Morgan Stanley Reiterates Underweight Rating for MercadoLibre SA (MELI)
MercadoLibre SA (NASDAQ:MELI)‘s stock had its “underweight” rating reissued by Morgan Stanley in a research report issued to clients and investors on Friday. They presently have a $147.00 target price on the stock. Morgan Stanley’s price target indicates a potential downside of 12.58% from the stock’s current price.
A number of other brokerages also recently weighed in on MELI. Piper Jaffray Cos. reissued a “buy” rating and set a $160.00 price target on shares of MercadoLibre SA in a research report on Friday, July 1st. JPMorgan Chase & Co. upgraded MercadoLibre SA from a “neutral” rating to an “overweight” rating and boosted their price objective for the stock from $173.68 to $200.00 in a report on Friday, September 2nd. Stifel Nicolaus boosted their price objective on MercadoLibre SA from $150.00 to $180.00 and gave the stock a “hold” rating in a report on Thursday, October 6th. Zacks Investment Research upgraded MercadoLibre SA from a “hold” rating to a “strong-buy” rating and set a $212.00 price objective for the company in a report on Wednesday, October 5th. Finally, Cowen and Company set a $165.00 price objective on MercadoLibre SA and gave the stock a “hold” rating in a report on Thursday, October 13th. One analyst has rated the stock with a sell rating, four have given a hold rating, five have assigned a buy rating and one has assigned a strong buy rating to the company’s stock. The company currently has an average rating of “Buy” and a consensus target price of $166.11.
Shares of MercadoLibre SA (NASDAQ:MELI) traded down 0.76% during mid-day trading on Friday, hitting $168.16. The company’s stock had a trading volume of 507,489 shares. The company has a 50-day moving average of $178.92 and a 200 day moving average of $153.33. MercadoLibre SA has a 1-year low of $84.19 and a 1-year high of $193.58. The company has a market cap of $7.43 billion, a price-to-earnings ratio of 56.81 and a beta of 2.08.
MercadoLibre SA (NASDAQ:MELI) last announced its quarterly earnings results on Thursday, August 4th. The company reported $0.36 earnings per share for the quarter, missing analysts’ consensus estimates of $0.59 by $0.23. The business had revenue of $199.60 million for the quarter, compared to analyst estimates of $180.94 million. MercadoLibre SA had a return on equity of 38.04% and a net margin of 18.50%. MercadoLibre SA’s quarterly revenue was up 29.4% compared to the same quarter last year. During the same period last year, the firm earned $0.44 EPS. On average, analysts expect that MercadoLibre SA will post $2.74 EPS for the current year.
The company also recently disclosed a quarterly dividend, which was paid on Friday, October 14th. Shareholders of record on Friday, September 30th were given a dividend of $0.15 per share. The ex-dividend date was Wednesday, September 28th. This represents a $0.60 annualized dividend and a yield of 0.36%. MercadoLibre SA’s dividend payout ratio is currently 20.34%.
In other MercadoLibre SA news, Director A Michael Spence sold 3,451 shares of the business’s stock in a transaction that occurred on Tuesday, August 9th. The shares were sold at an average price of $168.97, for a total transaction of $583,115.47. Following the completion of the transaction, the director now directly owns 6,903 shares in the company, valued at $1,166,399.91. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, EVP Daniel Rabinovich sold 6,195 shares of the business’s stock in a transaction that occurred on Friday, August 19th. The shares were sold at an average price of $166.61, for a total transaction of $1,032,148.95. The disclosure for this sale can be found here. Company insiders own 0.36% of the company’s stock.
A number of hedge funds and other institutional investors have recently made changes to their positions in MELI. Orbis Allan Gray Ltd purchased a new position in shares of MercadoLibre SA during the first quarter valued at approximately $70,045,000. Jericho Capital Asset Management L.P. purchased a new position in shares of MercadoLibre SA during the first quarter valued at approximately $52,059,000. BlackRock Inc. increased its position in shares of MercadoLibre SA by 1,649.1% in the first quarter. BlackRock Inc. now owns 8,116 shares of the company’s stock valued at $956,000 after buying an additional 7,652 shares in the last quarter. Sterling Ridge Capital Management LP purchased a new position in shares of MercadoLibre SA during the first quarter valued at approximately $488,000. Finally, Societe Generale purchased a new position in shares of MercadoLibre SA during the second quarter valued at approximately $186,000. Institutional investors and hedge funds own 75.14% of the company’s stock.
MercadoLibre SA Company Profile
MercadoLibre, Inc (MercadoLibre) hosts an online commerce platform in Latin America, which is focused on enabling e-commerce and its related services. The Company provides a portfolio of services facilitating e-commerce transactions. Its geographic segments are Brazil, Argentina, Mexico, Venezuela and other countries (including Chile, Colombia, Costa Rica, Dominican Republic, Ecuador, Panama, Peru, Portugal, Guatemala, Bolivia, Paraguay, Uruguay and the United States of America.
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