MercadoLibre: Brazil Hypergrowth Justifies The Premium

Gary Alexander33.64K FollowersFollow5ShareSavePlay(10min)Comments(3)SummaryMercadoLibre remains a compelling buy, with recent share price declines offering a de-risked entry into a high-growth business.MELI's GMV growth in Brazil and Mexico exceeds 30% y/y, demonstrating robust secular tailwinds despite global consumer weakness.The company benefits from dual engines: dominant e-commerce and a rapidly expanding fintech arm, Mercado Pago, across fast-growing Latin American markets.Credit metrics are improving, with declining non-performing loan rates, rising net interest margins, and an over-provisioned balance sheet supporting financial resilience. microgen/iStock via Getty Images With the S&P 500 racing ahead to new all-time highs, powered by a return to "risk on" sentiment and a rebound in tech stocks, many investors are asking, "What pockets of the stock market are still buying opportunities, especially for investorsThis article was written byGary Alexander33.64K FollowersFollowWith combined experience of covering technology companies on Wall Street and working in Silicon Valley, and serving as an outside adviser to several seed-round startups, Gary Alexander has exposure to many of the themes shaping the industry today. He has been a regular contributor on Seeking Alpha since 2017. He has been quoted in many web publications and his articles are syndicated to company pages in popular trading apps like Robinhood.Analyst’s Disclosure: I/we have a beneficial long position in the shares of MELI either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.