MercadoLibreMEX:MELIN +5.80%71 FCF Yield % is 14.05 as of Jun. 25, 2026, which is 801% above its 10-year median of 1.56. GuruFocus rates MEX:MELIN with a GF Score™ of 71/100 and a GF Value™ of MXN62,504.41 (Significantly Undervalued). The stock has 3 warning signs investors should review. Among 1,128 Retail - Cyclical companies, MercadoLibre ranks better than 76.33% on this metric.
FCF Yield % is calculated as Free Cash Flow divided by Market Capitalization. It is a financial solvency ratio that compares the free cash flow a company is expected to earn against its market value.
Similar to Earnings Yield %, FCF Yield % is financial solvency ratio. A lower ratio suggests a less attractive investment, indicating that investors might not receive substantial returns in proportion to their investment. Conversely, a high free cash flow yield signals that a company generates sufficient cash to comfortably meet its debts, obligations, and dividend payments, making it a promising investment choice.
MercadoLibre FCF Yield % Related Terms
MercadoLibre FCF Yield % Historical Data
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The historical data trend for MercadoLibre's FCF Yield % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
MEX:MELIN vs DASH, SE, PDD: FCF Yield % Comparison
For the Internet Retail subindustry, MercadoLibre's FCF Yield %, along with its competitors' market caps and FCF Yield % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
MercadoLibre FCF Yield % vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, MercadoLibre's FCF Yield % distribution charts can be found below:
* The bar in red indicates where MercadoLibre's FCF Yield % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
MercadoLibre (MEX:MELIN) has a FCF Yield % of 14.05 as of Jun. 25, 2026. FCF Yield is calculated as Free Cash Flow divided by Market Capitalization. View historical data on MercadoLibre and its competitors. This is 801% above median its historical median of 1.56. According to the industry distribution chart, MercadoLibre ranks #267 out of 1128 companies in the Retail - Cyclical industry, placing it in the top 23.7%.
Is MercadoLibre's FCF Yield % too high?
MercadoLibre's current FCF Yield % of 14.05 is 801% above median its 10-year median of 1.56. The Retail - Cyclical industry median FCF Yield % is 4.24. MercadoLibre's value of 14.05 is 231.8% above this industry median. Based on the distribution chart, MercadoLibre ranks #267 out of 1128 companies in the Retail - Cyclical industry, which is in the top quartile — a strong position relative to peers. Overall, MercadoLibre has a GF Score™ of 71/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does MercadoLibre's FCF Yield % compare to DASH and SE?
According to the Retail - Cyclical industry distribution chart, MercadoLibre ranks #267 out of 1128 companies for FCF Yield %. This places MercadoLibre in the top 24% of its industry — outperforming the majority of peers. The industry median FCF Yield % is 4.24. MercadoLibre's value of 14.05 is 231.8% above this benchmark. While the company's 10-year median is 1.56 vs. the industry median of 4.24, MercadoLibre has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good FCF Yield % for a Retail - Cyclical company?
The median FCF Yield % among Retail - Cyclical companies is 4.24, based on 1,128 companies in the industry. Companies in the top quartile (top 25%) have a FCF Yield % significantly above this median, while those in the bottom quartile fall well below. However, FCF Yield % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. MercadoLibre's current FCF Yield % of 14.05 is 231.8% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high FCF Yield % mean?
A high FCF Yield % can signal that a stock is expensive relative to its fundamentals. FCF Yield is calculated as Free Cash Flow divided by Market Capitalization. View historical data on MercadoLibre and its competitors. For the Retail - Cyclical industry, the median FCF Yield % is 4.24 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. MercadoLibre's current FCF Yield % is 14.05, which is 801% above median its own 10-year median of 1.56. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is MercadoLibre stock overvalued right now?
Based on GuruFocus' analysis, MercadoLibre (MEX:MELIN) is currently considered Significantly Undervalued. The stock's GF Value™ is MXN62,504.41, compared to a current price of MXN29,418.48 — trading 52.9% below its estimated fair value. The current FCF Yield % is 14.05, which is 801% above median its 10-year median of 1.56 and 231.8% above the Retail - Cyclical industry median of 4.24. MercadoLibre's overall GF Score™ is 71/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is FCF Yield % calculated?
FCF Yield % is calculated from a company's financial statements. For MercadoLibre (MEX:MELIN), the current FCF Yield % is 14.05 as of Jun. 25, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is MercadoLibre (MEX:MELIN) Overvalued in 2026?
Based on GuruFocus' analysis, MercadoLibre stock appears to be undervalued.
The current stock price of MXN29,418.48 is trading 52.9% below its estimated GF Value™ of MXN62,504.41.
GuruFocus considers MercadoLibre to be Significantly Undervalued.
Key valuation signals for MEX:MELIN:
FCF Yield %: 14.05 (801% above median its 10-year median of 1.56)
GF Value™: MXN62,504.41 vs. price of MXN29,418.48 (52.9% below fair value)
Industry Position: 231.8% above the Retail - Cyclical median (#267 of 1128)
No single metric tells the full story. See the MEX:MELIN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
MercadoLibre is the largest e-commerce marketplace in Latin America, with more than 120 million unique active buyers and 1 million active sellers at the end of 2025. The company is roughly split between its e-commerce business, which includes its fulfillment and advertising services, and its fintech segment, which comprises its rapidly expanding payment and digital wallet platform (Mercado Pago) and its lending business (Mercado Credito). While the company operates in 18 countries, its primary markets are Brazil, Argentina, and Mexico, which account for more than 95% of its revenue.
71GF Score
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