MercadoLibre Inc. (MELI)vsMeritage Corporation (MTH)
MELI
MercadoLibre Inc.
$1,673.09
-0.44%
CONSUMER CYCLICAL · Cap: $92.98B
MTH
Meritage Corporation
$62.02
-3.00%
CONSUMER CYCLICAL · Cap: $3.86B
Smart Verdict
WallStSmart Research — data-driven comparison
MercadoLibre Inc. generates 553% more annual revenue ($35.18B vs $5.39B). MTH leads profitability with a 6.1% profit margin vs 5.3%. MTH appears more attractively valued with a PEG of 0.54. MELI earns a higher WallStSmart Score of 58/100 (C).
MELI
Buy58
out of 100
Grade: C
MTH
Buy57
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+64.4%
Fair Value
$5665.85
Current Price
$1673.09
$3992.76 discount
Margin of Safety
+2.6%
Fair Value
$80.10
Current Price
$62.02
$18.08 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
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
Reasonable price relative to book value
Safe zone — low bankruptcy risk
Growing faster than its price suggests
Attractively priced relative to earnings
Areas to Watch
Trading at 10.8x book value
5.3% margin — thin
Elevated debt levels
Weak financial health signals
ROE of 7.6% — below average capital efficiency
6.1% margin — thin
Weak financial health signals
Revenue declined 13.8%
Comparative Analysis Report
WallStSmart ResearchBull 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.
Bull Case : MTH
The strongest argument for MTH centers on Price/Book, Altman Z-Score, PEG Ratio. PEG of 0.54 suggests the stock is reasonably priced for its growth.
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.
Bear Case : MTH
The primary concerns for MTH are Return on Equity, Profit Margin, Piotroski F-Score.
Key Dynamics to Monitor
MELI profiles as a hypergrowth stock while MTH is a value play — different risk/reward profiles.
MTH carries more volatility with a beta of 1.34 — 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 57/100) and 49.8% revenue growth. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
MercadoLibre Inc.
CONSUMER CYCLICAL · INTERNET RETAIL · USA
MercadoLibre, Inc. operates online trading platforms in Latin America. The company is headquartered in Buenos Aires, Argentina.
Meritage Corporation
CONSUMER CYCLICAL · RESIDENTIAL CONSTRUCTION · USA
Meritage Homes Corporation designs and builds single-family homes in the United States. The company is headquartered in Scottsdale, Arizona.
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