GURUFOCUS.COM » STOCK LIST » USA » NAS » MercadoLibre Inc (NAS:MELI) » Definitions » GF Value Rank
Switch to:

MercadoLibre GF Value Rank

: 2 (As of Today)
View and export this data going back to 2007. Start your Free Trial

MercadoLibre has the GF Value Rank of 2.

The GF Value Rank is determined by the price-to-GF-Value (P/GF Value) ratio, a proprietary metric calculated based on historical multiples along with an adjustment factor based on a company's past returns and growth and future estimates of the business' performance.

GuruFocus found that for valuation, we cannot simply give stocks a better GF Value rank simply because they have a lower P/GF Value ratio. Backtesting shows that over the long term, the two worst-performing groups are the most expensive group (with the highest P/GF Value ratio) and the least expensive group (with the lowest P/GF Value ratio).

We can understand why the most expensive group underperforms. We were initially puzzled by the underperformance of the least expensive group, but we realized there is a reason why some stocks are super cheap. If they look too undervalued, it is often because the businesses behind them are poor quality. The market realized this and gave them low valuations. In a way, the market is efficient.

After multiple backtesting analyses, we granted the stocks in third-cheapest percentile the highest GF Value rank, as they have performed the best over a full market cycle. Stock performance is actually not as sensitive to valuation as it is to growth and profitability. On average, the companies in the 20%-50% valuation groups have similar performances. Therefore, we should avoid the most expensive and the least expensive stocks. We can be more tolerant of valuation.

Please click GF Score to see more details on the GF Score's 5 Key Aspects of Analysis.


Competitive Comparison

For the Internet Retail subindustry, MercadoLibre's GF Value Rank, along with its competitors' market caps and GF Value Rank 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 GF Value Rank Distribution

For the Retail - Cyclical industry and Consumer Cyclical sector, MercadoLibre's GF Value Rank distribution charts can be found below:

* The bar in red indicates where MercadoLibre's GF Value Rank falls into.



MercadoLibre GF Value Rank Related Terms

Thank you for viewing the detailed overview of MercadoLibre's GF Value Rank provided by GuruFocus.com. Please click on the following links to see related term pages.


MercadoLibre Business Description

MercadoLibre logo
Address
WTC Free Zone, Dr. Luis Bonavita 1294, Of. 1733, Tower II, Montevideo, URY, 11300
MercadoLibre runs the largest e-commerce marketplace in Latin America, connecting a network of more than 140 million active users and 1 million active sellers across its 18-country footprint. The company also operates a host of complementary businesses, with shipping solutions (Mercado Envios), a payment and financing operation (Mercado Pago), advertisements (Mercado Clics), classifieds, and a turnkey e-commerce solution (Mercado Shops) rounding out its arsenal. MercadoLibre generates revenue from final value fees, advertising royalties, payment processing, insertion fees, subscription fees, and interest income from consumer and small-business lending.
Executives
De La Serna Juan Martin officer: Executive VP Corporate Affairs AV. PTE. PERON 2375, LOTE MN04 PILAR BUENOS AIRES C1 1629
Sanders Richard A director 80 PALL MALL LONDON X0 SW1Y 5ES
Szarfsztejn Ariel officer: Executive VP - Commerce POSTA 4789, 6TH FLOOR BUENOS AIRES C1 C1430CRG
Dubugras Henrique Vasoncelos director 1000 LAUREL WAY BEVERLY HILLS CA 90210
Malka Meyer director C/O MERCADOLIBRE, INC. ARIAS 3751, 7TH FLOOR BUENOS AIRES C1 C1C1430CRG
Sallouti Roberto Balls director ARIAS 3751, 7TH FLOOR BUENOS AIRES C1 C1 C1430CRG
Calemzuk Emiliano director C/O MERCADOLIBRE, INC. TRONADOR 4890, 8TH FLOOR BUENOS AIRES C1 C1430DNN
Aguzin Alejandro Nicolas director ARIAS 3751, 7TH FLOOR BUENOS AIRES C1 C1430DNN
Ebay Inc 10 percent owner 2025 HAMILTON AVENUE SAN JOSE CA 95125
Olivan Javier director 62 RIDGE VIEW DRIVE ATHERTON X1 94027
Segal Susan director
Arnt Pedro officer: Executive VP and CFO ARIAS 3751, 7TH FLOOR BUENOS AIRES C1 C1430CRG
Rabinovich Daniel officer: VP-Chief Technology Officer ARIAS 3751, 7TH FLOOR BUENOS AIRES C1 C1430CRG
Melamud Marcelo officer: V. P. Chief Accounting Officer TRONADOR 4890, 8TH FLOOR BUENOS AIRES C1 C1430DNN
Vazquez Mario director TRONADOR 4890, 8TH FLOOR BUENOS AIRES C1 430DNN

MercadoLibre Headlines

From GuruFocus

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)