MercadoLibre Inc. (MELI)vsPepsiCo Inc (PEP)
MELI
MercadoLibre Inc.
$1,632.52
-12.70%
CONSUMER CYCLICAL · Cap: $94.80B
PEP
PepsiCo Inc
$154.62
-1.07%
CONSUMER DEFENSIVE · Cap: $213.64B
Smart Verdict
WallStSmart Research — data-driven comparison
PepsiCo Inc generates 230% more annual revenue ($95.45B vs $28.89B). PEP leads profitability with a 9.2% profit margin vs 6.9%. MELI appears more attractively valued with a PEG of 1.14. PEP earns a higher WallStSmart Score of 63/100 (C+).
MELI
Buy60
out of 100
Grade: C+
PEP
Buy63
out of 100
Grade: C+
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
-1.0%
Fair Value
$154.81
Current Price
$154.62
$0.19 premium
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
Mega-cap, among the largest globally
Every $100 of equity generates 44 in profit
Earnings expanding 27.8% YoY
Areas to Watch
Trading at 12.3x book value
6.9% margin — thin
Weak financial health signals
Premium valuation, high expectations priced in
Expensive relative to growth rate
Trading at 9.9x book value
Weak financial health signals
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 : PEP
The strongest argument for PEP centers on Market Cap, Return on Equity, EPS Growth.
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 : PEP
The primary concerns for PEP are PEG Ratio, Price/Book, Piotroski F-Score.
Key Dynamics to Monitor
MELI profiles as a hypergrowth stock while PEP 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 44.6% — sustainability is the question.
MELI generates stronger free cash flow (4.8B), providing more financial flexibility.
Bottom Line
PEP scores higher overall (63/100 vs 60/100). MELI offers better value entry with a 59.3% 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.
PepsiCo Inc
CONSUMER DEFENSIVE · BEVERAGES - NON-ALCOHOLIC · USA
PepsiCo, Inc. is an American based multinational food, snack, and beverage corporation headquartered in Harrison, New York, in the hamlet of Purchase. PepsiCo's business encompasses all aspects of the food and beverage market. It oversees the manufacturing, distribution, and marketing of its products.
Compare with Other INTERNET RETAIL Stocks
Want to dig deeper into these stocks?