MercadoLibre Stock: Analysts See Strong Upside Despite Target Trim
MercadoLibre, Inc. (NASDAQ: MELI) drew renewed attention from Wall Street after UBS Group revised its price target for the Latin American e-commerce leader. While the investment firm trimmed its target from $3,000 to $2,900, UBS maintained a bullish stance on the stock, noting significant potential for long-term growth.
According to MarketScreener, UBS described the adjustment as part of a broader reassessment of market conditions, stating that the firm still views the company’s fundamentals favorably. In the report, analysts noted that UBS’s updated price target “indicates a potential upside of 48.51% from the company’s current price.” Despite the reduction, the brokerage reiterated its “buy” rating, emphasizing MercadoLibre’s position as a leading player in Latin America’s digital economy.
This revision comes at a time when several technology and growth stocks remain well below their 52-week highs, prompting renewed focus on companies poised for a potential rebound heading into the final quarter of the year.
Broader Analyst Sentiment Remains Constructive
UBS was not the only firm to weigh in on MercadoLibre’s prospects. Over recent months, the stock has been the subject of multiple assessments from well-known institutions. While their views differ slightly in price targets and tone, the overall sentiment shows continued confidence in the company’s long-term trajectory.
In a coverage initiation published earlier this year, Scotiabank began following MercadoLibre with a “sector outperform” rating, setting an ambitious $3,500 price objective. As stated in the report, Scotiabank analysts highlighted the company’s ecosystem strength and regional dominance as key components supporting their valuation.
Additional commentary came from Weiss Ratings, which reaffirmed a “buy (b-)” evaluation, citing the platform’s financial resilience and operational scale. The firm wrote that MercadoLibre continues to demonstrate “consistent performance metrics” across its commerce and fintech divisions.
Meanwhile, Wedbush raised its price target from $2,700 to $2,800, assigning the stock an “outperform” rating. The Wedbush report described MercadoLibre’s strategic investments as “timely and well-aligned with market demand,” reflecting confidence in the company’s growth initiatives.
Other institutions struck a more neutral tone. Jefferies Financial Group reiterated a “hold” rating with a $2,800 price target, while Raymond James Financial maintained a “strong-buy” rating and set a $2,750 target. Raymond James analysts noted that MercadoLibre’s technology infrastructure and regional scale position it well for expansion.
In total, data compiled by MarketBeat shows a consensus rating of “Moderate Buy,” based on one Strong Buy, fifteen Buy, and two Hold ratings. The average target price across firms currently stands at $2,848.82.
Current Stock Performance and Key Financial Indicators
MercadoLibre opened the week with its shares trading at $1,952.72. While below its earlier highs, the stock continues to reflect the company’s sizable market presence and sustained investor interest.
The company’s current financial ratios show a business maintaining a balanced capital structure. MercadoLibre reported a debt-to-equity ratio of 0.61, indicating a moderate level of leverage. Its current ratio of 1.20 and quick ratio of 1.18highlight sufficient liquidity to meet short-term obligations.
From a valuation standpoint, the company’s price-to-earnings ratio of 47.65 and P/E/G ratio of 1.56 reflect the typical premium associated with high-growth digital and fintech companies operating across emerging markets. MercadoLibre also carries a beta of 1.51, suggesting that its stock tends to be more volatile than the broader market.
The firm currently holds a market capitalization of approximately $99 billion, underscoring its role as one of Latin America’s most influential technology companies. Over the past year, shares have traded between a low of $1,646.00 and a high of $2,645.22, a range that illustrates the volatility present in global technology markets throughout the period.
The stock’s technical indicators include a 50-day simple moving average of $2,222.62 and a 200-day simple moving average of $2,364.08, both of which show that the stock has been trading below recent averages—one reason analysts have taken renewed interest in its potential for recovery.
