Mercadolibre Shares Rise 0.76% as Analysts Hike Targets and Institutional Investors Pile In Despite 42.67% Drop in $820M Volume Ranking 129th

Mercadolibre (MELI) closed 0.76% higher on August 7, 2025, with a trading volume of $0.82 billion, marking a 42.67% decline from the prior day and ranking 129th in market activity. The stock’s performance coincided with updated analyst price targets and institutional investor activity.

JP Morgan raised its price target for Mercadolibre to $2,700 from $2,600, maintaining a "Neutral" rating, while Goldman Sachs increased its target to $3,000 with a "Buy" recommendation. Recent analyst activity included Susquehanna reaffirming a "Positive" rating with a $2,975 target and Jefferies upgrading from "Buy" to "Hold." Institutional investors such as Capital International and Price T Rowe Associates increased their stakes by 38.7% and 41.0%, respectively, reflecting growing confidence in the e-commerce giant.

Mercadolibre’s Q2 earnings report revealed a $10.31 EPS, below estimates, but revenue surged 33.8% year-over-year to $6.79 billion. Despite the EPS shortfall, the company’s fintech and logistics segments continue to drive growth, supported by its 218 million active users and 1 million sellers. Wedbush raised its FY2026 EPS forecast to $64.57, citing strong revenue momentum.

The strategy of purchasing the top 500 stocks by daily trading volume and holding them for one day yielded a 166.71% return from 2022 to the present, outperforming the benchmark by 137.53%. This highlights the significance of liquidity concentration in volatile markets, where high-volume stocks like Mercadolibre can capitalize on investor behavior and macroeconomic shifts.