WallStSmart

Brookfield Business Corp (BBUC)vsMercadoLibre Inc. (MELI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

MercadoLibre Inc. generates 5% more annual revenue ($28.89B vs $27.46B). MELI leads profitability with a 6.9% profit margin vs -0.1%. MELI earns a higher WallStSmart Score of 60/100 (C+).

BBUC

Hold

43

out of 100

Grade: D

Growth: 6.0Profit: 5.0Value: 6.7Quality: 5.0

MELI

Buy

60

out of 100

Grade: C+

Growth: 7.3Profit: 6.5Value: 6.7Quality: 5.3
Piotroski: 2/9Altman Z: 2.04
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BBUCUndervalued (+88.8%)

Margin of Safety

+88.8%

Fair Value

$324.96

Current Price

$30.85

$294.11 discount

UndervaluedFair: $324.96Overvalued
MELIUndervalued (+59.3%)

Margin of Safety

+59.3%

Fair Value

$4955.41

Current Price

$1632.52

$3322.89 discount

UndervaluedFair: $4955.41Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BBUC1 strengths · Avg: 8.0/10
Price/BookValuation
2.8x8/10

Reasonable price relative to book value

MELI4 strengths · Avg: 9.3/10
Return on EquityProfitability
36.0%10/10

Every $100 of equity generates 36 in profit

Revenue GrowthGrowth
44.6%10/10

Revenue surging 44.6% year-over-year

Market CapQuality
$94.80B9/10

Large-cap with strong market position

Free Cash FlowQuality
$4.78B8/10

Generating 4.8B in free cash flow

Areas to Watch

BBUC3 concerns · Avg: 2.0/10
Return on EquityProfitability
2.4%3/10

ROE of 2.4% — below average capital efficiency

Revenue GrowthGrowth
-4.5%2/10

Revenue declined 4.5%

Profit MarginProfitability
-0.1%1/10

Currently unprofitable

MELI4 concerns · Avg: 3.0/10
Price/BookValuation
12.3x4/10

Trading at 12.3x book value

Profit MarginProfitability
6.9%3/10

6.9% margin — thin

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

P/E RatioValuation
47.4x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : BBUC

The strongest argument for BBUC centers on Price/Book.

Bull Case : MELI

The strongest argument for MELI centers on Return on Equity, Revenue Growth, Market Cap. Revenue growth of 44.6% demonstrates continued momentum. PEG of 1.14 suggests the stock is reasonably priced for its growth.

Bear Case : BBUC

The primary concerns for BBUC are Return on Equity, Revenue Growth, Profit Margin.

Bear Case : MELI

The primary concerns for MELI are Price/Book, Profit Margin, Piotroski F-Score. A P/E of 47.4x leaves little room for execution misses.

Key Dynamics to Monitor

BBUC profiles as a turnaround stock while MELI is a hypergrowth play — different risk/reward profiles.

MELI carries more volatility with a beta of 1.41 — expect wider price swings.

MELI is growing revenue faster at 44.6% — sustainability is the question.

MELI generates stronger free cash flow (4.8B), providing more financial flexibility.

Bottom Line

MELI scores higher overall (60/100 vs 43/100) and 44.6% revenue growth. BBUC offers better value entry with a 88.8% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Brookfield Business Corp

INDUSTRIALS · CONGLOMERATES · USA

Brookfield Business Corporation focuses on healthcare, construction and wastewater services in the United States, Europe, Australia, the United Kingdom, Canada and Brazil. The company is headquartered in New York, New York.

MercadoLibre Inc.

CONSUMER CYCLICAL · INTERNET RETAIL · USA

MercadoLibre, Inc. operates online trading platforms in Latin America. The company is headquartered in Buenos Aires, Argentina.

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