WallStSmart

MercadoLibre Inc. (MELI)vsRocky Brands Inc (RCKY)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

MercadoLibre Inc. generates 6866% more annual revenue ($35.18B vs $505.02M). RCKY leads profitability with a 5.7% profit margin vs 5.3%. MELI appears more attractively valued with a PEG of 0.92. RCKY earns a higher WallStSmart Score of 68/100 (B-).

MELI

Buy

60

out of 100

Grade: C+

Growth: 7.3Profit: 6.0Value: 6.7Quality: 4.0
Piotroski: 2/9Altman Z: 1.35

RCKY

Strong Buy

68

out of 100

Grade: B-

Growth: 6.0Profit: 4.5Value: 6.0Quality: 8.0
Piotroski: 6/9Altman Z: 2.89
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MELIUndervalued (+64.8%)

Margin of Safety

+64.8%

Fair Value

$5728.38

Current Price

$1897.37

$3831.01 discount

UndervaluedFair: $5728.38Overvalued
RCKYSignificantly Overvalued (-34.8%)

Margin of Safety

-34.8%

Fair Value

$24.34

Current Price

$44.19

$19.85 premium

UndervaluedFair: $24.34Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MELI5 strengths · Avg: 8.8/10
Revenue GrowthGrowth
49.8%10/10

Revenue surging 49.8% year-over-year

Market CapQuality
$96.19B9/10

Large-cap with strong market position

Return on EquityProfitability
23.8%9/10

Every $100 of equity generates 24 in profit

PEG RatioValuation
0.928/10

Growing faster than its price suggests

Free Cash FlowQuality
$3.39B8/10

Generating 3.4B in free cash flow

RCKY3 strengths · Avg: 10.0/10
P/E RatioValuation
11.3x10/10

Attractively priced relative to earnings

Price/BookValuation
1.3x10/10

Reasonable price relative to book value

EPS GrowthGrowth
281.3%10/10

Earnings expanding 281.3% YoY

Areas to Watch

MELI4 concerns · Avg: 3.3/10
Price/BookValuation
12.3x4/10

Trading at 12.3x book value

Profit MarginProfitability
5.3%3/10

5.3% margin — thin

Debt/EquityHealth
1.683/10

Elevated debt levels

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

RCKY4 concerns · Avg: 3.0/10
Market CapQuality
$324.40M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
7.4%3/10

ROE of 7.4% — below average capital efficiency

Profit MarginProfitability
5.7%3/10

5.7% margin — thin

Operating MarginProfitability
2.4%3/10

Operating margin of 2.4%

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 49.8% demonstrates continued momentum. PEG of 0.92 suggests the stock is reasonably priced for its growth.

Bull Case : RCKY

The strongest argument for RCKY centers on P/E Ratio, Price/Book, EPS Growth. Revenue growth of 12.0% demonstrates continued momentum. PEG of 1.17 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 : RCKY

The primary concerns for RCKY are Market Cap, Return on Equity, Profit Margin.

Key Dynamics to Monitor

MELI profiles as a hypergrowth stock while RCKY is a value play — different risk/reward profiles.

RCKY carries more volatility with a beta of 2.36 — 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

RCKY scores higher overall (68/100 vs 60/100) and 12.0% revenue growth. MELI offers better value entry with a 64.8% margin of safety. Both earn "Strong 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.

Rocky Brands Inc

CONSUMER CYCLICAL · FOOTWEAR & ACCESSORIES · USA

Rocky Brands, Inc. designs, manufactures and markets footwear and apparel under the Rocky, Georgia Boot, Durango, Lehigh and Michelin brands licensed in the United States, Canada and internationally. The company is headquartered in Nelsonville, Ohio.

Want to dig deeper into these stocks?