MercadoLibre Inc. (MELI)vsSonoco Products Company (SON)
MELI
MercadoLibre Inc.
$1,841.14
+1.31%
CONSUMER CYCLICAL · Cap: $91.94B
SON
Sonoco Products Company
$52.30
+3.61%
CONSUMER CYCLICAL · Cap: $4.95B
Smart Verdict
WallStSmart Research — data-driven comparison
MercadoLibre Inc. generates 286% more annual revenue ($28.89B vs $7.49B). SON leads profitability with a 13.6% profit margin vs 6.9%. SON appears more attractively valued with a PEG of 0.21. SON earns a higher WallStSmart Score of 70/100 (B).
MELI
Buy60
out of 100
Grade: C+
SON
Strong Buy70
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+59.3%
Fair Value
$4955.41
Current Price
$1841.14
$3114.27 discount
Margin of Safety
+26.5%
Fair Value
$69.99
Current Price
$52.30
$17.69 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
Growing faster than its price suggests
Attractively priced relative to earnings
Reasonable price relative to book value
Every $100 of equity generates 20 in profit
Earnings expanding 23.6% YoY
Areas to Watch
Trading at 13.8x book value
6.9% margin — thin
Weak financial health signals
Premium valuation, high expectations priced in
Weak financial health signals
Revenue declined 1.9%
Negative free cash flow — burning cash
Distress zone — elevated risk
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 : SON
The strongest argument for SON centers on PEG Ratio, P/E Ratio, Price/Book. PEG of 0.21 suggests the stock is reasonably priced for its growth.
Bear Case : MELI
The primary concerns for MELI are Price/Book, Profit Margin, Piotroski F-Score. A P/E of 47.0x leaves little room for execution misses.
Bear Case : SON
The primary concerns for SON are Piotroski F-Score, Revenue Growth, Free Cash Flow.
Key Dynamics to Monitor
MELI profiles as a hypergrowth stock while SON is a declining 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
SON scores higher overall (70/100 vs 60/100). MELI offers better value entry with a 59.3% 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.
Sonoco Products Company
CONSUMER CYCLICAL · PACKAGING & CONTAINERS · USA
Sonoco Products Company manufactures and sells industrial and consumer packaging products in North and South America, Europe, Australia, and Asia. The company is headquartered in Hartsville, South Carolina.
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