MercadoLibre Inc. 🇦🇷
MELI • Consumer Cyclical / E-Commerce • Argentina
⚡ 85.0/100
Wide Moat Score™
$1943.97
+1.85% (24H)
Fundamental Snapshot • Market Cap: $98.6B
PEG Ratio
1.08x
GARP / VALUE
Forward P/E
34.3x
GROWTH FAIR
Revenue Growth YoY
+49.8%
ROBUST EXPANSION
Gross Margin
47.7%
HIGH PRICING POWER
Free Cash Flow
$353.4M
CASH FORTRESS
Debt / EBITDA
0.8x
SOLVENT BALANCE
📊 Proprietary 12-Point Fundamental Audit
| Audit Dimension | Benchmark Criterion | MELI Actual | Evaluation |
|---|---|---|---|
| 1. Economic Moat Strength | Software lock-in / high switching barrier / patent moat | Moat Score 85.0/100 | ✅ WIDE MOAT |
| 2. Pricing Power & Margins | Gross Margin > 40% sustainable | 47.7% Gross Margin | ✅ PASSED |
| 3. Revenue Acceleration | YoY Top-Line Growth > 15% | +49.8% YoY | ✅ PASSED |
| 4. Peter Lynch PEG Ratio | PEG < 1.2x (Growth at a Reasonable Price) | 1.08x PEG Ratio | ✅ PASSED |
| 5. Fortress Balance Sheet | Debt / EBITDA < 2.5x | 0.8x Net Leverage | ✅ PASSED |
| 6. Free Cash Flow Generation | Positive and compounding FCF | $353.4M Free Cash Flow | ✅ PASSED |
| 7. Multiple vs Sector Median | Forward P/E reasonable vs earnings growth | Forward P/E: 34.3x | ✅ ATTRACTIVE MULTIPLE |
| 8. Management & Insider Ownership | Insider Ownership > 3% | 8.5% Insider Equity | ✅ ALIGNED |
| 9. Superinvestor Whale Backing | Held by Top 25 13F Wall St Whales | Institutional Superinvestor Interest | ℹ️ SCREENED |
| 10. Secular Industry Tailwinds | Exposure to multi-year compound themes | Consumer Cyclical / E-Commerce sector expansion | ✅ PASSED |
| 11. Trailing P/E Multiple | Historical earnings multiple sanity | Trailing P/E: 53.6x | ✅ PASSED |
| 12. Overall Moat Conviction | Composite algorithmic evaluation | Overall Score: 85.0/100 | ✅ HIGH CONVICTION |
📝 MoatPicks Investment Thesis
Competitive Moat Breakdown: Latin American Amazon + PayPal ecosystem compounder accelerating revenue at +49.8% YoY.
Valuation Verdict: Trading at a Forward P/E of 34.3x and PEG ratio of 1.08x, MercadoLibre Inc. satisfies core fundamental screens for quality and durability.