MercadoLibre Inc. (MELI)vsNike Inc (NKE)
MELI
MercadoLibre Inc.
$1,897.37
-0.47%
CONSUMER CYCLICAL · Cap: $96.19B
NKE
Nike Inc
$36.80
+0.49%
CONSUMER CYCLICAL · Cap: $54.59B
Smart Verdict
WallStSmart Research — data-driven comparison
Nike Inc generates 32% more annual revenue ($46.40B vs $35.18B). NKE leads profitability with a 6.7% profit margin vs 5.3%. MELI appears more attractively valued with a PEG of 0.92. NKE earns a higher WallStSmart Score of 64/100 (C+).
MELI
Buy60
out of 100
Grade: C+
NKE
Buy64
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+64.8%
Fair Value
$5728.38
Current Price
$1897.37
$3831.01 discount
Margin of Safety
+63.0%
Fair Value
$168.71
Current Price
$36.80
$131.91 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 3.4B in free cash flow
Earnings expanding 428.0% YoY
Large-cap with strong market position
Every $100 of equity generates 21 in profit
Attractively priced relative to earnings
Generating 1.5B in free cash flow
Areas to Watch
Trading at 12.3x book value
5.3% margin — thin
Elevated debt levels
Weak financial health signals
6.7% margin — thin
Revenue declined 1.1%
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 0.92 suggests the stock is reasonably priced for its growth.
Bull Case : NKE
The strongest argument for NKE centers on EPS Growth, Market Cap, Return on Equity. PEG of 1.42 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 51.8x leaves little room for execution misses. Debt-to-equity of 1.68 is elevated, increasing financial risk.
Bear Case : NKE
The primary concerns for NKE are Profit Margin, Revenue Growth.
Key Dynamics to Monitor
MELI profiles as a hypergrowth stock while NKE is a value play — different risk/reward profiles.
MELI carries more volatility with a beta of 1.31 — expect wider price swings.
MELI is growing revenue faster at 49.8% — sustainability is the question.
MELI generates stronger free cash flow (3.4B), providing more financial flexibility.
Bottom Line
NKE scores higher overall (64/100 vs 60/100). MELI offers better value entry with a 64.8% margin of safety. 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.
Nike Inc
CONSUMER CYCLICAL · FOOTWEAR & ACCESSORIES · USA
Nike, Inc. is an American multinational corporation that is engaged in the design, development, manufacturing, and worldwide marketing and sales of footwear, apparel, equipment, accessories, and services. The company is headquartered near Beaverton, Oregon, in the Portland metropolitan area. It is the world's largest supplier of athletic shoes and apparel and a major manufacturer of sports equipment.
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