MELI's 720M Volume Ranks 115th as Q2 Revenue Soars 33% and Buy Ratings Pile Up

Mercadolibre (MELI) closed August 29, 2025, with a 0.03% gain, trading at $2,472.29. The stock saw a trading volume of $720 million, down 21.71% from the prior day, ranking 115th in market activity. Analysts highlight strong Q2 2025 revenue growth of 33.85%, reaching $6.79 billion, with a 12-month average price target of $2,850, implying an 18.09% potential upside. Citi reaffirmed a Buy rating, citing Mercado Pago’s 20 million monthly users in Argentina and the launch of a Mastercard-backed credit card to expand the underdeveloped credit market.

Wall Street analysts project a 12-month price range of $2,700–$3,500, with 12 Buy ratings and 2 Hold ratings. However, Mercadolibre’s P/E ratio of 61.08 exceeds both the market average (28.80) and sector average (27.55), raising valuation concerns. Short interest increased by 8.70% month-over-month, signaling cautious sentiment. The company’s ecosystem of integrated services, including payments, credit, and logistics, remains a strategic focus, though competition in Brazil is intensifying.

Analysts note Mercadolibre’s dominance in Latin American e-commerce and digital finance but caution that its high valuation may limit downside protection compared to undervalued AI stocks. Institutional ownership stands at 87.62%, reflecting strong institutional confidence. The firm’s ability to scale digital payment infrastructure and expand credit access in Argentina positions it for long-term growth, though near-term volatility remains a risk.

Backtest results indicate a historical 12-month price target range of $2,700–$3,500, with an average of $2,907. Analysts emphasize the importance of monitoring execution on new initiatives, such as the Mastercard credit card, and the company’s capacity to navigate competitive pressures in key markets like Brazil.