Jack in the Box Inc. (JACK)vsMercadoLibre Inc. (MELI)
JACK
Jack in the Box Inc.
$11.91
+5.68%
CONSUMER CYCLICAL · Cap: $211.55M
MELI
MercadoLibre Inc.
$1,673.09
-0.44%
CONSUMER CYCLICAL · Cap: $92.98B
Smart Verdict
WallStSmart Research — data-driven comparison
MercadoLibre Inc. generates 2364% more annual revenue ($35.18B vs $1.43B). MELI leads profitability with a 5.3% profit margin vs 2.4%. JACK appears more attractively valued with a PEG of 0.37. MELI earns a higher WallStSmart Score of 58/100 (C).
JACK
Hold42
out of 100
Grade: D
MELI
Buy58
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+45.4%
Fair Value
$37.83
Current Price
$11.91
$25.92 discount
Margin of Safety
+64.4%
Fair Value
$5665.85
Current Price
$1673.09
$3992.76 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Attractively priced relative to earnings
Conservative balance sheet, low leverage
Revenue surging 49.8% year-over-year
Large-cap with strong market position
Every $100 of equity generates 24 in profit
Growing faster than its price suggests
Generating 3.2B in free cash flow
Areas to Watch
Smaller company, higher risk/reward
ROE of 0.0% — below average capital efficiency
2.4% margin — thin
Revenue declined 1.8%
Trading at 10.8x book value
5.3% margin — thin
Elevated debt levels
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : JACK
The strongest argument for JACK centers on PEG Ratio, P/E Ratio, Debt/Equity. PEG of 0.37 suggests the stock is reasonably priced for its growth.
Bull Case : MELI
The strongest argument for MELI centers on Revenue Growth, Market Cap, Return on Equity. Revenue growth of 49.8% demonstrates continued momentum. PEG of 1.00 suggests the stock is reasonably priced for its growth.
Bear Case : JACK
The primary concerns for JACK are Market Cap, Return on Equity, Profit Margin. Thin 2.4% margins leave little buffer for downturns.
Bear Case : MELI
The primary concerns for MELI are Price/Book, Profit Margin, Debt/Equity. A P/E of 50.5x leaves little room for execution misses. Debt-to-equity of 1.68 is elevated, increasing financial risk.
Key Dynamics to Monitor
JACK profiles as a value stock while MELI is a hypergrowth play — different risk/reward profiles.
JACK carries more volatility with a beta of 1.43 — expect wider price swings.
MELI is growing revenue faster at 49.8% — sustainability is the question.
MELI generates stronger free cash flow (3.2B), providing more financial flexibility.
Bottom Line
MELI scores higher overall (58/100 vs 42/100) and 49.8% revenue growth. JACK offers better value entry with a 45.4% 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.
Jack in the Box Inc.
CONSUMER CYCLICAL · RESTAURANTS · USA
Jack in the Box Inc. operates and franchises Jack in the Box quick service restaurants. The company is headquartered in San Diego, California.
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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