Positioning no disclosures inside 60 days, left as found
Options put/call open interest 1.73, read 2026-10-28
Ethical passes the values gate
Price1,673.09 USD
Fair value1,748.13
Ethical score86.2/100
RatingOPPORTUNITY
Our investment reviews on this name
2026-10-25Read Accumulation1,856.98-9.9% to today Markup gives way to Accumulation
2026-10-18Read Markup1,856.98-9.9% to today Distribution gives way to Markup after a 6% rise in 7 days
2026-10-11Read Distribution1,752.61-4.5% to today ✓Markdown gives way to Distribution first Distribution read since July
2026-10-02Read Markdown1,752.61-4.5% to today ✓Markup gives way to Markdown with volume flow in agreement
Our analytic regime reads on this name, dated and marked against the screened price. Small sample per name, and separate from the daily-framework accuracy on the Track Record page.
MercadoLibre holds its Distribution at $1,673.09. The statistical read favours the buyers, held for 14 days.
As held on the ledger · 2026-10-28
Phase
Distribution · caution
Quantitative state
The statistical read favours the buyers, held for 14 days
Price at the screen
$1,673.09
Valuation
50.50 trailing · 32.78 forward price to earnings
Values screen
PASS· score 86.2
Beta
1.31
The Workings
Five Screens, Shown in Full
Full pass across all five screens. This security clears the Titan Ethical Standard: its business and its balance sheet both stay inside the lines.
Test
Figure
Limit
What it means
Status
Business activity
Permissible
Core business clean
Its core business isn't built on prohibited lines: no gambling, alcohol, tobacco, weapons, or interest-based lending.
Pass
Debt load
26.70%
Below 33%
Interest-bearing debt is just 26.7% of its assets, well under the one-third ceiling: it does not run on borrowed money.
Pass
Interest-bearing cash
8.60%
Below 33%
Cash held in interest-bearing accounts and securities is 8.6% of assets, under the one-third limit.
Pass
Receivables
0.93%
Below 49%
Money owed to the company is 0.9% of assets, under the 49% limit.
Pass
Revenue purity
0.08%
Below 5%
Only 0.1% of revenue comes from non-compliant sources, under the 5% line.
Pass
Five checks adapted from AAOIFI screening standards: business activity plus four balance-sheet ratios. All five must pass for ethical clearance. Every figure is arithmetic on public accounts, not judgement.
The Ethical Read
Why It Clears, in Plain English
MercadoLibre clears all five screens. Its business is in a permissible area, its interest-bearing debt is about 27%, inside the ~33% line, and almost none of its income is interest, so it passes.
Read as at 2026-10-28. It updates when the underlying figures move, and past reads are kept below.
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Get an email when MELI's ethical verdict changes
Today MELI passes the screen. If new figures move it to a fail, we send you one short email with the before and after. Verdicts change rarely, so you may not hear from us for a long time.
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What the Numbers Say It Is Worth
The Fair Value Range
Our analysis reads OPPORTUNITY: it trades at roughly a 5% discount to our $1,748.13 fair value, 49.80% revenue growth.
Fair value range in USD, drawn from the 2026-10-28 screen. The gold marker is the market price at the same screen. A 4.5% margin of safety to the base estimate.
Third-party analyst targets: 26 covering, consensus Buy. The average target sits +34% from the screen price.
Reading the gap · Both our model and the analysts see meaningful upside from here.
Price History & Projections
Where it has been, where the models see it going. History from market close data; projection points are our fair-value estimates and third-party analyst targets, dated to the 2026-10-28 screen.
Fair value and rating are our own model estimates; the Street's range reflects third-party analyst estimates. Analysis, not advice.
The Business, in Plain Words
Latin America's marketplace engine keeps humming
Every time a seller in Sao Paulo ships an order or a buyer in Mexico pays with a local wallet, MercadoLibre sits underneath the transaction. The business is delivering 49% revenue growth and a 31% return on equity while clearing our ethical screen without issue.
Those numbers explain why the shares sit close to fair value despite a forward multiple of 31 times earnings. The slim negative margin of safety keeps us from calling it cheap, yet the operating momentum and clean bill on ethics still make the case worth watching.
Risk sits with the emerging-market backdrop, currency swings and a still-thin 6% profit margin that leaves little room for execution slips. Analysis, not advice.
The risks · The things to watch: it already moves more than the market on an average day; its business and earnings are exposed to Uruguay and to currency swings; it carries a real debt load, which raises the stakes if revenue slips.
Plain-English interpretation of our own screen data. Analysis, not advice.
Where & How to Trade
MELI trades on NASDAQ (the company is based in Uruguay). As a listed security it is accessible through almost any international broker offering its home market. New to this, or investing from abroad? Our guide to accessing global markets covers brokers, currencies and the practical steps.
The framework has shifted from markup to accumulation since the last review. Smart money appears to be quietly building positions. This typically precedes a markup phase. Price has moved down 0.0% since our last review. Ethical screening: PASS with strong ethical credentials. The risk-adjusted return profile shows good risk-adjusted returns. Our composite framework grades it B. Technically it is momentum reading bullish. Over the past year the shares are down 34%. Our forward projection puts the odds of a 10% gain over the next month near 22%. The street (25 analysts) rates it buy, with a mean price target of $2230.
2026-10-18Markup · changed$1,856.98+6.0%Entry 14
The framework has shifted from distribution to markup since the last review. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved up 6.0% since our last review. Ethical screening: PASS with strong ethical credentials. The risk-adjusted return profile shows good risk-adjusted returns. Our composite framework grades it C. Technically it is sitting below its long-term trend line with momentum reading bearish. Over the past year the shares are down 34%. Our forward projection puts the odds of a 10% gain over the next month near 22%. The street (25 analysts) rates it buy, with a mean price target of $2230.
The framework has shifted from markdown to distribution since the last review. Smart money appears to be selling into strength. Institutional holders may be rotating out. Price has moved down 0.0% since our last review. Ethical screening: PASS with strong ethical credentials. The risk-adjusted return profile shows good risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is sitting below its long-term trend line with momentum reading bearish. Over the past year the shares are down 34%. Our forward projection puts the odds of a 10% gain over the next month near 22%. The street (25 analysts) rates it buy, with a mean price target of $2230.
The framework has shifted from markup to markdown since the last review. Price is trending lower. Sellers are in control and the prior trend has reversed. Price has moved down 8.8% since our last review. Ethical screening: PASS with strong ethical credentials. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is sitting below its long-term trend line with momentum reading bearish. Over the past year the shares are down 34%. Our forward projection puts the odds of a 10% gain over the next month near 22%. The street (25 analysts) rates it buy, with a mean price target of $2230.
2026-09-05Markup$1,921.96+6.7%Entry 11
Our analysis reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved up 6.7% since our last review. Ethical screening: PASS with strong ethical credentials. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is sitting below its long-term trend line with momentum reading bearish. Over the past year the shares are down 34%. Our forward projection puts the odds of a 10% gain over the next month near 22%. The street (25 analysts) rates it buy, with a mean price target of $2230.
2026-08-05Markup$1,801.44+0.0%Entry 10
Our analysis reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved down 0.0% since our last review. Ethical screening: PASS with strong ethical credentials. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is sitting below its long-term trend line with momentum reading bearish. Over the past year the shares are down 34%. Our forward projection puts the odds of a 10% gain over the next month near 22%. The street (25 analysts) rates it buy, with a mean price target of $2230. It reported earnings in this window, a natural checkpoint for the thesis.
2026-08-04Markup$1,801.44+0.0%Entry 9
Our analysis reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved down 0.0% since our last review. Ethical screening: PASS with strong ethical credentials. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is sitting below its long-term trend line with momentum reading bearish. Over the past year the shares are down 34%. Our forward projection puts the odds of a 10% gain over the next month near 22%. The street (25 analysts) rates it buy, with a mean price target of $2230. It reported earnings in this window, a natural checkpoint for the thesis.
2026-08-03Markup$1,801.44+0.0%Entry 8
Our analysis reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved down 0.0% since our last review. Ethical screening: PASS with strong ethical credentials. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is sitting below its long-term trend line with momentum reading bearish. Over the past year the shares are down 34%. Our forward projection puts the odds of a 10% gain over the next month near 22%. The street (25 analysts) rates it buy, with a mean price target of $2230. It reported earnings in this window, a natural checkpoint for the thesis.
2026-08-02Markup$1,801.44+0.0%Entry 7
Our analysis reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved down 0.0% since our last review. Ethical screening: PASS with strong ethical credentials. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is sitting below its long-term trend line with momentum reading bearish. Over the past year the shares are down 34%. Our forward projection puts the odds of a 10% gain over the next month near 22%. The street (25 analysts) rates it buy, with a mean price target of $2230. It reported earnings in this window, a natural checkpoint for the thesis.
2026-08-01Markup$1,801.44+0.0%Entry 6
Our analysis reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved down 0.0% since our last review. Ethical screening: PASS with strong ethical credentials. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is sitting below its long-term trend line with momentum reading bearish. Over the past year the shares are down 34%. Our forward projection puts the odds of a 10% gain over the next month near 22%. The street (25 analysts) rates it buy, with a mean price target of $2230. It reported earnings in this window, a natural checkpoint for the thesis.
Each entry above was written on its date, before the outcome. A journal you can prune is not a journal.
