WallStSmart

InterContinental Hotels Group PLC ADR (IHG)vsMercadoLibre Inc. (MELI)

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Smart Verdict

WallStSmart Research — data-driven comparison

MercadoLibre Inc. generates 457% more annual revenue ($28.89B vs $5.19B). IHG leads profitability with a 14.6% profit margin vs 6.9%. MELI appears more attractively valued with a PEG of 0.83. MELI earns a higher WallStSmart Score of 62/100 (C+).

IHG

Hold

45

out of 100

Grade: D

Growth: 6.0Profit: 7.0Value: 4.7Quality: 4.8
Piotroski: 5/9Altman Z: 1.83

MELI

Buy

62

out of 100

Grade: C+

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

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

IHGSignificantly Overvalued (-71.0%)

Margin of Safety

-71.0%

Fair Value

$85.24

Current Price

$142.36

$57.12 premium

UndervaluedFair: $85.24Overvalued
MELIUndervalued (+59.5%)

Margin of Safety

+59.5%

Fair Value

$4981.85

Current Price

$1767.02

$3214.83 discount

UndervaluedFair: $4981.85Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

IHG1 strengths · Avg: 8.0/10
Operating MarginProfitability
22.2%8/10

Strong operational efficiency at 22.2%

MELI5 strengths · Avg: 9.0/10
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
$90.88B9/10

Large-cap with strong market position

PEG RatioValuation
0.838/10

Growing faster than its price suggests

Free Cash FlowQuality
$4.78B8/10

Generating 4.8B in free cash flow

Areas to Watch

IHG4 concerns · Avg: 3.8/10
P/E RatioValuation
29.2x4/10

Moderate valuation

Revenue GrowthGrowth
2.7%4/10

2.7% revenue growth

Altman Z-ScoreHealth
1.834/10

Grey zone — moderate risk

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

MELI4 concerns · Avg: 3.0/10
Price/BookValuation
13.3x4/10

Trading at 13.3x 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
45.5x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : IHG

The strongest argument for IHG centers on Operating Margin. PEG of 1.35 suggests the stock is reasonably priced for its growth.

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 0.83 suggests the stock is reasonably priced for its growth.

Bear Case : IHG

The primary concerns for IHG are P/E Ratio, Revenue Growth, Altman Z-Score.

Bear Case : MELI

The primary concerns for MELI are Price/Book, Profit Margin, Piotroski F-Score. A P/E of 45.5x leaves little room for execution misses.

Key Dynamics to Monitor

IHG profiles as a value stock while MELI is a hypergrowth play — different risk/reward profiles.

MELI carries more volatility with a beta of 1.49 — 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 (62/100 vs 45/100) and 44.6% revenue growth. 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.

InterContinental Hotels Group PLC ADR

CONSUMER CYCLICAL · LODGING · USA

InterContinental Hotels Group PLC owns, manages, franchises, and leases hotels in the Americas, Europe, Asia, the Middle East, Africa, and Greater China. The company is headquartered in Denham, the United Kingdom.

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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