WallStSmart

MercadoLibre Inc. (MELI)vsNike Inc (NKE)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Nike Inc generates 46% more annual revenue ($46.52B vs $31.80B). MELI leads profitability with a 6.0% profit margin vs 4.8%. MELI appears more attractively valued with a PEG of 1.07. MELI earns a higher WallStSmart Score of 58/100 (C).

MELI

Buy

58

out of 100

Grade: C

Growth: 7.3Profit: 6.5Value: 6.7Quality: 4.0
Piotroski: 2/9Altman Z: 1.35

NKE

Hold

48

out of 100

Grade: D+

Growth: 2.7Profit: 6.0Value: 6.7Quality: 6.5
Piotroski: 2/9Altman Z: 2.33
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MELIUndervalued (+61.8%)

Margin of Safety

+61.8%

Fair Value

$5279.65

Current Price

$1607.80

$3671.85 discount

UndervaluedFair: $5279.65Overvalued
NKEUndervalued (+64.2%)

Margin of Safety

+64.2%

Fair Value

$174.14

Current Price

$42.98

$131.16 discount

UndervaluedFair: $174.14Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MELI4 strengths · Avg: 9.0/10
Revenue GrowthGrowth
49.0%10/10

Revenue surging 49.0% year-over-year

Market CapQuality
$84.81B9/10

Large-cap with strong market position

Return on EquityProfitability
26.4%9/10

Every $100 of equity generates 26 in profit

Free Cash FlowQuality
$1.28B8/10

Generating 1.3B in free cash flow

NKE1 strengths · Avg: 9.0/10
Market CapQuality
$64.76B9/10

Large-cap with strong market position

Areas to Watch

MELI4 concerns · Avg: 3.3/10
Price/BookValuation
11.2x4/10

Trading at 11.2x book value

Profit MarginProfitability
6.0%3/10

6.0% margin — thin

Debt/EquityHealth
1.703/10

Elevated debt levels

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

NKE4 concerns · Avg: 3.8/10
PEG RatioValuation
1.584/10

Expensive relative to growth rate

P/E RatioValuation
28.8x4/10

Moderate valuation

Revenue GrowthGrowth
0.1%4/10

0.1% revenue growth

Profit MarginProfitability
4.8%3/10

4.8% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : MELI

The strongest argument for MELI centers on Revenue Growth, Market Cap, Return on Equity. Revenue growth of 49.0% demonstrates continued momentum. PEG of 1.07 suggests the stock is reasonably priced for its growth.

Bull Case : NKE

The strongest argument for NKE centers on Market Cap.

Bear Case : MELI

The primary concerns for MELI are Price/Book, Profit Margin, Debt/Equity. A P/E of 44.1x leaves little room for execution misses. Debt-to-equity of 1.70 is elevated, increasing financial risk.

Bear Case : NKE

The primary concerns for NKE are PEG Ratio, P/E Ratio, Revenue Growth. Thin 4.8% margins leave little buffer for downturns.

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 1.41 — expect wider price swings.

MELI is growing revenue faster at 49.0% — sustainability is the question.

MELI generates stronger free cash flow (1.3B), providing more financial flexibility.

Bottom Line

MELI scores higher overall (58/100 vs 48/100) and 49.0% revenue growth. NKE offers better value entry with a 64.2% 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.

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.

Visit Website →

Want to dig deeper into these stocks?