptions; so far, delinquency trends have been improving, but the rapid scaling of credit always merits close monitoring. [35]
- Execution of the Casas Bahia partnership in Brazil: If the tie‑up successfully boosts MercadoLibre’s share in large appliances and electronics without blowing out logistics costs, it could become an important new growth driver. [36]
- Macro conditions in Argentina and Mexico: Policy shifts, inflation and currency moves in these key markets will continue to influence both growth and risk in MELI’s fintech operations. [37]
For now, November 29, 2025 is shaping up as a day where:
- Institutions shuffle but stay heavily invested,
- Commentators double down on the long‑term growth story, and
- Analysts broadly maintain a bullish stance, even as they acknowledge that MercadoLibre is navigating a tricky trade‑off between hyper‑growth and profitability.
References
1. www.marketbeat.com, 2. www.marketbeat.com, 3. www.nasdaq.com, 4. www.marketbeat.com, 5. www.reuters.com, 6. www.marketbeat.com, 7. www.investing.com, 8. www.trefis.com, 9. www.trefis.com, 10. www.marketbeat.com, 11. www.marketbeat.com, 12. www.marketbeat.com, 13. www.marketbeat.com, 14. www.marketbeat.com, 15. www.marketbeat.com, 16. www.nasdaq.com, 17. finviz.com, 18. finviz.com, 19. investor.mercadolibre.com, 20. www.reuters.com, 21. www.trefis.com, 22. www.reuters.com, 23. www.reuters.com, 24. www.reuters.com, 25. www.marketbeat.com, 26. www.investing.com, 27. www.quiverquant.com, 28. investor.mercadolibre.com, 29. www.reuters.com, 30. www.reuters.com, 31. www.trefis.com, 32. www.marketbeat.com, 33. www.nasdaq.com, 34. www.trefis.com, 35. www.reuters.com, 36. www.reuters.com, 37. www.reuters.com
