Mercadolibre's $510M Volume Drop Sends It to 161st in Market Activity as Institutional Bets Rise

On August 21, 2025, Mercadolibre (MELI) saw a trading volume of $510 million, a 20.82% decline from the prior day, ranking it 161st in market activity. The stock closed with a 0.06% gain.

Recent filings reveal heightened institutional interest in Mercadolibre. Matthew 25 Management Corp increased its stake by 6.9% in Q1, elevating the stock to its third-largest holding at $27.3 million. Price T Rowe Associates and UBS AM also boosted positions by 41% and 14.6%, respectively, while Jennison Associates and Invesco added 1.6% and 22.4% in Q1. Institutional ownership now accounts for 87.62% of the company’s shares, signaling strong institutional confidence.

Analysts have maintained a positive outlook, with Daiwa Capital and Morgan Stanley reaffirming "buy" ratings and price targets above $2,800. Despite Q2 earnings missing estimates by $1.70 per share, the company reported a 33.8% year-over-year revenue increase to $6.79 billion, reflecting robust growth in its e-commerce and FinTech platforms.

The strategy of buying the top 500 stocks by daily trading volume and holding them for one day from 2022 to 2025 yielded a compound annual growth rate of 6.98%. However, the approach faced a maximum drawdown of 15.59% during the backtest period, underscoring the need for risk management even in strategies with consistent returns. Mid-2023’s downturn highlights volatility inherent in such approaches.