MercadoLibre Inc. (MELI)vsNewegg Commerce Inc (NEGG)
MELI
MercadoLibre Inc.
$1,632.52
-12.70%
CONSUMER CYCLICAL · Cap: $94.80B
NEGG
Newegg Commerce Inc
$25.51
-12.67%
CONSUMER CYCLICAL · Cap: $667.99M
Smart Verdict
WallStSmart Research — data-driven comparison
MercadoLibre Inc. generates 1900% more annual revenue ($28.89B vs $1.44B). MELI leads profitability with a 6.9% profit margin vs -0.3%. MELI earns a higher WallStSmart Score of 60/100 (C+).
MELI
Buy60
out of 100
Grade: C+
NEGG
Avoid31
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+59.3%
Fair Value
$4955.41
Current Price
$1632.52
$3322.89 discount
Margin of Safety
+45.4%
Fair Value
$95.04
Current Price
$25.51
$69.53 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 36 in profit
Revenue surging 44.6% year-over-year
Large-cap with strong market position
Generating 4.8B in free cash flow
Safe zone — low bankruptcy risk
Revenue surging 21.3% year-over-year
Areas to Watch
Trading at 12.3x book value
6.9% margin — thin
Weak financial health signals
Premium valuation, high expectations priced in
Smaller company, higher risk/reward
ROE of -3.7% — below average capital efficiency
Earnings declined 40.6%
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull 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.
Bull Case : NEGG
The strongest argument for NEGG centers on Altman Z-Score, Revenue Growth. Revenue growth of 21.3% demonstrates continued momentum.
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.
Bear Case : NEGG
The primary concerns for NEGG are Market Cap, Return on Equity, EPS Growth.
Key Dynamics to Monitor
MELI profiles as a hypergrowth stock while NEGG is a growth play — different risk/reward profiles.
NEGG carries more volatility with a beta of 3.80 — 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 31/100) and 44.6% revenue growth. NEGG offers better value entry with a 45.4% margin of safety. Both earn "Buy" and "Avoid" 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.
Newegg Commerce Inc
CONSUMER CYCLICAL · INTERNET RETAIL · China
Newegg Commerce, Inc. owns and operates Newegg.com, an online electronics retail platform in the United States.
Visit Website →Compare with Other INTERNET RETAIL Stocks
Want to dig deeper into these stocks?