Mercadolibre Soars 2.44% on $920M Trading Volume Ranks 84th as E-commerce and Fintech Expansion Fuel Q2 Surge

Generated by AI AgentAinvest Volume Radar
Thursday, Aug 28, 2025 8:39 pm ET1min read
Aime RobotAime Summary

- Mercadolibre (MELI) rose 2.44% on $920M volume as Q2 revenue jumped 33.9% to $6.79B from e-commerce and fintech growth in Brazil, Argentina, and Mexico.

- Strategic Oxxo partnership expanded cash withdrawal access for 22,000 stores, while S&P upgraded MELI to investment-grade 'BBB-' in July 2025.

- Operating margins fell to 12.2% due to logistics investments and lower-margin sales, with Brazil's currency devaluation reducing margins by 2.1 percentage points.

- Mixed investor sentiment showed 87.6% institutional ownership but 8.7% higher short interest in August amid U.S. tariff concerns, though analysts maintained 'Moderate Buy' ratings for digital banking growth.

On August 28, 2025,

(MELI) surged 2.44% with a trading volume of $920 million, ranking 84th in market activity. The stock’s performance followed a Q2 revenue jump of 33.9% to $6.79 billion, driven by e-commerce and fintech expansion in Brazil, Argentina, and Mexico. Analysts highlighted Mercado Pago’s 40% revenue growth and a strategic partnership with Mexico’s Oxxo to enhance financial access, which expanded cash withdrawal capabilities for 22,000 stores.

Recent developments included S&P’s upgrade of Mercadolibre to investment-grade ‘BBB-’ in July 2025, reinforcing confidence in its financial stability. The fintech segment saw 63% FX-neutral revenue growth, with monthly active users reaching 68 million. However, operating margins contracted to 12.2% due to increased logistics investments, marketing spend, and lower-margin first-party sales. Brazil’s currency devaluation also impacted net income, reducing margins by 2.1 percentage points.

Investor sentiment remained mixed. Institutional holdings showed 87.6% ownership, with major funds like Baillie Gifford and Jennison Associates maintaining significant stakes. Short interest rose 8.7% in August, reflecting cautious positioning amid concerns over U.S. tariff threats and rising competition. Despite this, Wall Street analysts maintained a ‘Moderate Buy’ rating, citing long-term growth in digital banking and advertising.

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